The Danish enzyme producer yesterday reported that sales to the agriculture and feed industries jumped by 19% organically and by 23% in Danish Kroner compared with the first nine months of last year.
Net profit grew by 11% in the first nine months, it added.
In the third quarter, said Novozymes, sales grew by 3% organically and by 11% in DKK compared with Q3 2014, while net profit for Q3 2015 jumped to 743m kroner ($113.1m) from DKK637m in the same period last year.
However, the enzyme maker lowered its full year forecasts, based on lower expectations for organic sales growth coupled with an unfavorable development in currency exchange rates.
It said it expected earnings before interest and tax (EBIT) in 2015 to grow at 15%, as compared to the 15% to 17% range guidance previously. Analysts said the more restrained forecasts are now in line with expectations.
The company expects the feed component to remain a significant contributor to Q4 sales growth in its agriculture and feed division.
R&D update
Meanwhile, in its business development and R&D update, Novozymes outlined how its acquisition of US based probiotic specialist, Pacific Vet Group, earlier this month will increase its capabilities and knowledge within poultry health and poultry gut physiology.
It said the Arkansas based developer also products targeted at the hatchery segment in the US.
The US firm, which has a small commercial footprint, will add revenue and experience, said the Danish company “its application know-how and interesting pipeline add perspectives for Novozymes to develop new products and add more value for partners.”
Pacific Vet was founded in 2008 around technology developed by the University of Arkansas’ division of agriculture. Its current products are primarily sold in the US and are based on beneficial bacteria – mainly lactic acid bacteria – and work to improve gut health in poultry.
Novozymes first entered the probiotics for animals business in May 2015, through a product development partnership with Adisseo.