Cloetta AB Class B ( (CLOEF) ) has released its Q3 earnings. Here is a breakdown of the information Cloetta AB Class B presented to its investors.
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Cloetta AB Class B, a leading confectionery company in Northern Europe, operates in the confectionery industry with a focus on branded packaged products and Pick & mix offerings. The company has a strong presence in core markets such as Sweden, Finland, Denmark, Norway, and the Netherlands, and its products are available in over 60 countries worldwide.
In its latest earnings report, Cloetta AB Class B reported a slight decrease in net sales for the third quarter, attributed primarily to unfavorable foreign exchange rates. However, the company showed a significant improvement in profitability, with an adjusted EBIT margin reaching 11.9%, driven by margin-enhancing activities and cost control. The Pick & mix segment continued to perform well, with organic growth of 9.4% during the quarter.
Key financial highlights include an operating profit of SEK 255 million, up from SEK 238 million in the same period last year, and a profit for the period of SEK 189 million, reflecting an increase in earnings per share. The company’s cash flow from operating activities also improved significantly, reaching SEK 380 million. Despite a decrease in branded packaged products sales, the company maintained a strong financial position with a net debt/EBITDA ratio of 1.1x.
Looking ahead, Cloetta remains focused on achieving its mid-term target of an EBIT margin of at least 12% by 2027. The company is committed to profitable growth through strategic investments in its Superbrands and geographical expansion, particularly in the US market. With a strong financial foundation, Cloetta is well-positioned to navigate market challenges and continue its growth trajectory.