Germany-based ethanol producer CropEnergies AG has delivered an operating profit of EUR 8 million in its first fiscal quarter, down from EUR 15 million a year ago, but better than the company had expected given the coronavirus crisis. 

CropEnergies’ most recent forecast was for a break-even result at the operating profit level. 

Revenues in the three months from March to May decreased to EUR 171 million from EUR 203 million in the same period of the previous financial year, preliminary figures released on June 17 showed. Earnings before interest, tax, depreciation and amortisation (EBITDA) fell to EUR 18 million from EUR 26 million. 

The ethanol maker expects full-year revenues and operating profit to decline significantly compared to the previous year’s record figures due to the corona pandemic, but did not provide a more detailed forecast for the time being because of uncertainty over how the pandemic will evolve.  

The second quarter is expected to show improvement compared to the first as fuel demand is seen to increase on relaxing production and mobility restrictions in more and more countries and as the company has started producing more ethanol for disinfectants.

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Image by CropEnergies AG