Massimo Zanetti B. Group reports higher revenue and lower profits in 1H 2019
The Italian company is one of the leading brands worldwide in the production, processing and marketing of roasted coffee
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 the Consolidated Results as of June 30, 2019.
“The first half of 2019 closed with a turnover up +1.2% at current exchange rates - said Massimo Zanetti, Chairman and Ceo - a slight decline at constant exchange rates, mainly due to the trend in the price of the raw material, with a solid growth in the Food Service channel, driven by Asia Pacific and the Americas. I am also pleased to see that the endeavours made to develop new products, to meet the new market trends, are bringing the expected results: in particular I am referring to the development of sustainable products, such as bio-compostable capsules, and to the renewed range of Segafredo products that have been recently introduced in the Italian market. This gradual improvement in the product mix has enabled us to report a gross profit up by 2.7% compared to the first half of 2018 and makes us confident about growth in the second part of the year, thanks to the marketing and communication initiatives envisaged, especially in Italy. Based on the current results and the outlook, together with the strategies implemented, we confirm the expectations of profitability growth for the current year”.
Revenues reached euro 439.5 million compared to euro 434.4 million in the first half of 2018; +1.2% at current exchange rates, -1.8% at constant exchange rates. volumes stable; Gross Profit amounted to euro 196.5 million, +2.7% compared to euro 191.2 million in the first half of 2018 with the margin on revenues of 44.7% compared to 44.0% (+70 basis points); Ebitda adjusted and excluding Ifrs 16 effects totalled euro 31.0 million, -3.4% compared to euro 32.1 million in the first half of 2018; Ebitda amounted to euro 33.9 million, +5.8% compared to euro 32.1 million in the first half of 2018; Net profit adjusted and excluding Ifrs 16 effects fell to euro 5.1 million, -29.2% compared to euro 7.1 million in the first half of 2018; Net debt excluding Ifrs 16 effects rose to euro 205.6 million compared to euro 174.7 million at December 31, 2018 (euro 251.5 million at June 30, 2019 including Ifrs 16 effect).
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