Chr. Hansen A/S (CHR), the world’s biggest maker of dairy enzymes, dropped the most since its 2010 initial stock sale after cutting its full-year sales forecast on lower prices for the red pigment carmine.
Sales will probably rise 6 percent to 7 percent on a like-for-like basis, down from an earlier targeted range of 7 percent to 9 percent, the Hoersholm, Denmark-based company said in a statement today. Third-quarter profit of 34.9 million euros ($45 million) fell short of the 37.8 million-euro average of eight analysts’ estimates compiled by Bloomberg.
Shares of the maker of enzymes that create the holes in emmental cheese fell as much as 7.8 percent, the steepest intraday decline since the stock began trading in June 2010. Lower carmine prices and weaker demand of probiotics for yogurt in North America and Europe stifled growth.
Separately, Chief Executive Officer Cees de Jong said today he’s reorganizing the company into three geographic regions to improve sales to strengthen the focus on customers and “move regional commercial decision-making and corporate leadership closer.”
Chr. Hansen traded 4.5 percent lower at 191.70 kroner as of 10:06 a.m. local time.
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