Suresnes —
Bel
Third quarter 2020 financial information
Sales
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Amounts are expressed in millions of euros and rounded off to the nearest million. Ratios and variances are calculated based on underlying amounts, not rounded off amounts.
At
In Q3 2020, organic sales growth remained strong, advancing 2.0% overall and increasing 3.0% excluding the Levant region, against an already high comparison base in Q3 2019. Consolidated sales totaled €857 million, down 1.1% versus Q3 2019, after factoring in a markedly negative foreign-exchange impact of 3.1%, or €27 million.
Organic sales growth for the period was notably fuelled by strong performances achieved in
These good performances offset the consequences of pandemic-related measures, particularly in
Sales by market segment
Third quarter | 9 months | ||||||||
millions of euros | 2020 | 2019 | % change | % organic growth | 2020 | 2019 | % change | % organic growth | |
Global Markets | 703 | 720 | -2.3% | +0.9% | 2,137 | 2,123 | +0.7% | +1.6% | |
New Territories | 154 | 147 | +4.6% | +7.4% | 457 | 402 | +13.6% | +13.7% | |
TOTAL | 857 | 867 | -1.1% | +2.0% | 2,594 | 2,525 | +2.7% | +3.5% |
Global Markets
In
The contraction observed in the Levant markets since the second half of 2019 continued apace and accounted for the 1.5% decline in Q3 sales in the
In
The plant in
New Territories
In
The sales momentum of all MOM products and brands stayed buoyant in the New Territories market segment.
Sales by geographic region
Third quarter | 9 months | |||||||||
millions of euros | 2020 | 2019 | % change | % organic growth | 2020 | 2019 | % change | % organic growth | ||
459 | 457 | +0.4% | +0.7% | 1,375 | 1,348 | +2.0% | +2.1% | |||
166 | 183 | -9.4% | -1.5% | 533 | 553 | -3.7% | -0.6% | |||
232 | 226 | +2.5% | +7.4% | 686 | 624 | +10.0% | +10.2% | |||
TOTAL | 857 | 867 | -1.1% | +2.0% | 2,594 | 2,525 | +2.7% | +3.5% | ||
2020 results outlook
The economic environment remains highly unpredictable, given a persistent global health crisis that is still growing in many countries.
Nevertheless, Bel remains confident about its pursuit of innovative and more responsible growth and its aim to add plant-based products to all its core brands, beginning with the launch in October of a plant-based version of Boursin in
In the second half of the year, Bel expects to beef up spending to support its brands, notably during the end-of-the year holiday season, against the backdrop of a tough health crisis. Bel plans to restart in-store promotional initiatives, backed by advertising campaigns similar to the one rolled out for Mini Babybel at the end of September. At the same time, spending in fast-growing territories like
For 2020, despite the extraordinary costs arising from managing the health crisis and which impacted industrial productivity efforts, Bel expects operating margin to improve over the 2019 performance. The company also confirms its potential for significantly improving net cash position, notably as a result of tightly managing working capital requirement and investment.
With its long-term commitment to champion healthier food and to conserve the earth's resources encapsulated in its new "For All. For Good" signature, Bel is fully in sync with a sustainable and profitable growth model.
Bel's financial performance indicators
The Group uses non-IFRS financial performance indicators internally and for its external communication. These non-IFRS indicators are defined below:
Organic growth corresponds to reported sales growth, excluding impacts from foreign exchange fluctuations and changes in the scope of consolidation, i.e. on a constant structure and exchange rate basis. The organic growth rate is calculated by applying the exchange rate for the prior year period to the current year period.
This press release may contain forward-looking statements. Such trend and/or target information should in no way be regarded as earnings forecast data or performance indicators of any kind. This information is by nature subject to risks and uncertainties that may be beyond the Company's control. A detailed description of these risks and uncertainties is provided in the Company's Registration Document, available at (www.groupe-bel.com). More comprehensive information about the
About Bel
Some 12,400 employees in some 30 subsidiaries around the world contribute to the deployment of the Group's mission to champion healthier and responsible food all. Bel products are prepared at 32 production sites and distributed in nearly 120 countries.
www.groupe-bel.com
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Public relations
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sarah.duparc@havas.com - 01.58.47.82.06 / 06.46.72.39.99
Attachment
- Bel_Third quarter 2020 financial information_US
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