French cheese group Bongrain has booked a mixed set of first-half numbers, with higher sales and operating profit but lower net income.
The company said today (30 August) that sales rose 3.5% to EUR2.04bn. Gains were driven by organic growth of 4.4% which was partially offset by the negative impact of currency exchange.
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Operating profit was also up, rising to EUR89.3m, up from EUR79.7m in the first half of 2012. The company said operating profit was boosted by an improved dairy products margin and “steady” cheese margins.
However, the bottom line was hit by one-off costs, including provision for disputes and impairment charges in central and eastern Europe, as well as higher tax costs. Net income fell to EUR24.4m from EUR36.5m.
Looking to the remainder of the year, Bongrain said it would look to raise prices to reflect higher milk costs.
