Business trends continue to be positive for Greenyard, which on September 17 reported that it has logged three consecutive quarters of growth including a firm sales increase in the first quarter of the current fiscal year, which ended on August 27.
The Sint-Katelijne-Waver, Belgium-headquartered producer and marketer of fresh, frozen and canned vegetables and fruits as well as flowers and plants expects its adjusted EBITDA (before application of IFRS 16) for the first six months of the fiscal year to amount to approximately €55 million (versus €47.6 million last year) and has accordingly raised its previously given adjusted EBITDA outlook from €100 million to €105 million for the full fiscal year to €106.0 million to €110 million. Greenyard also anticipates further positive developments in volumes, costs and margin.
This sustained sales growth underlines the importance of the company’s long-term customer relationships and reaffirms its regained strength.
Greenyard, which employs approximately 8,500 people and operates in 24 countries worldwide, also continues to work on a structural improvement of its margin, profitability and cash flow. Its adjusted EBITDA-margin increased compared to the same period last year. An improvement of margin in the fresh product segment of more than 25% compared to the same period last year largely contributed to this result. The development of partnerships, next to its other long-term commercial relationships, led to a shift toward more services with higher added value. In addition, a better alignment of sourcing flows and further cost control contributed to this improvement.
Greenyard’s first-half results will be published on November 17. The publicly traded company (Euronext Brussels: GREEN) generates turnover of approximately €4 billion per annum.
