Sales growth for Provimi in first quarter of 2008
Animal nutrition company Provimi has announced its sales for the first quarter of 2008, amounting to €532.5 mln, which is an increase of 19.8% compared to the same period in 2007.
This increase was largely due to higher selling prices caused by increased raw material costs. Sales in all parts of the world increased.
The first months of 2008 saw a continued increase of raw material prices. The prices of major ingredients, notably soy and grains, continued to show an upward trend. Many vitamins and phosphates also increased in price during the first three months of the year.
Market conditions in animal nutrition remain challenging, however, favourable raw material positions and prices increases contributed to operating margins.
Outlook for 2008
In spite of a favourable start of the year, raw material markets are expected to remain volatile and market conditions for customers remain challenging.
The group will continue its restructuring activities to improve efficiency and to adapt the organisation to the changing market conditions.