A method for treating sludge by dewatering to form thick sludge and drying to form dry sludge includes the steps of mechanically predewatering thick sludge to produce predewatered thick sludge and mixing the predewatered thick sludge with non-cooled dry sludge to produce a sludge mixture. The temperature of the sludge mixture to be dried is measured and the dry substance contents of the dry sludge based on the measured temperature is determined. Fluctuations in the dry substance contents of the dry sludge are compensated by controlling the amount of recirculated dry sludge to be mixed with the predewatered thick sludge as a function of the temperature of the sludge mixture to be dried. The sludge mixture is dried to produce dry sludge and a portion of the dry sludge is recirculated to be mixed with the predewatered thick sludge.