Turnover, fisrt half-year 2004: €348.1 million - 24/07
The Evialis group reported turnover of €348.1 million for first-half 2004, compared with €332.0 million for the same period last year, an increase of 4.9%. At constant exchange rates, turnover rose by 5.8% to €351.4 million.
Difficulty passing on the total increase in raw materials costs
In terms of volumes, tonnages of complete feed sold by the group in France remained stable on first-half 2003, reflecting market conditions.
Owing to heightened competition, particularly on the industrial pork and poultry markets, and out of solidarity with its farming customers, the group was able to pass on only part of the exceptional increase in raw materials costs to its selling prices. This increase accounts for most of the growth in turnover over the half-year.
Contrasting performance internationally
The group's international turnover showed contrasting performance.
Evialis is expanding its business in some emerging countries like South Africa, Indonesia and Vietnam, with good sales volumes for aquaculture at the group's new plant near Ho Chi Minh City.
In Brazil and Poland, which generate a third of Evialis's international turnover, the group is continuing the implementation of recovery plans.
Strongly impacted half-year results
The difficulty of passing on the total exceptional increase in raw materials costs in France should strongly impact the group's first-half results.
By contrast, the strategy to increase group competitiveness, and the expected return to normal of raw materials costs with the next harvests could enable the Evialis group to rebuild its margins gradually over the coming months.