EINBECK (dpa-AFX) - After nine months, KWS Saat has more confidence in the current fiscal year. The seed producer now expects an increase in sales of 6 to 8 percent for the year as a whole (until the end of June), as the SDax-listed company announced in Einbeck on Tuesday. Previously, KWS had only targeted growth of 3 to 5 percent. The forecast for the operating margin (EBIT margin) was also raised. KWS shares rose sharply as a result.

At their peak, the shares climbed by more than eight percent. However, after a temporary recovery of almost 14 percent since Thursday's low, they ran out of steam. In the afternoon, KWS was still up a good three percent at 50.40 euros and thus continued to be part of the top group in the SDax.

KWS Saat now expects an operating margin of 15 to 17 percent in the current fiscal year. Originally, the seed producer had calculated an operating margin of 11 to 13 percent. The new annual target for operating earnings is even higher than its estimate, which was already above market expectations, wrote Jefferies analyst Charlie Bentley in an initial reaction.

According to preliminary figures, turnover in the months of July to the end of March rose by ten percent year-on-year to 1.36 billion euros. The operating result (EBIT) shot up by 48 percent to 336.4 million euros - in particular due to good business with sugar beet. In addition, the sale of the Chinese maize business including licenses in November contributed around 30 million euros. The maize business in South America, which was also sold recently, has already been excluded from the key figures.

KWS Saat will present its final figures on May 14./niw/men/jha/