Apetit forecast fall in FY operational EBIT

Apetit forecast fall in FY operational EBIT

Apetit, the Finnish food group, has said its operational EBIT will fall in 2016 hit by pressure on volumes to the foodservice sector and pressure on profits within its grain business.

The company said it expects its operational EBIT, which does not include factors such as restructuring expenses, any significant impairment on goodwill and profit from its associated company Sucros, would be "positive" but below last year's EUR2.6m (US$2.9m).

Apetit said the profitability of its food solutions division "has not improved as expected" and said the outlook for the division for the remainder of the year is "weakened by lower-than-expected volume of fresh product sales to the professional foodservice sector".

The group said the new harvest season had made the outlook for its grain trade arm clearer for the remaining part of the year. "Supply is plentiful, which is expected to keep the price level and margins in international grain markets at a low level," Apetit said.