Otmuchów Confectionery Industry Plants, one of the largest confectionery manufacturers in Poland and a leading soft candy manufacturer in Europe, summarizes its financial results for the first half of 2024. During the period under review, the Group generated positive financial results, particularly noteworthy was the substantial improvement in profitability which at the EBITDA level amounted to 21.2 million PLN, an increase of 30.7 percent year on year. The operating profit reached 16.4 million PLN, compared to a loss of 6.3 million PLN in the first half of 2023. Net profit reached 11.1 million PLN, compared to a loss of 7.85 million PLN in the corresponding period in 2023.
In the first half of 2024, the Otmuchów Group generated 135.8 million PLN in revenues, indicating a decrease of 1.85 percent from 138.4 million PLN in the previous year. The operating profit was 16.4 million PLN, compared to a loss of 6.3 million PLN in the corresponding period in 2023. EBITDA increased by over 30 percent YoY to 21.2 million PLN. Meanwhile, net profit was nearly 11.1 million PLN, compared to over 7 million PLN in losses the previous year.
“The strong financial results in the first half are a result of the continued implementation of precisely planned optimization activities, which involved constant verification and elimination of the least profitable products and strengthening the best-performing products in terms of sales. Consistent pursuit of strategic targets allowed us to maintain growth and develop the business, including initiating a new process for the production of poured jelly after the reconstruction of the industry in Nysa, which will increase productivity and flexibility in the near future.” commented Monika Butz, Member of the Board and Financial Director of ZPC Otmuchów S.A.
In the first half of 2024, the Group continued to implement the strategic focus on jelly products. During the period under review, the Group carried out investment projects aimed at expanding the portfolio to include new categories of soft candies. In addition, the Group’s board also decided to sell the bar production line, as there is no business justification for this product category in the current strategy.
“The completion of the reconstruction in Nysa brings me great joy. Thanks to new production capabilities, we will quickly implement strategic assumptions. The successive implementation of our plans brings the Otmuchów Group closer to the position of a leading confectionery manufacturer in Europe, which in turn allows us to conduct research into potential new product categories. I hope that in the coming quarters we will announce new items in the range and strengthen both domestic and export sales.” commented Marcin Kukliński, President of the Board of ZPC Otmuchów S.A.
Source: https://managerplus.pl/grupa-otmuchow-zamyka-i-pol-2024-r-wzrostem-dynamiki-ebitda-i-zysku-netto-49688
