EQS-News: AGRANA Beteiligungs-Aktiengesellschaft / Key word(s): Annual
AGRANA achieves robust results in the 2023|24 financial year

14.05.2024 / 07:30 CET/CEST
The issuer is solely responsible for the content of this announcement.


AGRANA achieves robust results in the 2023|24 financial year

2023|24 at a glance (year ended 29 February 2024)

- Revenue: € 3,786.9 million (+4.1%; prior year: € 3,637.4 million)

- Operating profit before exceptional items and results of
equity-accounted joint ventures: € 176.6 million (+11.5%; prior year:
€ 158.4 million)

- Operating profit (EBIT): € 151.0 million (+71.1%; prior year: € 88.3

- Earnings per share: € 1.04 (+316.0%; prior year: € 0.25)

- Equity ratio: 43.2% (prior year: 41.8%)

- Dividend proposal for 2023|24: € 0.90 per share (dividend for 2022|23:
€ 0.90 per share)


Revenue of the AGRANA Group grew by 4.1% in the 2023|24 financial year to
€ 3,786.9 million. Operating profit (EBIT) was € 151.0 million, fulfilling
the guidance of a very substantial increase from the prior year. “Despite
a continued volatile environment – in which we adapted well to the market
dynamics of raw material and energy prices and sales volumes – we were
able to significantly improve our results. The Fruit segment did well
operationally; a downside factor in its operating profit was an impairment
charge made necessary by the ongoing strained business trend in Asia. In
the Starch segment, sales volumes and selling prices, and therefore also
operating profit, fell significantly compared to the previous year as a
result of the sluggish economy. The Sugar segment significantly improved
its capacity utilisation and increased its sugar production volume from
the year before. In spite of a decline in sugar sales volume due to
increased imports from Ukraine, the sugar business was satisfactory,” said
AGRANA CEO Stephan Büttner.


AGRANA Group consolidated financial results

€ million, except as indicated

  FY 2023|24 FY 2022|23 % or pp
Revenue 3,786.9 3,637.4 +4.1%
EBITDA* 291.1 277.1 +5.0%
Operating profit before exceptional items** 176.6 158.4 +11.5%
Share of results of equity-accounted joint 1.4 18.7 –92.5%
Operating profit (EBIT) 151.0 88.3 +71.1%
EBIT margin 4.0% 2.4% +1.6pp
Profit for the period 69.3 24.7 +181.0%
Earnings per share (EUR) 1.04 0.25 +316.0%
Investment*** 127.3 102.9 +23.71%
Number of employees**** 8,876 8,730 +1.67%

* EBITDA represents operating profit before exceptional items, results of
equity-accounted joint ventures, and operating depreciation and

** Operating profit before exceptional items and results of
equity-accounted joint ventures

*** Investment represents purchases of property, plant and equipment and
intangible assets, excluding goodwill

**** Average number of full-time equivalents in the financial year


Net financial items amounted to an expense of € 53.3 million in the
2023|24 financial year (prior year: net expense of € 26.5 million), with
the deterioration driven primarily by an adverse change in net interest
expense and, to a lesser degree, in currency translation effects
(including the interest portion of currency swaps).

Profit before tax grew very significantly from the previous year’s € 61.7
million to € 97.7 million. After an income tax expense of € 28.3 million,
representing a tax rate of 29.0% (prior year: 60.0%), the Group recorded a
profit for the period of € 69.4 million (prior year: € 24.7 million).
Profit for the period attributable to shareholders of AGRANA was € 64.9
million (prior year: € 15.8 million); earnings per share rose to € 1.04
(prior year: € 0.25).

Total assets as of 29 February 2024, at € 2,889.4 million, eased slightly
from one year earlier (28 February 2023: € 3,003.1 million), with an
equity ratio of 43.2% (28 February 2023: 41.8%). Net debt as of
29 February 2024, at € 636.1 million, was € 48.8 million less than at the
2022|23 year-end. The gearing ratio (net debt to total equity) thus eased
to 51.0% at the balance sheet date (28 February 2023: 54.5%).

In line with the long-term orientation of AGRANA’s dividend policy of
continuity, the Management Board will propose to the Annual General
Meeting to pay a dividend of € 0.90 per share for the year (dividend for
2022|23: € 0.90 per share).


