Novozymes: Bioenergy sales up 54% in Q2

By Erin Voegele | August 12, 2021

Novozymes released second quarter financial results on Aug. 12, reporting that sales for its bioenergy segment were up 54 percent when compared to the same period of last year. Bioenergy sales for the first half of 2021 were up 16 percent.

Novozymes primarily attributed the growth in bioenergy sales to recovering U.S. ethanol production and capacity expansion of corn-based ethanol production in Latin America. U.S. ethanol production was significantly higher in the first half of 2021 than in the first half of 2020, but still below pre-pandemic levels. Sales of solutions for biodiesel contributed positively to the strong performance, although from a small base, according to the company.

Moving forward, Novozymes predicts sales growth in bioenergy will be driven by a gradual recovery of U.S. ethanol production as COVID-19 restrictions are lifted, continued capacity expansion of corn-based ethanol production in Latin America, and market penetration supported by innovation. The company said bioenergy organic sales are expected to grow at a mid-to-high-single-digit rate in 2021, with the mid-point of that range roughly corresponding to mid-single-digit growth in U.S. ethanol production.

Overall, Novozymes reported a second quarter sales growth of 9 percent. Growth for the first half of the year was 6 percent.

A full copy of Novozymes’ half year financial report is available on the company’s website