Food industry: “Stelios Kanakis” registers ‘sweet’ profits in 2021 and continues to rise in 2022

Despite its great dependence on the HoReCa sector and the strong upward trends of international energy and raw material prices, the Stelios Kanakis company managed to increase its turnover and profitability to pre-pandemic levels in 2021, with the upward trend also continuing this year.

In particular, last year, the turnover of Stelios Kanakis, which since 2019 is controlled by the Norwegian group Orkla Food Ingredients, increased by 21.5% to 20.96 million euros, with exports showing a growth rate of 22% and domestic market sales 21.4% compared to 2020.

The results before taxes showed an increase of 27.8% and amounted to 2.5 million euros, a development attributed to the increase in sales and the containment of operating expenses.

The company managed in the last year to increase the margin of both gross and net profitability which increased by 31.2% to pre-pandemic levels.

However, the increases in the prices of the products introduced by the company throughout 2021 affected the percentage of the profit margin, which decreased by 32.4%.

The goals of 2022

Stelios Kanakis expects further strengthening of sizes for this year, which despite the provocative situation shows increased sales volumes in the first quarter of the year.

Stelios Kanakis’ main aspirations remain: the strengthening of its position in the market, the maintenance of its turnover at stable levels and, if possible, its increase by safe steps, the maintenance of net and gross profit margins and the reduction of operating costs , in order to remain in a profitable orbit in 2022.

In this direction, the company focuses on the further improvement of the quality of the products, on the utilization of the benefits from its membership in the multinational group and especially on the synergies that can arise both in product and geographical level, in the utilization of every opportunity that will presented both in the domestic market and in particular abroad and in the containment and reduction of costs.

Special agreements with suppliers

Regarding the increase in operating costs resulting from the sharp increases in raw materials, the company states that “it does not have the relative ease of directly passing on any increases in raw material prices to product prices.”

In order to reduce the impact of raw material price increases, the company enters into special agreements with its suppliers while adjusting its pricing and trade policy, so that any increases do not affect its profitability and overall financial performance. which in 2021 are characterized as particularly satisfactory.