Year-end report, 1 September 2009 - 31 August 2010: Improved full-year earnings for Cloetta’s second year
Sales of Cloetta’s products rose by 8% during the financial year to SEK 914 million (859). Total net sales amounted to SEK 1,061 million. Operating profit was SEK 35 million (0).
"Our strong full-year profit is a result of higher sales, a positive response to our product launches and greater efficiency in production, says Cloetta’s Managing Director and CEO Curt Petri. At the same time, earnings were impacted by rising raw material costs despite strengthening of the Swedish krona or price increases."
In the fourth quarter, sales of Cloetta’s products rose by 2% to SEK 185 million (181). Total sales amounted to SEK 213 million. Operating profit was SEK -6 million (-22).
"We also showed an improvement here. Cloetta’s fourth quarter is the weakest of the year in relative terms, as consumption of confectionery is normally lower during the summer months," continues Curt Petri. "We are now entering our first quarter, which includes the Christmas sales and is our strongest period."
"In recent years we have seen a continuous improvement in efficiency at the Ljungsbro factory. As a result of completed equipment investments and Fazer’s decision to transfer production of certain products to Finland, we have been forced to downsize our production staff," concludes Curt Petri.
The Board proposes a dividend of SEK 0.75 per share (-) for the financial year 2009/2010.
The information in this press release is subject to the disclosure requirements of Cloetta AB (publ) pursuant to the Swedish Securities Market Act. The information was submitted for publication on 19 October 2010, 16.47 CET.
For further information contact Curt Petri, Managing Director and CEO, mobile +46 70-593 21 69 or Kent Sandin, CFO, mobile +46 70-582 77 95.
About Cloetta
Founded in 1862, Cloetta is the oldest and only major Swedish confectionery company in the Nordic region. The company’s best known brands are Kexchoklad, Center, Plopp, Polly, Tarragona, Guldnougat, Bridge, Juleskum, Sportlunch, Extra Starka and Cloetta’s Good chocolate bar series. Cloetta has two production units in Sweden, one in Ljungsbro and one in Alingsås. The company’s class B shares are traded on NASDAQ OMX Stockholm. www.cloetta.com