De' Longhi: a record first quarter
Strong expansion of turnover (€ 625.7 million) and margins
The Board of Directors of De’ Longhi SpA today approved the results for the first quarter of 2021. Consolidated revenues for the first quarter amounted to € 678.7 million, growing by 72.6%. The expansion of the Group on a like-for-like basis would have been 59.1% with a turnover of € 625.7 million, up 64.7% at constant exchange rates. Adjusted Ebitda amounted to € 128.6 million, equal to 18.9% of revenues; on a like-for-like basis, it stood at € 117.4 million, with a sharp improvement in the margin on revenues from 10.7% to 18.8%; Ebitda was € 127.6 million, or 18.8% of revenues; on a like-for-like basis, the margin went from 9.3% of revenues to 18.6%, reaching € 116.4 million. Ebit was € 108.2 million, equal to 15.9% of revenues, while on a like-for- like basis it improved from 4.5% to 15.7% of revenues, reaching € 98.1 million. Finally, net profit was € 80.9 million, equal to 11.9% of revenues (€ 72.7 million, equal to 11.6% of revenues, on a like-for-like basis).
Net financial position as at 31.03.2021 stood at € 318.2 million, with a net cash generation of € 86.2 million in the quarter, after investments for € 19.8 million.
"The extraordinary results achieved - commented CEO Massimo Garavaglia - further consolidate De’ Longhi's position among the leaders of the industry. The Group has been able to seize all the opportunities offered by the market in these months of great uncertainty, thanks not only to its brands and products portfolio but also to the great production flexibility and the adaptability of teams and organization. I take this opportunity to thank all the employees of the Group for the dedication, commitment and professionalism shown in recent months, without which we would not have been able to achieve these goals".
"Looking at the next future, the continuation of the development trend of coffee and kitchen, strengthened by the increased attention of consumers towards the home environment, support our positive expectations for the coming quarters. In particular, the signals that we receive from the markets in these first weeks of the second quarter reasonably suggest, for the remaining months of the year, a very robust and more sustained sales trend than initially expected; in light of this, therefore, we revise upwards our guidance for the current year and for the new perimeter including Capital Brands, now forecasting revenues growing at constant exchange rates at a pace between 28% and 33% (i.e. in the range 18 % - 22% on a like-for-like basis) and an adjusted Ebitda in line with 2020 as a percentage of revenues.
This expected dynamic will allow us to continue the previously announced strategy of increasing investments in marketing and communication, in support of our brands and products, thus fueling a virtuous circle aimed at medium-long term growth strategy".
EFA News - European Food Agency