Zurich / CH. (aag) Aryzta AG outperformed strongly in 2023 across all key metrics with innovation driving top line growth and efficiencies boosting margin expansion. The company is on track to deliver its mid-term targets having implemented all the key changes across the business, the Swiss-based bakery group said in its latest Ad Hoc announcement. Summary:
Key Highlights for 17-month performance to December 2023
- Revenue increased to EUR 3,046.0 million
- Organic growth of 17.3 percent
- Ebitda increased to EUR 400.8 million
- Ebitda margin of 13.2 percent
- Profit for the period increased to EUR 160.5 million
- Free cash flow reached EUR 139.6 million
Key Highlights for 12-month performance 2023 versus 2022
- Revenue increased 14.4 percent to EUR 2,192.7 million
- Organic growth of 14.7 percent
- Ebitda increased 32.3 percent to EUR 304.5 million
- Ebitda margin expanded to 13.9 percent
- Profit for the period increased to EUR 125.7 million
- Free cash flow reached EUR 132.4 million
Chairman’s and interim CEO’s summary
Urs Jordi, Chairman and interim CEO: «Aryzta outperformed strongly in 2023 across all key metrics with innovation driving top line growth and efficiencies boosting margin expansion. Aryzta is on track to deliver its mid-term targets having implemented all the key changes across our business. With the post Covid recovery boost no longer a factor and a reducing price effect, we expect FY-2024 growth rates to normalize. Our growth will remain organic focused and innovation led while our margin progression will be supported by efficiencies and costs optimization. We expect 2024 quarterly growth trends to vary as was the case in 2023. In light of Q1 2024 organic growth trending at a lower run rate, reflecting temporary softness especially in QSR, we expect organic growth to be in the low to mid-single digit range for the full year.»
Outlook
Further normalized improvements in all key metrics are expected in 2024, with low to mid-single digit organic growth driven largely by volume and mix. Ebitda margin expansion is also expected to normalize, supported by growth, efficiencies and cost discipline. The Group continues to deliver strong levels of free cash flow and the focus remains on improving ROIC. Aryzta is on track to achieve its 2025 mid-term targets.
Board composition proposals will be communicated to shareholders in the upcoming AGM invitation. Aryzta expects to appoint a new permanent CEO later this year as the dual role of Group Interim CEO and Chairman is scheduled to end in 2024. The transition to the new permanent CEO will involve significant oversight and support from the Chairman and the Board. In addition Aryzta expects to update its three year plan and targets for 2026-2028 in the course of the year.
For additional information please read the Company’s PDF file below (313 KB):
20240305-ARYZTA-FY2023.