Animal feeder firm ForFarmers Q3 EBITDA falls as costs rise
Animal feeder firm ForFarmers Q3 EBITDA falls as costs rise
Overview
Netherlands animal feed producer's Q3 volumes and turnover grew modestly yr/yr
Gross profit rose 3.6% but underlying EBITDA fell 5.4% due to higher costs
Company expanded with acquisitions in Poland and UK and finalized Polish joint venture
Outlook
ForFarmers to update strategy and financial objectives at 24 Nov Capital Markets Day
Company did not provide specific financial guidance for the current or future periods
Result Drivers
VOLUME GROWTH - Co said total and compound feed volumes increased in Q3
HIGHER COSTS - Co said operating expenses rose due to higher fuel and energy prices
ACQUISITIONS AND JV - Co said recent acquisitions in Poland and UK and a new joint venture in Poland contributed to market position
Company press release: ID:nGNE4hnN9r
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Adjusted EBITDA |
| EUR 36.90 mln |
|
Q3 Gross Profit |
| EUR 159.60 mln |
|
Analyst Coverage
The one available analyst rating on the shares is "strong buy"
The average consensus recommendation for the fishing & farming peer group is "buy."
Wall Street's median 12-month price target for ForFarmers NV is €7.75, about 33.9% above its November 4 closing price of €5.79
The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 8 three months ago
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)