ARYZTA achieved a slightly positive organic growth in Q1, as it had anticipated. Positive volume and price effects were partially offset by negative mix effect, with the latter continuing to improve. Performance in Europe compensated for a weaker rest of world, reflecting the importance of QSR outside of Europe. Performance improved gradually through the quarter, ARYZTA reveals.
“Innovation continues to enable the business to selectively optimize its portfolio range and exit lower-margin products. This, along with the ongoing cost initiatives and efficiencies, ensures the business remains on track to improve performance,” the company highlights.
ARYZTA AG Chairman and Interim CEO, Urs Jordi, commented: “ARYZTA’s Q1 revenue developed in line with guidance as growth improved gradually through the quarter. We expect this progressive trend to gradually continue. The business continues to manage the ongoing inflationary challenges while delivering cost and footfall advantages to customers. Innovation is supporting portfolio optimization which, along with the ongoing cost initiatives, ensures the business remains on track to deliver an improved performance. We reiterate our guidance to deliver low to mid-single digit organic growth for the 2024 financial year. ARYZTA remains focused on delivering the mid-term targets through organic growth, business improvement, free cash generation and total net debt reduction.”
ARYZTA Europe | |||||
Volume % | 7.9% | 0.2% | 0.3% | 5.6% | 0.8% |
Price % | 21.2% | 17.7% | 10.4% | 3.6% | – |
Mix % | 0.2% | (0.4)% | (1.7)% | (0.6)% | (0.5)% |
Organic growth % | 29.3% | 17.5% | 9.0% | 8.6% | 0.3% |
ARYZTA Rest of World | |||||
Volume % | – | (0.7)% | 3.8% | 0.4% | (4.2)% |
Price % | 16.2% | 14.6% | 7.5% | 5.8% | 2.7% |
Mix % | 2.1% | (0.4)% | (1.2)% | (1.3)% | 0.2% |
Organic growth % | 18.3% | 13.5% | 10.1% | 4.9% | (1.3)% |
Photo: Artisan bread. ARYZTA
