In the first nine months of 2006, total sales of Vivartia Group (continuing activities) were increased by 10,5% to 484,9mil. euros from 438,9mil. euros. It should be noted that published figures are not directly comparable with the relevant period in 2005, as the result of 2006 only includes the financial results for one month of the bakery and pastry division- former Chipita.
For comparative reasons, and including the results of the bakery and pastry division for the full 9 months of 2006 and the equivalent period in 2005, the sales of the Group in 2006 are increased by 7,8% in 2006 vs 2005.
Respectively, EBITDA for Vivartia Group reached 72,7mil. euros from 82,8mil. euros, reduced by 12,2%. However, on a comparative basis, deducting the income received in 2005 from the resolution of the Danone partnership, and including the results of the bakery and pastry division for the full 9 months in 2006, the adjusted EBITDA increased by 7,9 % to 103,3 mil. euros directly comparable with the 95,8 mil. euros recorded in the equivalent period in 2005.
Lastly, published net profits for Vivartia Group increased by 34,7% to 35,4mil. euros from 26,3mil. euros, due to increased financial income, reduced taxation and the reduced minority interests. As such, the profits per share reached 0,75euros from 0,65euros, increased by 15,3%, stressing the difference in the number of shares in both years.
It should be noted that the net profits of the Group, following the relevant adjustments, as mentioned above, increased by 128,1% to 39mil. euros from 17,0mil. euros, the equivalent period in 2005.
In particular the sales and the profitability of each division for the full nine months are analyzed below:
- For the Dairy and Beverages division, sales reached 282,0mil. euros from 276,6mil. euros in Q3 2005, increased by 2% and including the sales of the Vlachas brand for one and a half months. Also, the sales of fresh milk and yogurt increased as a result of the further development of the high value functional products with the launching of new innovative products such as the Daily Protect range of products and the new range of yogurts. The division''s EBITDA recorded an increase of 11,8%, to 41,7mil. euros from 37,3mil. euros in the equivalent period in 2005 (not including the profit recorded from the resolution of the Danone partnership).
- For the Bakery and Pastry division, sales for the first nine months of 2006 increased by 18,2% to 256,2mil. euros from 216,8mil. euros. In particular, sales in Greece increased by 21% and abroad in the CEFTA countries by 35% and in the CIS countries by 5%, due to the launch of new products such as the salted snacks Pita Bakes, the Traditional Rusks and the new range of chocolate products (Finetti). On a profitability level, EBITDA reached 35,9mil. euros from 30,1mil. euros in 2005, increased by 19,2%.
- The Catering Services and Entertainment division, recorded an increase of 6,3% in sales, to 115,7mil. euros from 108,9mil. euro the same period in 2005, as a result of the consolidation of 4 new stores and the improvement in sales of the Flocafe shops. EBITDA reached 17,4mil. euros from 18,4mil. euros, reduced by 5,6% due to the increased marketing expenditure for the Goody''s brand during the first semester of 2006.
- For the Frozen Foods division, sales increased by 4,3% to 53,5mil. euros from 51,3mil. euros, due to the increase in the core business (frozen vegetables), and the launch of new products (tomato) and the introduction of fresh salads. On a profitability level, the significant improvement in costs resulted in a 6,6% increase in EBITDA which reached 10,7mil. euros from 10,0mil. euros in 2005.
VIVARTIA Group emerged from the absorption by DELTA Holding of DELTA Dairy S.A., CHIPITA S.A., Goody''s S.A., and General Frozen Foods - Barba Stathis S.A.. With its new structure, it improves significantly its financial position andrengthens its capital structure with equity of approximately 642 mil.euros and net debt of approximately 329 mil. euros, and has significant opportunities for development into new geographical areas and new product markets, which together with the synergies to be achieved will contribute to the further enhancement of shareholders'' value.