Fruit segment

€ million, except %

  FY 2023|24 FY 2022|23
Revenue 1,566.9 1,481.9
Operating profit (EBIT) 60.2 (38.5)
EBIT margin 3.8% –2.6%

Revenue in the Fruit segment grew by 5.7% year-on-year. This was due to
price increases in fruit preparations, as well as higher sales volumes in
this business.

The Fruit segment’s EBIT result turned to a profit of € 60.2 million
(prior year: loss of € 38.5 million), lifted both by the non-recurrence of
a prior-year goodwill impairment and by the significantly improved
operating performance. A negative effect on EBIT in 2023|24 came from an
impairment loss of € 18.7 million on property, plant and equipment in
China and Japan that was due to the difficult economic situation there and
the resulting adverse business trend in Asia. 


Starch segment

€ million, except %

  FY 2023|24 FY 2022|23
Revenue 1,148.7 1,293.8
Operating profit (EBIT) 50.4 80.2
EBIT margin 4.4% 6.2%

 For the Starch segment, the 2023|24 financial year was characterised by
reduced demand and mounting pressure on prices. The inflation-induced
reluctance to spend and customers’ destocking led to a decline in sales
volumes compared to the prior year. Selling prices also fell
significantly, due to declining raw material prices.

As a result, revenue in the Starch segment decreased by 11.2% from the
previous year’s all-time high. About half of the decline was due to prices
and half to volume effects. The most pronounced revenue reduction was seen
in ethanol, as Platts prices fell significantly amid higher import

These effects led to a significant year-on-year reduction in Starch
segment EBIT to € 50.4 million (prior year: € 80.2 million).


Sugar segment

€ million, except %

  FY 2023|24 FY 2022|23
Revenue 1,071.3 861.7
Operating profit (EBIT) 40.4 46.6
EBIT margin 3.8% 5.4%

Revenue in the Sugar segment rose 24.3% from the year before. In 2023|24,
sales prices in both the reseller business (wholesalers and retailers) and
in the industrial sector were above the previous year’s average.

The increasing competition from Ukraine affected especially the Romanian,
Hungarian and Bulgarian sugar markets. To offset significantly lower sales
volumes in the home markets, export activities were intensified.

Operating profit in the Sugar segment decreased to € 40.4 million (prior
year: € 46.6 million) due to significant lost sales and a smaller profit
contribution by the AGRANA-Studen joint venture than one year earlier.



As already communicated in the third-quarter publication in January 2024,
AGRANA has been facing an increasingly challenging business environment
since the fourth quarter of 2023|24 and is forecasting significantly lower
EBIT for the 2024|25 financial year than the level achieved in 2023|24.
This earnings decline will already become evident in the first quarter of
2024|25. Group revenue is projected to show a slight reduction for the
full year.

Total investment across the three business segments in the 2024|25
financial year, at approximately € 120 million, is expected to be
moderately below the 2023|24 value and in line with budgeted depreciation
of about € 120 million. Around 12% of this capital expenditure will be for
emission reduction measures in the Group’s own production operations under
the AGRANA climate strategy. The goal is to reduce the Group’s own
emissions to net-zero by 2040. By 2050, the AGRANA Group is committed to
reaching net-zero emissions across its entire value chain.



AGRANA converts agricultural raw materials into high-quality foods and
numerous industrial intermediate products. About 9,000 employees at 55
production sites worldwide generate annual Group revenue of approximately
€ 3.8 billion. Established in 1988, the company is the global market
leader in fruit preparations and the world’s leading producer of apple and
berry juice concentrates. As well, its Starch segment is a major
manufacturer of custom starch products (made from potato, corn and wheat)
and of bioethanol. AGRANA is the leading sugar producer in Central and
Eastern Europe.

For queries, please contact:

Markus Simak
Public Relations
+43 1 21137 12084

Hannes Haider
Investor Relations
+43 1 21137 12905

This announcement is available in German and English at [3] www.agrana.com.



14.05.2024 CET/CEST This Corporate News was distributed by EQS Group AG.


Language: English
Company: AGRANA Beteiligungs-Aktiengesellschaft
F.-W.-Raiffeisen-Platz 1
A-1020 Wien
Phone: +43-1-21137-0
Fax: +43-1-21137-12926
E-mail: investor.relations@agrana.com
Internet: www.agrana.com
Listed: Regulated Unofficial Market in Berlin, Dusseldorf, Frankfurt,
Munich, Stuttgart, Tradegate Exchange; Vienna Stock Exchange
(Official Market)
EQS News ID: 1901869

End of News EQS News Service

1901869  14.05.2024 CET/CEST


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