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Suedzucker Q1 Earnings Slump 45% on High Costs, Low Sugar Prices

HAMBURG, July 11 (Reuters) - Europe's largest sugar producer Suedzucker on Thursday posted a 45% fall in quarterly earnings as it was hit by higher costs and lower sugar prices.

Suedzucker reported operating profit in the first quarter to May 31 of its 2024/25 fiscal year of 155 million euros ($167.93 million), down from 282 million euros in the same quarter last year.

The sugar, CropEnergies biofuel and starch segments all recorded a decline in earnings, it said.

Suedzucker warned in May that high costs ranging from energy, raw materials, logistics to packaging combined with weak sugar markets would cause a fall in first quarter earnings. The company warned on Wednesday that its second quarter earnings would also decline.

Sugar futures hit 18-month lows in May on expectations of large sugar harvests in Brazil but have since recovered slightly.

($1 = 0.9230 euros)

Reporting by Michael Hogan, editing by Rachel More

Source: Reuters


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