Parmalat Sees Decline In Volume Sales As Milk Prices Rise

By Publications Checkout
Share this article
Parmalat Sees Decline In Volume Sales As Milk Prices Rise

Italian dairy and food manufacturer Parmalat has posted net revenue of €4.839 billion in the first nine months of the year, representing growth of 5.5% at current exchange rates.

However, sales volumes were down 3.7%, and EBITDA fell by 5.8%.

The company says that its performance was adversely affected by a worldwide increase in the cost of milk, coupled with a highly competitive market, at both a retail and industrial level.

Volumes fell across all regions, including Europe (-1.1%), North America (-0.2%), Africa (-7.3%), Oceania (0.6%), and Latin America (-11.8%).

2017 Outlook

Parmalat's original projections for 2017 forecast a signifiant acceleration in the second half of the year, compared with the first six months.


However, the situations that adversely affected performance in the third quarter signal expectations of further contraction in profitability by the year's end.

As a result, the group it now anticipating net revenue gain of up to 1%, however, EBITDA is expected to decrease by between 3% and 5%.

© 2017 European Supermarket Magazine – your source for the latest retail news. Article by Sarah Harford. Click subscribe to sign up to ESM: The European Supermarket Magazine.

Get the week's top grocery retail news

The most important stories from European grocery retail direct to your inbox every Thursday

Processing your request...

Thanks! please check your email to confirm your subscription.

By signing up you are agreeing to our terms & conditions and privacy policy. You can unsubscribe at any time.