Berentzen-Gruppe Aktiengesellschaft publishes Half-yearly Financial Report: Successful half year with considerable growth in earnings
13. August 2019 07:00
- Consolidated operating result (EBIT) up 10.1% to EUR 5.0 million
- Consolidated revenues up marginally at EUR 79.2 million
- Forecast for the 2019 financial year confirmed
Haselünne, August 13, 2019 – Berentzen-Gruppe Aktiengesellschaft, which is listed on the regulated market (General Standard) of the Frankfurt Stock Exchange (ISIN: DE0005201602), today published its Group Half-yearly Financial Report. In the first half of the 2019 financial year, the corporate group generated consolidated revenues of EUR 79.2 million (first half of 2018: EUR 78.4 million), which constitutes a slight increase of 1.1% on the previous-year period. Consolidated earnings before interest and taxes (consolidated EBIT) increased by 10.1% to EUR 5.0 million in the reporting period (first half of 2018: EUR 4.6 million), while consolidated earnings before interest, taxes, depreciation and amortisation (consolidated EBITDA) rose 10.8% to EUR 9.0 million (first half of 2018: EUR 8.2 million). The EBIT margin edged up from 5.8% to 6.3%.
“Today we can look back at a very successful first half of 2019”, says Oliver Schwegmann, member of the Executive Board of Berentzen-Gruppe Aktiengesellschaft. He goes on to say: “The figures show that we have taken the right path with the corporate group.” For example, he explains, the focus on higher-quality and profitable articles has yielded positive results. Schwegmann explains the main reason for the improved earnings as follows: “We succeeded in significantly increasing our gross profit margin and consequently also our absolute gross profit”.
For Schwegmann, one particularly pleasing aspect in the first six months of the 2019 financial year was the development of the Fresh Juice Systems segment, with revenues up 6.1%. Meanwhile, in the Non-alcoholic Beverages segment, the Berentzen Group reported a rise in revenues by 4.8%, he explains. “Although our products sold under the Mio Mio brand have already achieved a considerable market volume, we once again noted a high growth rate, with sales up 34%. We are particularly pleased about this success”, says Schwegmann. He tells us that the business with mineral waters likewise developed positively in the first half of the year.
By contrast, revenues in the Spirits segment slipped slightly, down 2.3% compared to the first six months of the previous year, according to Schwegmann. “We are still operating in a highly competitive market here, and are responding accordingly: We have streamlined our product portfolio by discontinuing unprofitable articles and have consciously reduced marketing campaigns that are too aggressive on price and burden earnings. That is also part of our strategy, which prioritises an increase in value added”, explains Schwegmann.
Outlook for the rest of the 2019 financial year
Schwegmann expects revenues to develop more dynamically during the rest of the financial year. “We did not start to expand listings and distribution for our two major innovations this year – the premium fruit liqueur Berentzen Signature and the non-alcoholic lemonade Kräuterbraut – until the second quarter. As a result, from the perspective of the whole year, these and other new products will not drive revenues until the second half of the year”, says Schwegmann. At the same time and as already communicated, more investment will be made in marketing, personnel and technology in the coming months in order to safeguard the corporate group’s long-term, sustainable success. In addition, there will be a further push to expand distribution for Mio Mio in the south of Germany, he says.
“We are convinced that we will achieve our own revenues and earnings targets for the 2019 financial year”, emphasises Schwegmann. Consolidated revenues are set to rise to somewhere between EUR 164.7 million and EUR 173.4 million in the 2019 financial year. Consolidated EBIT and consolidated EBITDA are expected to range from EUR 9.0 million to EUR 10.0 million and from EUR 17.0 million to EUR 18.8 million respectively. “Particularly because we are not only looking at short-term success but thinking and acting in a forward-looking manner, we are ensuring that we as a corporate group are operating profitably in the long term and are in a robust position going forward”, concludes Schwegmann.
About the Berentzen Group:
The Berentzen Group is a broad-based beverage company operating in the following three segments: Spirits, Non-alcoholic Beverages, and Fresh Juice Systems. The Berentzen Group is one of the oldest producers of spirits in Germany with a corporate history going back over 250 years. Today, it has a presence in more than 60 countries around the world with well-known brands like Berentzen and Puschkin and attractively priced private label products. In its Non-alcoholic Beverages segment, the corporate group produces mineral waters, carbonated and non-carbonated soft drinks under its own brands and also boasts more than 50 years of experience in the franchise business for soft drinks, currently acting as franchisee for the Sinalco brand. In addition, the Berentzen Group markets innovative fresh juice systems under the Citrocasa brand in its third segment, thus serving the fast-growing market for modern, health-oriented drinks. The Berentzen-Gruppe Aktiengesellschaft share (ISIN DE0005201602) is listed on the regulated market (General Standard) of the Frankfurt Stock Exchange.