PRESS RELEASE
Loudéac,
H1 2023 revenue up 16.2%
In millions of euros, unaudited | H1 2022 | H1 2023 | Change | Change at constant scope 1 |
Farming Supplies | 55.2 | 65.6 | +18.8% | +0.3% |
Farming Production | 5.5 | 4.8 | -12.6% | -12.6% |
Other 2 | 0.8 | 1.0 | +39.0% | +39.0% |
TOTAL | 61.5 | 71.5 | +16.2% | -0.1% |
Over the period, Farming Supplies (92% of half-year revenue), marketed under the Vital Concept brand, posted revenue of €65.6m, up 18.8% (+0.3% like-for-like). Business was driven by the contribution of the
The widespread easing in selling prices in some markets in recent months, including nutrition and health, weighed mechanically on revenue. Against this backdrop, Group sales remained stable, with an increase in the number of orders and the acquisition of new market share. Having built up inventories consistent with its reasonable purchasing policy,
Revenue from the Farming Production business (7% of half-year revenue), marketed under the Alphatech brand, amounted to €4.8m, down 12.6%. After a sharp increase in sales in 2022, stemming in particular from the recovery in sales for export (30% of Farming Production sales), business slowed in H1 2023 as some countries (including
In the current quarter, the Company will also be able to count on the increase in its production level, bolstered by the commissioning of its new production line in
“Other activities”, comprising Farming Advisory (marketed under the Agritech brand) and Farming Innovation (marketed by the Bel-Orient pilot farm), a technological showcase and demonstration of the Group’s farming expertise, posted a 40% increase in sales.
2023: Focus on preserving margins
With selling prices expected to continue declining over the coming months,
- Offer competitive prices on loss leaders, including in healthcare, seeds and harvest products;
- Increase the average basket by offering complementary products, particularly own-brand, which have stronger margins;
- Increase order volumes, in particular by encouraging customers who make occasional orders to make more frequent orders;
- Continue to enhance purchasing by favouring the marketing of higher-contribution products.
The decline in selling prices, combined with persistently high expenses, is expected to temporarily weigh on half-year margins. To shore up profitability, the Group will continue to exercise strict financial discipline.
After the successful acquisition of BTN de Haas in 2021 and the
In addition to the one-off price adjustment and its mechanical effect on revenue for the period, the Group in the long term is reasserting its target of annual revenue of around €200 million by 2025 and an EBITDA margin of around 6.5%. To that end,
- A solid business model combining an established long-standing business activity and high-potential growth drivers;
- An extensive catalogue constantly renewed through continuous innovation;
- Competitive prices fully transparent to customers, along with optimised costs;
- A proven ability in acquisitions and integrations;
- A unique positioning at the centre of the agricultural market, creating competitive offers for its farmer customers.
Next release:
H1 2023 results on
About
Founded in Loudéac, in the heart of Brittany, at the beginning of the 1990s, the
With a vast catalogue of more than 35,000 product references (seeds, phytosanitary, harvesting products, etc.), two-thirds of which are marketed under own brands,
By 2025,
For more information about the company: www.winfarm-group.com
Contacts:
investisseurs@winfarm-group.com | |
ACTIFIN, +33 (0) 1 56 88 11 11 winfarm@actifin.fr | ACTIFIN, Financial Press Relations Jennifer Jullia +33 (0)1 56 88 11 19 jjullia@actifin.fr |
1 Excluding the consolidation of
2 Revenue from farming advisory services (under the Agritech brand) and experimental farm activities (under the Bel-Orient brand).
Attachment
- WINFARM_PR_SALES_H1_2023_EN_vdef
© OMX, source