Profitability and organic volume growth mark a strong start to the year
Johan Westman, President and CEO: “It is encouraging to see volumes returning to growth. With the added volumes, we are driving profitability not only through our global optimization programs but also via the operating leverage that comes with our organic volume growth. As a result, we are experiencing continued growth in operating profit combined with an improved return on capital employed.”
AAK Group
- Volumes increased by 3 percent to 556,000 MT (541,000), driven by Chocolate & Confectionery Fats and Food Ingredients.
- Operating profit increased by 32 percent, reaching SEK 1,254 million (952), including a negative currency translation effect of SEK 63 million. At fixed foreign exchange rates, operating profit increased by 38 percent.
- Profit for the period totaled SEK 934 million (662).
- Earnings per share equaled SEK 3.59 (2.55).
- Cash flow from operating activities amounted to SEK 717 million (1,102).
- Return on Capital Employed (ROCE), R12M, was 20.4 percent (19.1 percent on December 31, 2023).
Business areas
- Food ingredients operating profit increased by 34 percent to SEK 779 million (582).
- Chocolate & Confectionery Fats operating profit reached SEK 505 million (327), an increase of 54 percent compared to the same quarter last year.
- Technical Products & Feed operating profit totaled SEK 53 million (108), a 51 percent decrease compared to last year.
Conference call
The Interim report for the first quarter 2024 will be presented today, April 25, 2024 at 10 a.m. CET. For participation, please see instructions under the investor tab on the AAK website, www.aak.com.