Operating profit of Europe’s largest sugar producer drops by 80%

Suedzucker, Europe’s largest sugar producer, reported a quarterly operating profit decline of 82%.

In the second quarter of the 2025/26 financial year, the company’s operating profit was €20 million, down from €114 million in the same quarter last year.

Suedzucker confirmed its reduced operating profit forecast for the full year 2025/26 at €100 million to €200 million, down from €350 million last year.

Suedzucker’s core sugar business suffered an operating loss of €33 million in the second quarter of this year, compared to an operating profit of €13 million in the second quarter of last year.

EU data show that average sugar prices in the EU fell to €534/t in July 2025 from €775/t in July 2024, despite the EU restricting Ukrainian sugar imports following farmer protests.

Suedzucker stated that, given challenging market conditions, it still expects losses in the sugar sector in the second half of the year.

“We have reduced sugar beet plantings this season to offset these losses. Analytical data shows that other European producers have done the same,” the company commented. “However, since beet growing conditions have proven better than expected, this may lead to expectations of higher yields, which could offset some of the benefits of reducing plantings.”

Tags: sugar