Flügger group A/S reported earnings results for the first quarter ended July 31, 2018. For the quarter, the company's saw revenue on par with the same period last year and a drop in earnings of 25%. The company is experiencing growth in the Danish and Polish markets, but total earnings have been impacted by declines in the Swedish, Icelandic and Chinese markets, rising commodity prices and negative exchange rate effects. Net revenue was DKK 538 million compared to DKK 539 million in the same period last year, essentially unchanged. Adjusted for the negative exchange rate impacts, revenue rose by 2.4%. Earnings in have declined 25% to DKK 61 million, compared to DKK 82 million for the same period last year. The drop in earnings is
primarily due to difficulties passing on the large price increases have seen for several key product ingredients to the company's sales prices.

The company provided earnings guidance for the fiscal year 2018-19. For the year, the company maintained its outlook, growth in net revenue of 0-2% and operating profit corresponding to an EBIT margin of 3-4%.