Berentzen-Gruppe Aktiengesellschaft publishes Interim Report Q1/2024: Earnings and profitability increased in the first quarter of the 2024 financial year

  • Consolidated EBIT of EUR 1.3 million achieved - an increase of 33.0% compared to the same quarter of the previous year
  • Group sales slightly below the same quarter of the previous year at EUR 40.9 million
  • Annual forecast confirmed
Oliver Schwegmann, CEO of Berentzen-Gruppe Aktiengesellschaft
© Berentzen-Gruppe Aktiengesellschaft
Source:  Company news

Berentzen-Gruppe Aktiengesellschaft (ISIN: DE0005201602), which is listed on the Regulated Market (General Standard) of the Frankfurt Stock Exchange, has published its interim report for the first quarter of the 2024 financial year. In the first three months, the corporate group generated consolidated revenues of EUR 40.9 million (Q1/2023: EUR 41.8 million). Consolidated earnings before interest and taxes (consolidated EBIT) totalled EUR 1.3 million (Q1/2023: EUR 1.0 million), while consolidated earnings before interest, taxes, depreciation and amortisation (consolidated EBITDA) amounted to EUR 3.4 million (Q1/2023: EUR 2.9 million).

The beginning of the year was characterised by a difficult market environment with consumer restraint due to inflation. "In the first quarter of this year, we were nevertheless able to achieve pleasing sales growth for our two strategic core brands Berentzen and Mio Mio", says Oliver Schwegmann, CEO of Berentzen-Gruppe Aktiengesellschaft. The sales success of the Berentzen brand is attributable in particular to the spirits category of liqueurs, which is a strategic focus. "This is confirmation that we are on the right track with our product strategy," says Schwegmann. According to market research data, March showed the first signs of a recovery in the overall sales markets for both spirits and non-alcoholic beverages in Germany.

The fact that a slight decline in sales of 2.2% was recorded across the Group despite positive developments was mainly due to two individual factors. Firstly, the cooperation business with prominent artists in the Non-alcoholic Beverages segment was terminated last year. "This negative effect on sales in relation to the first quarter is already greater than the slight decline in sales across the Group as a whole," said Schwegmann.

On the other hand, several high-turnover marketing campaigns were not realised in the first quarter of 2024 due to difficult price negotiations with some important retail partners. This had a particularly negative impact on the sales performance of the strategic core brands in the marketing focus - especially the Pushkin brand. "Increasing our profitability is a central element of our Building BERENTZEN 2028 strategy, which we presented in February. In addition to optimising the portfolio and customer mix, further price increases are also necessary in order to regain our margin quality after years of cost explosions," explains Schwegmann, adding: "The fact that you occasionally have to endure temporary conflicts with an impact on sales during phases of intensive negotiations is part of the game." Sales revenue in the Fresh Juice Systems segment remained stable compared to the same quarter of the previous year.

However, the Group EBITDA and Group EBIT earnings figures increased. Group EBITDA increased by 17.5% to EUR 3.4 million compared to the same quarter of the previous year. Group EBIT increased by 33.0% to EUR 1.3 million. "We have thus succeeded in significantly improving our profitability in the first quarter. We have thus taken an important first step towards achieving our ambitious medium-term targets," says Schwegmann.

Further outlook for the 2024 financial year

Against this backdrop, the Berentzen Group confirms its annual forecast for the 2024 financial year. The corporate group expects positive momentum for all three key performance indicators. Consolidated revenues are forecast to range between EUR 190.0 million and EUR 200.0 million. Group EBITDA is expected to be between EUR 17.2 and 19.2 million and Group EBIT between EUR 8.0 and 10.0 million.

"We are determined to further strengthen our market presence with a clear focus on our strategy and to reach the first important milestone in our growth plan for the coming years as early as 2024," concludes Schwegmann.

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