Vandemoortele reports strong annual results once again
Regarding the 2019 financial year, the Vandemoortele Group has reported a strong result: the adjusted EBITDA rose to 152 million euros, an increase of 17% compared to 2018.
Please find the 2019 annual results here.
Please find the 2019 key financials here.
For the 2019 financial year, Vandemoortele is reporting a slight drop of 2% in turnover caused by the decreasing trend in raw material prices and partly due to a deliberate reduction in the number of product references in the Bakery division. In contrast, the adjusted EDITDA (REBITDA) rose by 16.9% to 152 million euros, of which 6.8% (8 million euros) can be assigned to the implementation of the IFRS16 lease standard.
This rise in the adjusted EBITDA applies to both the BP and the MCOF business lines. For the Bakery division, Vandemoortele is reporting a 21.1% profit growth to 95.8 million euros. This rise is largely thanks to cost-saving measures in production and logistics, as well as in purchasing of raw materials and packaging. In the MCOF division, a jump of 9.3% was made to 56.1 million euros, once again the best result ever. The main factors for profitability here are to be found in the favourable evolution of raw material prices and the excellent production results. In 2019, Vandemoortele invested 57 million euros in improving and reinforcing production capacity for the Bakery division, further modernisation of the MCOF production sites, and the Food Experience Center. The slight drop in profits after tax can be explained by the revaluation of exchange rates and interest risks, and higher income taxes.