Agrokor Monthly Operating Profit Almost 10% Higher Than Expected
Croatian conglomerate Agrokor has seen a jump of nearly 10% in operating profit during the period from May 11 to June 10, 2018, according to its 14th Monthly Report of the Extraordinary Administration.
The report reveals that the firm's EBITDA amounted to HRK 274.6 million (€37.2 million) during the period, 9.6% higher than expected, thanks to the retail and food business group.
The retailer announced that the Konzum retail chain, its largest banner in the retail segment, saw its revenues increase by almost 20% when compared to the same period last year, due to increased footfall and basket growth.
Agrokor was put under state-run administration in April 2017, as a result of intense debts built up during an ambitious expansion drive.
Food & Agriculture
Agrokor's food business group generated HRK 2.1 billion (€284.5 million) of revenues and HRK 234.1 million (€31.7 million) of EBITDA in the first four months of the year.
The group said that significantly higher revenues and operating profit were made in the frozen food and ice cream segment due to the increase in operational efficiency and sales growth in all ice cream categories.
Agriculture activities for the business were offset by record low prices of pork. Revenue for the first four months was HRK 642 million (€87 million), 3.7% lower than the expected HRK 667 million(€90 million) while the EBITDA for the period was HRK 53.8 million (€7.2 million).
The Croation group was recently valued at €2.5 billion after a rescue deal that saw creditors take control of the indebted food and retail group.
© 2018 European Supermarket Magazine – your source for the latest retail news. Article by Aidan O'Sullivan. Click subscribe to sign up to ESM: European Supermarket Magazine.