In light of the recent developments in Greece which affect the second half of the year, it is encouraging that Sarantis Group ended the first half of 2015 on a positive note.
Consolidated First Half of 2015 turnover amounted to € 132.42 million versus € 120.79 million in last year’s first half, up by 9.62%, on the back of both organic growth as well as new additions in the Group’s brand portfolio.
Solid growth was observed across the Group’s territory. Greece, was up by a significant 11.37% in sales at € 53.54 million, performing remarkably ahead of the market.
The foreign countries, which represent 60% of the Group’s total turnover, increased by 8.47% to € 78.88 million.
The focus behind cost saving initiatives on the productivity front continued thus benefiting the Group’s Gross Profit.
It is noted that due to a regulation change in the Polish market, trade expenses amounting to circa € 3.06 million have been reallocated from the operating expenses line to the top line, therefore reducing the turnover. This amendment had an impact on H1 2015 sales, gross profit and profit margins both on a Group and on a country specific level.
For comparability purposes, the most influenced figures within H1 2015 are as follows:
On a Group level:
On a country level:
Specifically the Reported Figures:
On the balance sheet front, exhibiting its healthy financial position, Sarantis Group is able to invest behind initiatives to accelerate growth and return value to its shareholders.
Having paid a dividend for FY 2014 in May 2015 of approximately €5.15 mil. and following the acquisition of the AVA brand in Greece of c. €3.5 mil., the Group maintains a net debt position of €5.32 mil. (0.20x EBITDA).
While the Group has entered the year 2015 on a solid base, the recent political developments in Greece require the management’s cautious stand given that the Greek operation has been negatively affected due to the fall of the consumer spending and the imposed capital controls. Despite the fact that the final impact on the operation has not crystalized yet and visibility is still low, the management’s contingency plan includes a list of measures that will significantly offset the adverse impact on the business and protect the Group’s profitability margins.
The Group’s key assets, that is, its leading position in the market, its exporting character, its financial strength and security, the management’s agility and the human resources support, will consist, as ever, the cornerstones for its future further development.
For the time being Sarantis Group management maintains its FY 2015 Guidance.Consolidated Financial Results First Half of 2015 (274.6KB) Financial Results Analysis (757.4KB)