January 22, 2014

Royal DSM reported preliminary, unaudited results for 2013 and provided an outlook for 2014 and in conjunction with its Integrated Annual Report, the final audited results will be published as scheduled on February 26, 2014.

DSM delivered roughly 20% higher earnings before interests, taxes, depreciation and amortisations (EBITDA) for the full year 2013, in spite of the challenging economic environment. For the fourth quarter, the company realised an approximately 30% higher EBITDA.

In fourth quarter, all clusters delivered a solid performance despite negative exchange rate effects. Nutrition was in addition impacted by a combination of unrelated market headwinds. These included weakness in dietary supplements and fish oil based Omega three markets in the US, soft demand in Western food & beverage markets, and price pressures especially in vitamin E following weak demand in animal feed markets earlier in the year. DSM previously signalled these adverse conditions, but the impact through the end of the year was more pronounced than anticipated.

Commenting on these preliminary results, Feike Sijbesma, chief executive officer/chairman of the DSM Managing Board, said: "We achieved significant strategic progress in 2013, also demonstrated by an approximately 20% increase in full year EBITDA. We were pleased with the strong performance in materials sciences in fourth quarter. Despite the moderate fourth quarter results in Nutrition, due to currencies and market weakness, DSM's market positions remained strong. This business with its broad, global offering across the value chain is well positioned to benefit from the structural megatrends, with the need to nourish a growing and aging global population, living increasingly in urban areas, paying more attention to health and well-being. This will continue to drive increased demand for nutritional ingredients."

Sijbesma added that the company remains firmly on track to deliver their strategy and to create sustainable value with all their clusters. In the short term their focus will continue on the operational performance of their businesses, supported by their Profit Improvement Programme and intensified R&D and innovation programmes.