Business stable, in spite of avian flu
|
Turnover in M€ (IFRS standards) |
2006 |
2005 |
% Change |
|
1st Quarter |
167.7 |
159.2 |
+ 5.3 % |
Market affected globally by Avian flu
Worldwide, the animal feed market was affected by the Avian flu virus and its consequences on breeding, over this period. As a result the sanitary cleaning out period in the breeding areas was lengthened in response to the fall in consumer demand for poultry.
As regards health and safety, the group put in place all the necessary preventative measures in its production centres concerned by this risk both in France and abroad.
Good resistance in french activities
In France, the species mix managed by Evialis’ teams is mainly in the ruminant sector. Because of this position, activity levels were able to keep up and even some market gains were made in the milk and meat bovine species, in a context of generally stable raw materials prices.
On the other hand, our premix specialities activities in France, being oriented towards poultry and notably, in the West of France were penalised, thus contributing less than usual to group turnover this quarter.
Lastly, the Animal Health division continued to make progress in an ever-competitive market.
Contrasting International results
Turnover from international activities increased by 16% to 38.5 M€. On a like to like basis this remains stable.
In Asia, turnover continued its positive trend of 2005, increasing from 8.2 M€ to 9.5 M€ over the first quarter, with a particularly strong performance in Vietnam, where volumes increased by over a third during this period, notably in the porcine and aquaculture sectors. On the downside, sales volumes decreased temporarily in Indonesia and India where poultry is dominant, following the avian flu virus.
In Eastern Europe, the group continued to develop its position in premix specialities and regained levels elsewhere, notably in its compound feed factories in Poland.
Southern Europe maintained its turnover both its premix and compound feed activities. However, its volumes were affected by the current avian flu crisis.
In Brazil, activity levels remained buoyant with a turnover of over 10M€ for the quarter, an increase of more than 10% compared with the same period for the previous year.
In South Africa, through Coprex’s organic growth and the recent acquisition of Monti Food, there was a noteworthy increase in this region’s contribution to Group turnover : 3.9M€ compared with 1.8M€ for the same period in 2005.