EINBECK (dpa-AFX) - Rising costs for research and development and distribution have led to a higher loss at KWS Saat in the first quarter of the fiscal year. Earnings before interest and taxes (EBIT) amounted to minus 48.3 million euros in the three months to the end of September, after minus 33.1 million in the previous year, as the seed producer announced in Einbeck on Thursday. At the bottom line, the loss increased from 46.2 million to 55.3 million euros due to higher taxes. The first quarter at KWS Saat is negative for seasonal reasons.

The reaction on the financial market was negative. The share lost more than one percent in the early afternoon in a firm SDax. So far this year, the share's performance has also been clearly negative with a discount of 17 percent.

Warburg analyst Oliver Schwarz wrote in a study with a view to the figures that the decline in the corn segment was more pronounced than expected. Jefferies expert Charlie Bentley was also cautious in an initial reaction. The operating loss (EBIT) in the first quarter, although of little significance, was higher than he had expected. He also added that more cash had flowed out than he had forecast.

"The European business with winter crops was particularly decisive for us in the first quarter, where we were able to make good gains with our strong portfolio, especially in the rapeseed segment," explained CFO Eva Kienle. Turnover rose by a total of 0.5 percent to EUR 267.7 million in the reporting period. The Group confirmed its forecast for the year./nas/jha/stk