Lotus earnings strengthen

Lotus earnings strengthen

Lotus Bakeries has attributed an increase in first-half profits to investments in its operations, which the Belgium-based baker said helped to drive efficiencies and increase flexibility.

The company said yesterday (25 August) EBIT increased 25.8% in the six months to 30 June, rising to EUR21.8m (US$28.8m). Net profit rose 19.4% to EUR16.2m.

"The operational efficiencies generated by the investment programs of the last few years contributed significantly to the operating result," the company stated.

In particular, Lotus highlighted the restructuring of its gingerbread production plants in the Netherlands. It also pointed to the transfer of frangipane production from its plant in the Belgian town of Lembeke to a site in Oostakker. The company, meanwhile, has added caramelised biscuits production lines in Lembeke.

During the period, Lotus also booked a 5% rise in turnover to EUR167.8m. Lotus said the gain was due to the "positive evolution" of its brands, which added to the bottom line. Lotus revealed plans to raise investment behind its brands in the remainder of the year.