Spanish food giant Ebro Foods has posted a 7.6% year-on-year growth in consolidated sales, to €1.4 billion, in the first half of its financial year.
The company's EBITDA grew 6% year on year to €159.4 million during this period.
Operating profit declined by 4.5% during the first half of 2019, as the company earned an additional €6.8 million in the same period in 2018 from the divestment of SOS in Mexico.
The company ended the first half with net debt of €832 million, up €127 million from the end of 2018.
The food giant's rice division saw 10% year-on-year sales growth to €758.7 million in the first six months.
Operating profit increased by 1% to €73.2 million during this period, while EBITDA grew 12.8% to €96.9 million.
Turnover in Ebro Foods' pasta business grew 4.5% to €627.6 million,
However, growth was slowed by the seasonality of product sales and their correlation with the weather.
The pasta segment's EBITDA fell by 1% to €68.6 million, with a 10.9% margin, primarily due to the poor results at Roland Monterrat, the early heatwave in France and service imbalances in the US, the company said.
The company expects group sales to increase in the second half of the year, driven by promotional offers and seasonal impact.
The company also said that it would not rule out the possibility of acquisitions that would add value to its shareholders.
© 2019 European Supermarket Magazine – your source for the latest retail news. Article by Dayeeta Das. Click subscribe to sign up to ESM: European Supermarket Magazine.