Continued positive development for Lantmännen in first third of 2017
Lantmännen’s result after net financial items for the first four-month period of 2017 amounts to 354 MSEK – compared to 304 MSEK for the same period last year.
”Lantmännen continues to develop in a positive way. We have a strong momentum in our businesses, and the strong earnings trend from last year has been maintained,” says Per Olof Nyman, Lantmännen’s CEO and Group President.
All figures below refer to operating profit for the period of January-April, 2017. Last year’s results in brackets.
The Agriculture Sector has had a stable start to the year, and shows an operating profit on the same level as the previous year: 96 MSEK (94 MSEK). The Sector’s businesses are developing well in all areas compared to the first four months of last year. The Sector’s international interest holdings also show a result on a par with last year. On June 1, Lantmännen’s acquisition of Finnish K-maatalous from Kesko Group was finalized.
“The K-maatalous acquisitions provides us with an opportunity to establish ourselves in the Finnish agricultural market, and to strengthen our position in the grain value chain in the Baltic Sea region. K-maatalous is one of the biggest players in the Finnish agricultural market, with a strong product portfolio and several well-established brands,” says Per Olof Nyman.
The Machinery Sector continues to develop well, and has increased its result to 28 MSEK (11 MSEK). The higher result is mainly due to a strong market development in the Swecon business. During the first third of 2017, Lantmännen Maskin has taken over imports of Massey Ferguson’s range to the Swedish market. The Danish agricultural machinery business has been closed, and parts of the Norwegian business have been sold.
The Energy Sector has significantly improved its operating profit from last year: 141 MSEK (84 MSEK). The increase is mainly driven by a higher result in Lantmännen Agroetanol, which has successfully continued to develop its export of ethanol with high climate performance and its sales of sustainable, highly refined products.
The Food Sector’s result is slightly lower than the previous year: 154 MSEK (185 MSEK). The result has been negatively affected by planned startup costs for Unibake’s new bakery in Londerzeel, Belgium, as well as an unusually cold spring with lower sales of fast food products as a result. Lantmännen Cerealia faces tougher competition in all of its main markets.
Lantmännen Real Estate shows a stable development and a result, excluding property sales, of 70 MSEK (61 MSEK). Two strategic property acquisitions have been made during the first four-month period, in locations in Finland where Lantmännen Cerealia and Unibake currently have operations.
At Lantmännen’s Annual General Meeting, which was held on May 4, Henrik Wahlberg and Ove Gustafsson were elected as new members of Lantmännen’s Board of Directors. At the following statutory board meeting, Per Lindahl was elected Chairman, and Hans Wallemyr Vice Chairman, of the Board. The AGM also decided on a contribution dividend and contribution issue which, in combination with refunds and final price adjustments, amounts to a total dividend of 509 MSEK for Lantmännen’s members.
“We have during the spring initiated a comprehensive owner dialogue, ahead of the coming update of our long-term strategy. We have already received a lot of good input, and I look forward to working together with owners and employees to continue developing Lantmännen into an even more competitive and profitable company,” says Per Olof Nyman.
The interim report is available at http://lantmannen.com/en/financialinformation .
Pictures are available at http://lantmannen.com/bildbanken .
If you have any questions, please contact:
Per Olof Nyman, CEO and Group President, Lantmännen
Phone : +46 706 57 42 47
Email : email@example.com
Ulf Zenk, CFO, Lantmännen
Phone : +46 725 61 15 63
Email : firstname.lastname@example.org
Lantmännen’s press office
Phone : +46 730 46 58 00
This information is information that Lantmännen ek för is required to disclose under the EU Market Abuse Regulation. The information was submitted by the above contact person for publication at 08.00 CET on June 2, 2017.
Lantmännen is an agricultural cooperative and Northern Europe’s leader in agriculture, machinery, bioenergy and food products. Owned by 27,000 Swedish farmers, we have 10,000 employees, operations in over 20 countries and an annual turnover of SEK 37 billion. With grain as our basis, we process arable land resources to make farming thrive. Some of our best known food brands are AXA, Kungsörnen, GoGreen, Schulstad, Gooh!, FINN CRISP and Bonjour. Our company is founded on knowledge and values built up through generations of owners. Having research, development and operations throughout the value chain means that we can take responsibility together – from field to fork. For more information: http://lantmannen.se/en