Utrecht, February 26, 2008
Highlights
Total revenue in Q4-07 was EUR 411.5 million (Q4-06: EUR 407.8 million). Currency effect contributed EUR 33.3 million negatively. Solid growth figures at all four businesses – on or above target.
EBIT amounted to EUR 22.3 million in Q4-07 (Q4-06: EUR 12.3 million). Negative currency effect EUR 1.0 million.
Profit attributable to equity holders of Wessanen was EUR 15.7 million in Q4-07 (Q4-06: EUR 8.4 million, excluding profit from discontinued operations)
Cash flow generated from continuing operations in 2007 was EUR 30.1 million (2006: EUR 60.3 million).
CEO statement
Ad Veenhof, Wessanen CEO, comments: “I am pleased with the results we are presenting today. We have achieved profitable returns from each of our divisions. Our efforts spent on restructuring the businesses in North America and Europe, strengthening our brand and innovation strategy and optimizing our customer services in distribution have resulted in growth levels in line with or above our run-rate year-end 2007 targets.
The turning point came in the second quarter of 2007, when our North American distribution business started posting positive growth. Since the other three divisions were already trading profitably, North America Distribution’s turnaround has marked a highly significant point in the development of the new Wessanen.
Our key focus is on autonomous growth, healthy margins and a further increase of our operating profit. In this stage, acquisitions will be regarded to strengthen organic growth and should fit with our existing business focus. Furthermore, in light of our pursuit of 'Authenticity', we will take further steps with regard to supply chain transparency and sustainability.
As we cannot predict the effects of the economic developments in North America and – potentially – Europe, we need to be cautious in our financial forecast. Nonetheless, we have decided to increase the growth target levels for our North American branded and distribution businesses from 5-7% to 6-8% and we are confident that we will be able to realize the growth target levels of 5-7% for both our European businesses.”