Probi informed of continued destocking at one of its largest customers
Probi has been informed that one of its largest customers in the North American market is continuing its previously introduced destocking program, now as a result of over purchases and safety stock reduction.
According to information from the customer, it is expected that the destocking will continue during the second half of 2017 and the first quarter of 2018. It is expected that this will affect net sales negatively with approximately MSEK 50 per quarter over said period compared with corresponding periods 2016 and 2017. The impact will be slightly larger in Q4 2017 due to the large campaign volumes in this quarter previous year delivered to the customer.
Despite an encouraging start to the year and continued good growth momentum with other customers and the acquired business in the US, based on this information, Probi´s Board concluded today that the goal to organically grow faster than the global market is unlikely to be met in 2017.
This information is information that Probi AB is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact persons set out below, at 2 September 2017 at 08.30 CET.
FOR FURTHER INFORMATION, CONTACT:
Peter Nählstedt, CEO, Probi, tel +46 46 286 89 23, e-mail: email@example.com
Jörn Andreas, CFO, Probi, tel +46 46 286 89 41, e-mail: firstname.lastname@example.org
Niklas Brandt, CIO & Investor relations, Probi, tel +46 46 286 89 26, e-mail: email@example.com
Probi AB is a Swedish publicly traded bioengineering company. The vision of Probi is to help people live healthier lives by delivering effective and well-documented probiotics, with proven health benefits based on scientific research. Founded by scientists in Sweden in 1991, Probi is a multinational company with four centers of excellence, active in more than 40 markets around the world and holding over 400 patents worldwide. In 2016, Probi had net sales of MSEK 444. The Probi share is listed on Nasdaq Stockholm, Mid Cap. Probi has about 5,000 shareholders. Read more at www.probi.se.