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Bonduelle Sees Decline In Revenue Growth As Consumption Slows Down

By Dayeeta Das
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Bonduelle Sees Decline In Revenue Growth As Consumption Slows Down

Prepared vegetables firm Bonduelle has reported a 3.6% year-on-year increase in revenue on a like-for-like basis, to €572.2 million, in the third quarter of its financial year.

The performance marks a slight decline compared to the corresponding period last year, in which it posted a 4% increase.

According to the company, revenue growth in the latest quarter was driven by price increases and, to a lesser extent, by currency effects.

Moreover, a slowdown in consumption volumes affected Bonduelle's performance across various business segments and geographical areas, as well as its growth objectives, the company noted.

Nine-Month Performance

Over the first nine months, revenue amounted to € 1.8 billion, up 10.6% on reported figures and 5.3% on like-for-like basis.

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Bonduelle now expects revenue growth of around 5% for the full financial year and has confirmed its objective to achieve a stable current operating margin compared with the previous financial year, both at constant exchange rates and scope of consolidation.

Divisional Performance

In the Europe zone, Bonduelle saw revenue up 12.1% year-on-year on a reported basis (+12.7% like-for-like), to €376.8 million, in the third quarter.

Revenue in the segment was up 11.6% year-on-year on a reported basis, to €1.1 billion, in the first nine months.

Its canned and frozen business in Europe saw sustained growth in value and a limited decline in volume in the third quarter, due to continued dynamic activity in food service, and good resistance of branded products, notably Cassegrain.

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The ready-to-use fresh segment also witnessed growth in value over the quarter, and a slight decline in volumes due to shortages of raw materials in salads.

Revenue outside of Europe declined 7.2% year-on-year on a reported basis (-11.0% like-for-like) to €195.4 million.

In North America, the ready-to-use fresh segment in retail, was impacted by a significant slowdown in the market, particularly on salad bowls, in a context of pressure on purchasing power.

In the Eurasia zone, the geopolitical environment continued to affect consumption levels, which were negative in both volume and value on a like-for-like basis, Bonduelle added.

© 2023 European Supermarket Magazine – your source for the latest A-brands news. Article by Dayeeta Das. Click subscribe to sign up to ESM: European Supermarket Magazine.

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