May 9, 2012

For the first half of the year 2011/2012, Danish pork and meat processor, Danish Crown has revealed slightly lower profits, but with higher revenues.

Danish Crown reported profits of DKK733 million (US$128 million) - a slight decrease when compared to a similar timeframe last year.

Consolidated revenue for the half year is DKK27.6 billion (US$4.8 billion), due to both organic growth and acquisitions of companies like D&S Fleisch (Germany) and Parkham Foods (United Kingdom).

The slight decrease in profits is mainly due to rising commodity prices, which hit processing companies. In a press release, the company stated: "In light of market developments over the past six years, the result is an expression of a robust company."

Danish Crown CFO, Preben Sunke, said: "When commodity prices rise, it is our responsibility to ensure that price increases arising out into the last link of the chain, but there is a delay in the market, which means that price increases in different stages of the value chain do not go together."