euro adhoc: AGRANA Beteiligungs-AG
quarterly or semiannual financial statement
/ Fruit Segment drives AGRANA growth
Disclosure announcement transmitted by euro adhoc. The issuer is responsible for the content of this announcement.
11.01.2007
The AGRANA Group continued its growth course during the first nine months of 2006|07. AGRANA - the sugar, starch and fruit company - recorded an increase of 23% in revenues over the comparable prior year figure of EUR 1,121.5 million to EUR 1,380.4 million. Income from operations rose from EUR 83.5 million in the first three quarters of the previous year to EUR 89.7 million for the reporting period, or by 7%.
This solid development was supported primarily by the Fruit Segment as well as higher revenues in the Sugar and Starch Segments. Strong organic growth and the initial full consolidation of the former Atys Group led to an increase of EUR 209.2 million in the Fruit Segments revenues to EUR 583.6 million. Income from operations rose from EUR 83.5 million in the first three quarters of the previous year to EUR 89.7 million for the reporting period, despite the reform of the EU sugar common market organization (CMO) and higher prices for energy and raw materials.
Net financial expense for the first nine months of 2006|07 was influenced by higher interest expense related to acquisitions in the Fruit Segment as well as a decrease in income from associates following the changeover of Atys to full consolidation and the devaluation of several East European currencies. As a result, profit before tax fell slightly below the comparable prior year level. After the deduction of income taxes at 28% (prior year: 19%), net profit for the period before minority interests totaled EUR 56.0 million (first three quarters of 2005|06: EUR 63.6 million).
AGRANA - Key Data according to IFRS (March 1 to November 30)
3rd Quarter
EUR mn 2006|07 2005|06
Revenues 1,380.4 1,121.5
Income from operations 89.7 83.5
Profit before tax 77.8 78.9
Net profit for the period 56.0 63.6
Earnings per share (EUR) 3.76 3.96
Investments in tangible assets 86.2 59.6
Employees 8,383 8,358
Outlook
Price increases that took effect in the Fruit and Starch Segments during the
third quarter of 2006|07 will lead to a higher-than-expected improvement in
revenues for the reporting year. Group revenues are now forecasted to rise by
roughly 25% from EUR 1.5 billion in 2005|06 to nearly EUR 1.9 billion for
2006|07.This development will be supported above all by organic growth in the Starch and Fruit Segments, as well as the adjustment of the financial year for the companies in the Fruit Segment and subsequent inclusion of two additional months. Furthermore, Group revenues will reflect the first full-year consolidation of the former Atys Group and initial consolidation of DSF. The Fruit Segment will generate the largest share of revenues during the current financial year.
In the Sugar Segment, the flexible quota reduction and a decline in exports as of July 2006 as well as higher energy costs and first payments to the restructuring fund will have an unfavorable impact on earnings. However, these external factors will be partly offset by rationalization and cost savings measures implemented during the previous year and lower purchase prices for beets.
Sales volumes in the Starch Segment are forecasted to rise by roughly 8% in 2006|07. However, segment operating profit is not expected to match the prior year level because of lower prices for isoglucose and a significant increase in raw material and energy costs.
The Fruit Segment is expected to generate the largest share of operating profit, and will more than offset the negative impact of the new sugar CMO on results. This underscores the appropriateness of the diversification and growth strategy pursued by AGRANA. In total, the Group will be able to match the good operating profit recorded in the previous year (before restructuring).
This press release and the report on the first three quarters of 2006|07 are available in German and English under www.agrana.com.
end of announcement euro adhoc 11.01.2007 07:25:00
Further inquiry note:
AGRANA Beteiligungs-AG
Mag. Doris Schober
Investor Relations/Corporate Communications
Phone: +43-1-211 37-12084
e-mail:investor.relations@agrana.at
Branche: Food
ISIN: AT0000603709
WKN: 779535
Index: ATX Prime, WBI
Börsen: Wiener Börse AG / official market