Wessanen Reports Jump in Revenues Despite “Disappointing” Sales in Germany
26 Jul 2016 --- Organic food specialist Wessanen has reported revenues were up nearly nine percent in the first half, despite a disappointing showing in Germany where recent innovations have failed to meet expectations.
Revenues were up 8.5 percent to €285.7m ($315m) in Q2 while profits nudged up 1.2 percent to €16.3m ($18m) at the Netherlands –based company.
Across its own brands, French organic biscuit, drink and cereal brand Bjorg and biscuit brand Bonneterrre grew at double digit rate in the period, helped by a favorable market for organic food in France.
Its Whole Earth brand also performed well in the UK, helped by strong demand for peanut butter.
Wessanen's Alternative Dairy Category performed "strongly" in Italy.
But Wessanen said its results in Germany were "disappointing" across organic brands Allos and Tartex while innovations had failed to reached expectations.
Christophe Barnouin, chief executive, commented: "We are continuing to make good progress on the execution of our strategy and have achieved strong growth and increased profitability.”
“We achieved 9.9% autonomous growth on our own brands in H1 (Q2: 10.3%). Market development has overall continued to be favourable albeit at different levels across the countries.”
“We have been successful at completing two further acquisitions, one in the 2nd quarter and another one right at the start of Q3. Ineobio with its Destination brand further strengthens our position in the French Organic Store Channel with focus on organic coffee and tea. “
“Mrs Crimble’s in the UK opens a new strategic growth segment to us with its strong position in gluten free in-between products. Integration plans are on track. More and more consumers want to change to healthier and more sustainable food and we are well placed to benefit from this long term trend.”
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