EQS-News: AGRANA strongly improves earnings in first three quarters

EQS-News: AGRANA Beteiligungs-Aktiengesellschaft / Key word(s): 9 Month
   figures
   AGRANA strongly improves earnings in first three quarters

   11.01.2024 / 07:30 CET/CEST
   The issuer is solely responsible for the content of this announcement.

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   AGRANA strongly improves earnings in first three quarters
    

     • Revenue: € 2,947.8 million (+7.5%; Q1-Q3 prior year: € 2,742.5
       million)
     • EBIT: € 149.4 million (+197.6%; Q1-Q3 prior year: € 50.2 million *)
     • EBIT margin: 5.1% (Q1-Q3 prior year: 1.8%)
     • Profit for the period: € 78.1 million (+1,346.3%; Q1-Q3 prior year:
       € 5.4 million)
     • Outlook: Reiterating the forecast for the full year 2023|24 of a very
       significant increase in EBIT and moderate growth in revenue

    

   In the first three quarters of the 2023|24 financial year (the nine months
   ended 30 November 2023), AGRANA, the fruit, starch and sugar company,
   generated an operating profit (EBIT) of € 149.4 million (Q1-Q3 prior year:
   € 50.2 million *). Revenue was € 2,947.8 million (Q1-Q3 prior year:
   € 2,742.5 million). AGRANA Chief Executive Officer Stephan Büttner said:
   “Given the continuing volatile global business environment, we are pleased
   with how our financial year has gone to date. We improved our operating
   performance in almost all business areas. Although we see increasingly
   challenging business conditions in the fourth quarter of 2023|24 and the
   subsequent months, we nonetheless expect very significant growth in EBIT
   for this full financial year.”

    

   Results in each business segment

    

   FRUIT segment

   Revenue in the Fruit segment in the first three quarters was € 1,178.9
   million, an increase of 7.7% above the year-ago value. Fruit preparations
   revenue rose for price reasons. In the fruit juice concentrate activities,
   revenue remained stable. The Fruit segment’s EBIT in the first nine months
   reached a profit of € 50.1 million (Q1-Q3 prior year: EBIT loss of € 51.6
   million). In Asia we are experiencing a sustained deterioration in the
   market environment. As a result, as of 30 November 2023 in EBIT, an
   impairment charge of approximately € 16 million was recognised on assets
   in Asia. The fruit juice concentrate business grew its earnings
   significantly compared to the already good year-earlier period. This was
   driven primarily by improved contribution margins both of apple juice
   concentrates made from the 2022 crop, and of beverage bases.

    

   STARCH segment

   Revenue in the Starch segment in the first three quarters was € 907.4
   million, moderately below the value of the same period one year earlier.
   This year, the nine-month reporting period saw a gradual normalisation in
   market prices for starch products due to declining energy and raw material
   prices. Ethanol revenue fell significantly, owing to a sharp year-on-year
   drop of about 27% in Platts prices. EBIT of the Starch segment, at € 58.0
   million, was therefore down significantly from a year ago.

    

   SUGAR segment

   The Sugar segment had revenue of € 861.5 million in the first three
   quarters, up 30.6% from one year earlier. This growth, achieved despite
   lower sales volumes, was driven by a substantial rise in sugar selling
   prices; the price trend was very positive both in the reseller business
   (wholesalers and retailers) and the industrial market. EBIT, at € 41.3
   million, represented an improvement of 19.0% from the year-earlier period.

    

   The detailed financial results are provided in the interim statement for
   the first three quarters of 2023|24
   ---> [1]LINK

    

   Outlook

   For the full 2023|24 financial year, AGRANA expects very significant
   growth in Group EBIT. The Group’s revenue is projected to show moderate
   growth. The positive EBIT guidance reflects the robust operating
   performance in the first three quarters of the financial year. From the
   fourth quarter of 2023|24 and in the subsequent months, AGRANA sees an
   increasingly challenging business environment.

   In the 2023|24 financial year, the AGRANA Group is investing € 140
   million, an amount significantly greater than the prior year's investment
   and than the budgeted depreciation of about € 120 million for this year.
   Around 14% of this capital expenditure will be for emission reduction
   measures in the Group’s own production operations, as part of the AGRANA
   climate strategy.

    

   About AGRANA

   AGRANA converts agricultural raw materials into high-quality foods and
   numerous industrial intermediate products. About 9,000 employees at 55
   production sites worldwide generate annual Group revenue of approximately
   € 3.6 billion. Established in 1988, the company is the world market leader
   in fruit preparations and the foremost producer of fruit juice
   concentrates in Europe. As well, its Starch segment is a major
   manufacturer of custom starch products (made from potato, corn and wheat)
   and of bioethanol. AGRANA is the leading sugar producer in Central and
   Eastern Europe.

   For queries, please contact:
   Markus Simak
   Public Relations
   +43 1 21137 12084
   [2][email protected]

   Hannes Haider
   Investor Relations
   +43 1 21137 12905
   [3][email protected]
    

   This announcement is available in German and English at [4]www.agrana.com.

   * EBIT in the first three quarters of the prior year (2022|23) included an
   impairment charge of € 91.2 million on assets and goodwill in the Fruit
   segment.

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   11.01.2024 CET/CEST This Corporate News was distributed by EQS Group AG.
   www.eqs.com

   ══════════════════════════════════════════════════════════════════════════

   Language:    English
   Company:     AGRANA Beteiligungs-Aktiengesellschaft
                F.-W.-Raiffeisen-Platz 1
                A-1020 Wien
                Austria
   Phone:       +43-1-21137-0
   Fax:         +43-1-21137-12926
   E-mail:      [email protected]
   Internet:    www.agrana.com
   ISIN:        AT000AGRANA3
   WKN:         A2NB37
   Listed:      Regulated Unofficial Market in Berlin, Dusseldorf, Frankfurt,
                Munich, Stuttgart, Tradegate Exchange; Vienna Stock Exchange
                (Official Market)
   EQS News ID: 1812351


    
   End of News EQS News Service


   1812351  11.01.2024 CET/CEST

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