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Parmalat FY09 EBITDA Up 16.2%

FBR Staff Writer Published 25 February 2010

Parmalat has reported revenues of EUR3.96bn for the fiscal year 2009, an increase of 1.4% compared to EUR3.91bn in the previous year. EBITDA for the year was EUR367.8m, up 16.2% compared to EUR316.6m in the prior year.

Group interest in net profit decreased to EUR519m, EUR154.1m less than the EUR673.1m earned in the previous year, mainly due to a reduction in the contribution provided by litigation settlements.

The group, while continuing to face strong competitive pressure from private labels, improved profitability, due to both to the list price increases, net of discounts, adopted in 2008 that had a continued impact in 2009, and the price increases adopted in 2009, as well as from the savings obtained on raw milk purchasing in almost all of the countries where Parmalat operates.

The beneficial impact of these factors were partially offset by the increase in operating and structuring costs by about EUR43m of which approximately EUR20m related to inflation issues in Venezuela and approximately EUR20m for the increase in marketing costs.

Group interest in net profit decreased to EUR519m, EUR154.1m less than the EUR673.1m earned in the previous year, mainly due to a reduction in the contribution provided by litigation settlements.

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