Fresh produce firm Greenyard has reported a 4.8% increase in like-for-like net sales in the first quarter of its financial year, to €1.18 billion.
The group reported sales growth in both its Fresh and Long Fresh business segments, with its Fresh arm reporting a 3.2% increase in like-for-like net sales, to €982.3 million.
'Thanks to its integrated customer relationships, Greenyard proved to be a stronghold in the fresh fruit and vegetables industry,' the company said in a statement.
'In a market where volumes are naturally rebalancing after the reopening of out-of-home consumption (post-COVID-19) and due to strong macro-economic headwinds for end-consumers, Greenyard is able to bolster and grow its market share in its core markets.'
Inflation Influence
The company added that inflation is 'only one of the parameters' that influenced price-setting during the period, along with yields, harvesting conditions and availability. It noted that grapes and avocados decreased in price due to an oversupply in the market.
In its Long Fresh arm, net sales were up 14.2% to €171.6 million, with sales growth driven predominantly by the recovery of the foodservice and food industry segments post COVID-19.
The group also reported growth in its convenience products business, meeting increased consumer demand.
Looking Ahead
Looking ahead, the group, which recently outlined its plans to become a plant-based powerhouse, said that it 'remains confident' that it will be able to achieve €5 billion in sales by the 2024/25 financial year, as well as an adjusted EBITDA of between €200 million and €210 million.
'Throughout the past periods, and looking forward, the company continues to thoroughly monitor the market and adjust its pricing to match the rising input costs in the new economic reality,' it said.
Read More: Greenyard Reports ‘Solid’ Performance In Full Financial Year
© 2022 European Supermarket Magazine – your source for the latest fresh-produce news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: European Supermarket Magazine.
