BELGIUM: PinguinLutosa nine-month sales boosted by acquisitions

By Chris Mercer | 28 January 2013

  • Nine-month sales rise by 32% to EUR663.2m (US$891m)
  • Acquisitions bolster business
  • To focus on cutting costs in UK

PinguinLutosa has reported a strong rise in sales for the first nine months of its fiscal year, benefiting from the knock-on effect of acquisitions and higher volumes.

For the nine months to the end of December, Pinguin Lutosa reported net sales up by almost 32% on the same period of the previous year, to EUR663.2m (US$891m).

The Belgium-based group saw the strongest growth in its frozen vegetable and canning businesses, which reported sales up by 35% and almost 63% respectively. Both of these units were bolstered by the addition of CECAB and Scana Noliko in the previous fiscal year.

PinguinLutosa's potato division showed the lowest growth over the period, with sales still up by 10.7% to EUR200m. The business is in the process of being sold to McCain Foods.

In its outlook, PinguinLutosa said it is confident that its remaining businesses can increase profitability. The firm plans to increase production capacity, although it warned that it will seek to cut costs in some markets, in particular the UK.

Show the press release

Regulated information
EMBARGO: 25/01/2013-17:45
PINGUIN NV (member of PinguinLutosa Food Group) ??
Romenstraat 3 ?? 8840 WESTROZEBEKE ?? Belgium
Tel. +32 (0)51 788 200 ?? Fax +32 (0)51 778 382 ?? www.pinguinlutosa.com
Press release
PinguinLutosa: Trading update Q3 2012-2013
Consolidation scope
Sales as per 31 December 2012 (9 month period from 1 April 2012 to 31 December 2012) as presented below
include 9 months sales of the Scana Noliko Group (‘canning division’). Comparative sales as per 31
December 2011 as presented below include 6 months sales of the Scana Noliko Group (‘canning division’)
as from the moment of acquisition (1 July 2011). The deep-frozen vegetable division that was acquired from
the CECAB Group (‘CECAB Activity’) contributed as per 31 December 2011 for a period of 4 months to the
comparative sales. The sales figures as per 31 December 2012 include the effect of this acquisition for a
period of 9 months.
Sales
For the 9 months to 31 December 2012, PinguinLutosa recorded consolidated sales of €663.3 million, which
represents an increase of 31.7% compared to the same period last year.
Evolution of sales per division is as follows:
Non-audited management figures in € 1 April to 31 December Evolution
2012 2011 %
Deep-frozen vegetable division (including
CECAB Activity1)
308,820,926 228,046,951 35.42%
Potato division 200,066,755 180,689,124 10.72%
Canning division 2 154,366,721 94,824,546 62.79%
Total 663,254,402 503,560,621 31.71%
In the deep-frozen vegetable division there was a growth in sales (including 9 months of CECAB Activity) of
35.4%. The impact of including 9 months of sales of the CECAB Activity amounts to €117.9 million. Without
taking into account the acquisition of the CECAB Activity, the sales increase amounted to 9.1%, which can
be mainly explained by the increased sales volumes.
1 The impact of including the sales of the CECAB Activity is only applicable as from 1 September 2011 onwards since this business
combination took place on 1 September 2011. 2 The impact of including the sales of Scana Noliko is only applicable as from 1 July 2011 onwards since this business combination
took place on 1 July 2011.
Regulated information
EMBARGO: 25/01/2013-17:45
PINGUIN NV (member of PinguinLutosa Food Group) ??
Romenstraat 3 ?? 8840 WESTROZEBEKE ?? Belgium
Tel. +32 (0)51 788 200 ?? Fax +32 (0)51 778 382 ?? www.pinguinlutosa.com
In the potato division there was a sales growth of 10.7%. This is the combined effect of on the one hand the
increase of volumes of 17.0% and on the other hand the decreased sales prices (-5.4%).
Outlook3
in the coming months PinguinLutosa will finalize the sales process of the potato division, meaning that
afterwards two divisions will remain, more specifically the deep-frozen vegetable division and the canning
division. The Board of Directors and the management are fully confident that the foundations are present in
order to achieve further growth in sales and profitability on a longer term. Therefore PinguinLutosa will
continue to invest in order to improve the performance and efficiency of its existing production capacity and
to increase its production capacity.
In the coming 18 to 24 months the integration of the CECAB Activity in the deep-frozen vegetable division will
receive the highest priority to hence ensure the margin improvement. In addition, further measures are being
taken to improve the profitability in the United Kingdom and there will be a strict focus on cost control.
3 Disclaimer: this press release contains forward-looking information that is based on current internal estimates and expectations and
as well as market expectations. The forward-looking statements contain inherent risks and are valid only on the day on which they
are made. Actual results may differ substantially from the results included in forward-looking statements.
Regulated information
EMBARGO: 25/01/2013-17:45
PINGUIN NV (member of PinguinLutosa Food Group) ??
Romenstraat 3 ?? 8840 WESTROZEBEKE ?? Belgium
Tel. +32 (0)51 788 200 ?? Fax +32 (0)51 778 382 ?? www.pinguinlutosa.com
Financial calendar
- Announcement of annual results 2012-2013 17 May 2013 (17:45 hrs)
- Availability of annual report 2012-2013: 24 July 2013 (17:45 hrs)
- Trading update Q1 2013-2014: 24 July 2013 (17:45 hrs)
- General Meeting: 20 September 2013 at 14:00 hrs at
Langemark, Poelkapellestraat 71
- Trading update Q3 2013-2014: 22 November 2013 (17u45)
For additional information, please contact PinguinLutosa:
Mrs. Marleen Vaesen, CEO:
Tel : +32 (0)56/62.27.86
M. Steven D’haene, CFO:
Mobile : +32 (0)476/50.99.10
Tel : +32 (0)56/62.27.41
PinguinLutosa in a nutshell
The PinguinLutosa Group (www.pinguinlutosa.com) is active predominantly in three segments, deep-frozen
vegetables, potatoes and canned goods. Within the deep-frozen vegetable segment, the production of deep-frozen
culinary vegetable preparations and dishes (‘convenience’) forms an extension of the basic activity whereas within the
canning segment the preparation of ready-to-eat food such as soups, sauces, dips and pasta dishes constitutes a
broadening of the basic activity (processing of harvest-fresh fruit and vegetables). Apart from the production and sales
of deep-frozen potato products (chips and specialties), the Group also produces chilled pre-fried chips and potato
flakes. The Group has 17 production sites in six different countries (Belgium, France, United Kingdom, Poland,
Germany and Hungary) and 19 subsidiaries and sales offices on five continents.
In the accounting period ending as per 31 March 2012 PinguinLutosa realised €832.8 million of sales. The Group is
entirely dedicated to all customer segmentations: food industry, catering as well as large and medium commercial
outlets and fast food. The Group maintains its own R&D centre for product and process innovation.

Original source: http://www.pinguinlutosa.com/files/finances/communiques/Uk/pr-eng-q3-2012-2013-.pdf

Sectors: Canned food, Condiments, dressings & sauces, Financials, Frozen

Companies: PinguinLutosa, Pinguin, McCain Foods

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