FrieslandCampina Hellas: Rise in revenues, decline in profits – The next steps

FrieslandCampina Hellas (known to the general public under the brand name NOUNOU) increased its turnover in 2021, expecting that the positive performance will continue this year, despite the perfect storm that has hit the dairy sector.

The priority for Friesland Campina Hellas, a member of the Dutch cooperative group Royal FrieslandCampina, is to maintain share momentum in the domestic market by investing in both its established product base and new products.

In this year’s particularly challenging environment, Friesland Campina Hellas is reportedly maintaining its position in the ranking of the biggest “players” despite a decline in overall market sales volume.

In the first half of 2022, according to IRI data, volume losses in milk were about 5.8% and in yoghurt 7.8%.

Rise in dairy products fall in baby food

In particular, in the last financial year the company recorded a 6.3% increase in sales to 273 million euros, which, as noted in the company’s financial statements, was driven by an increase in demand in the domestic market.

The increase was mainly driven by dairy sales, which almost returned to the 2019 figures. More specifically, in 2021, dairy products worth 244.15 million euros were sold, up from 228.59 million euros in 2020 and 246.18 million euros in 2019.

Yoghurt sales increased last year, as well, reaching 5.65 million euros from 4.33 million euros in 2020 and 4.91 million euros in 2019.

In contrast, baby food sales declined, reaching 23.99 million euros from 24.65 million euros in 2020 and 23.01 million euros in 2019.

Decline in profits and exports

In terms of profitability, profit before tax fell by 26% to 6.3 million euros compared to 8.6 million euros in the previous financial year.

Net profit after tax fell to 4.2 million euros compared to 6.1 million euros in 2020.

In contrast to the positive performance of the dairy industry on the domestic market, its exports decreased by 7.08% compared to the previous financial year.

For 2022, “the company will continue initiatives to expand its distribution network to improve its financials,” it said.

The product portfolio

Recall that FrieslandCampina Hellas, with a 93-year presence in the Greek market, has a comprehensive range of dairy products, including baby milks and creams, sweetened condensed milks and high pasteurisation milks, yoghurts, creams and cheeses, under the brands NOUNOU, FRISO, MILNER and FINA.

The company covers almost all of the 20,000 food outlets throughout Greece.

At the same time, it distributes products for professional use under the brands FRICO, DEBIC and Barista’s Gold.