Agrana Revenues Rise on Back of Wink Group Consolidation
The closure of two out of AGRANA’s 11 sugar factories caused one-off restructuring expenses of € 24.5 million to be recognized in the annual financial statements, reducing profit from ordinary activities to € 75.0 million.
03/05/06 Austrian based sugar giant the AGRANA Group’s revenues grew by 52.9 per cent to € 1,499.6 million in the 2005|06 financial year, according to provisional figures. Profit from operating activities grew by 9.6 per cent to € 99.5 million.
The closure of two out of AGRANA’s 11 sugar factories caused one-off restructuring expenses of € 24.5 million to be recognized in the annual financial statements, reducing profit from ordinary activities to € 75.0 million (2004|05: € 90.8 million). Consolidated earnings for the year came to € 64.7 million, as against € 84.3 million the year before.
The sharp rise in revenues was primarily due to the consolidation of the Wink Group as of 1 January 2005 and of the Atys Group—the world’s leader in fruit preparations for the dairy industry—from the second quarter of 2005|06. Growth was reinforced by high anticipatory sugar exports and an increase in world sugar prices.
As expected, profit from operating activities was up on the year at € 99.5 million despite higher energy costs and narrower margins in the sugar industry. However, restructuring dented profit from ordinary activities to the tune of € 24.5 million, less than half of which will affect cash flow in the next few months. Another low tax rate of 9.8 per cent (2004|05: 9.5 per cent) left consolidated earnings for the year at € 64.7 million (2004|05: € 84.3 million).
