The Massimo Zanetti Beverage Group’s 2019 revenues amounted to Euro 914.5 Mln
The Board of directors will propose to shareholders the distribution of a gross dividend of Euro 0.19 per share
The Board of Directors of Massimo Zanetti Beverage Group S.p.A., one of the leading brands worldwide in the production, processing and marketing of roasted coffee, listed on the Milan Stock Exchange, approved on 5th of March the draft consolidated results for the financial year ended 31 December 2019. The Group’s consolidated revenues amounted to Euro 914.5 million in 2019 showing an increase of Euro 23.3 million (+2.6%) compared to 2018. This increase is a result of the foreign exchange rates (mainly Euro against the US dollars) had a positive impact of +2.4%; the roasted coffee sales volumes, +2.5% compared with the same period last year; and the decrease of roasted coffee sales price (-2.3%) as a consequence of the decrease of the cost of raw material (green coffee).
Revenue in the Americas, at Euro 405,7 million in 2019 was down 2.2% at constant exchange rates compared with 2018, attributable to the Private Label channel, due to the slight decrease of roasted coffee sales price, a consequence of the decrease of the cost of raw material (green coffee). The Mass Market shows an improving trend in the fourth quarter while the food service channel is up double digit. Revenue generated in Northern Europe, increased 1.4% at constant exchange rates compared to 2018, showing a solid performance in the Mass Market in the second part of the year. Revenue in Southern Europe decreased by 3.0% compared with 2018, due to the sales prices adjustment in the Private Label and the timing of the introduction of new Segafredo products in the Italian Mass Market. Asia-Pacific and Cafés, which also includes the revenue generated by the international network of cafés, posted revenue of Euro 98.1 million, with a growth of 19.0% at constant exchange rates compared with 2018, also reflecting the Australian acquisition.
Gross Profit at Euro 407.7 million shows an increase of Euro 18.9 million compared with 2018 (+4.9%), and EBITDA adjusted amounts to Euro 84.0 million compared to Euro 73.7 million of 2018. Operating income (EBIT) is equal to Euro 34.0 million, a decrease of 2.4 million compared to 2018, and the net profit is equal to Euro 15.3 million, a decrease of Euro 4.6 million compared to 2018.
The Board of directors resolved to propose to shareholders the distribution of a gross dividend of Euro 0.19 per ordinary share, for a total of approximately Euro 6,517,000.
Massimo Zanetti, the Group's Chairman and Ceo, said: "In 2019, the turnover rose by 2.6% at current forex, highlighting a progressively improving trend over the recent months. Specifically, the Food Service and Mass Market channels improved in all the main markets in the fourth quarter of the year. Sustainable products performed particularly well, including the San Marco bio-compostable capsules, which were awarded product of the year 2019 in France, our Bean Ground and Drunk Australian coffee, the first certified organic coffee in Australia which was crowned Certified Organic Non-Alcoholic Beverage of the Year 2019, and the new Segafredo Premium D’Arome Bio blend, which brought the Group back to head the rankings of the products for the year 2020 in France. These new products also play an important role in the portfolio of products launched in 2019: almost 40% is organic, Rainforest and Fairtrade certified as the coffee grown in our plantation in Kauai (Hawaii). The increase in volumes in a highly competitive environment led the expansion of the gross margin, which partially offset the investments in marketing to develop new products and to strengthen the commercial structures in APAC and in Europe. Based on the results obtained and the positive expectations for the current year, we propose that, at the next Shareholders’ Meeting, the shareholders approve the distribution of a gross dividend of Euro 0.19 per share, with a payout of 42.6 % on the consolidated profit for the year".
EFA News - European Food Agency