Brief: Sligro Food Group H1 EBITDA Up At Eur 65 Million

Sligro Food

21/07/2022 06:12

July 21 (Reuters) - Sligro Food Group NV  SLIGR.AS :
    * RECOVERY OF REVENUE AND RESULT, DIVIDEND POLICY REINSTATED
    * H1 REVENUE EUR 1,129 MILLION VERSUS EUR 788 MILLION YEAR
AGO
    * H1 EBITDA EUR 65 MILLION VERSUS EUR 35 MILLION YEAR AGO
    * H1 NET PROFIT EUR  23 MILLION VERSUS LOSS EUR 4 MILLION
YEAR AGO
    * OUTLOOK: INFLATION WILL REMAIN HIGH IN H2, ALTHOUGH WE
EXPECT
THE 2021 BASELINE FOR COMPARISON TO LEAD TO A RELATIVE DECLINE
IN INFLATION DURING THE COURSE OF THE SECOND HALF OF THE YEAR
    * OUTLOOK: IN H2, WE EXPECT TO MAINTAIN ACTIVITY AT THE
CURRENT
LEVEL, BUT REMAIN VIGILANT FOR SIGNS OF WEAKENING GROWTH 
    * END-H1 FREE CASH FLOW NEGATIVE EUR  7 MILLION VERSUS
POSITIVE
EUR 40 MILLION YEAR AGO
    * OUTLOOK: A NEW COLLECTIVE LABOUR AGREEMENT, VALID TO THE
END OF
2023, HAS BEEN REACHED IN OUR SECTOR. UNDER THE TERMS OF THAT
AGREEMENT, A PAY INCREASE OF 3.0% CAME INTO EFFECT ON 1 JULY
2022, AND A FURTHER 1.5% INCREASE IS DUE ON 1 FEBRUARY 2023
    * OUTLOOK: WE EXPECT TO BE ABLE TO IMPLEMENT IMPROVEMENTS TO
EFFICIENCY WHEN A DEGREE OF STABILITY RETURNS TO THE MARKET AND
PARTIALLY OFFSET THE COST INCREASES
    * OUTLOOK: WE LOOK AHEAD TO THE SECOND HALF OF THE YEAR WITH
A
FEELING OF CONFIDENCE
    * THE INTERIM DIVIDEND AMOUNTS TO €0.30 PER SHARE AND WILL
BE
PAYABLE ON MONDAY 3 OCTOBER 2022
    * OUTLOOK: WE ARE REFRAINING FROM MAKING ANY FIRM FORECASTS
ABOUT
THE RESULTS FOR THE SECOND HALF OF THE YEAR
    * OUTLOOK:  IN VIEW OF THE CUSHIONING EFFECT OF HOSPITALITY
CAPACITY UNDERUTILISATION DUE TO HUGE STAFF SHORTAGES, WHICH
MEANS THAT A HIGH PERCENTAGE OF LATENT CONSUMER DEMAND CANNOT
CURRENTLY BE MET
    * ALTHOUGH WE HAVE COMPENSATED RISING INFLATION BY IMPROVING
EFFICIENCY WHERE POSSIBLE, WE HAVE STILL HAD TO PASS ON THE
LION’S SHARE OF THOSE INCREASES IN THE PRICES WE CHARGE OUR
CUSTOMERS.
    * WE DO NOT EXPECT THAT A RECESSION OR RE-EMERGENCE OF
COVID-19
WILL HAVE A SIGNIFICANT IMPACT, ALTHOUGH WE HAVE ACTION PLANS
READY SHOULD THAT HAPPEN-CEO
    * MAIN FOCUS WILL LIE ON STABILISING OUR OPERATIONS AFTER
THE
TURBULENT RESTART-CEO

Source text: https://bit.ly/3cuP6Bt
Further company coverage:  SLIGR.AS 

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