Nov. 7 - At the end of September 2007, Bongrain SA's net sales amounted to Euro 2,584.4 million compared to Euro 2,435.6 million for the same period of 2006. On a like-for-like basis, this amounted to an increase of +7.6%.
Cheese product volumes increased within most markets, bolstering the development of the Group’s major brands.
The increase in net sales of other dairy products accelerated in comparison with the trend observed at the end of the first half of the year given the sustained global demand for dairy proteins and fats and the buoyant level of dairy raw material prices.
The following changes in consolidation scope had a negative net sales impact of -0.6%: the deconsolidation of Lactos (Australia) with effect from the 2nd quarter of 2006 and of Santa Rosa (Argentina) with effect from the end of 2006.
The negative impact of foreign currency movements amounted to -0.8% given in particular the gain in value of the euro compared to the US dollar.
The economic environment has been strongly influenced by the growth in raw material prices. The Group’s sales price increases currently underway will limit the impact of the raw material increases on the outlook for consolidated current operating profit for 2007 already communicated.
During the last quarter, Bongrain SA announced the sale of Bongrain Gastronomie to the private equity funds managed by 21 Centrale Partners. Bongrain SA has retained a 20% shareholding in the new operation which closed on October 31, 2007. In addition, on October 18, 2007 the anti-trust authorities gave their approval for the projected alliance between La Compagnie des Fromages, a subsidiary of Bongrain SA, and Les Fromageries Riches Monts belonging to the Sodiaal group.