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Naturex reports 28% growth

Naturex has reported that consolidated revenue for the 2015 first half rose to €203.2 million, with “particularly robust” growth of 28.3% compared to last year’s same period and including organic growth of 4.7%. The company said that performance was driven by: sales growth for the historical Group structure with a strong acceleration in the 2015 second quarter (+9.5% […]

Naturex has reported that consolidated revenue for the 2015 first half rose to €203.2 million, with “particularly robust” growth of 28.3% compared to last year’s same period and including organic growth of 4.7%.

The company said that performance was driven by:

• sales growth for the historical Group structure with a strong acceleration in the 2015 second quarter (+9.5% in organic growth) following steady first-quarter sales;
• a very favourable foreign exchange environment compared to the 2014 first half with a positive currency effect of €18.8 million largely reflecting the significant contribution of sales in US dollars;
• a Group scope effect of €18.5 million from Vegetable Juices sales

Food & Beverage had revenue of €130.3 million, up sharply by 32%. After moderate growth at the start of the year, sales picked up in the second quarter with good contributions from strategic product segments (phytoactives, fruit and vegetable-based ingredients, natural colours and natural antioxidants).

Nutrition & Health achieved very strong growth (+24.6%) with sales of €61.1 million. This strong momentum was driven by targeted commercial campaigns promoting Naturex’s expertise in product ranges with clinically substantiated benefits and innovative concepts.

The Europe/Africa region had €77 million in revenue, up 1.9%. The stabilisation of sales confirms the first positive effects of the plan implemented in the first quarter for recapturing growth.

The Americas region registered a spectacular 61% increase in revenue to reach €102.8 million. The United States contributed significantly to this growth, largely attributable to the successful repositioning of the nutraceutical offering and the plan for re-energizing business development for Food & Beverage. Vegetable Juices Inc., consolidated by the Group as from June, continued to outperform the market, albeit at a slower pace than in 2014.

The Asia/Pacific region grew 23.6%, confirming Naturex’s strong position in the nutraceutical market and enabling it to meet an ever increasing demand from emerging countries.

“Initiatives of recent months to regain commercial momentum have put the Group back on track for growth in the 2015 first half, culminating in a strong acceleration in the second quarter across all the strategic platforms defined in our BRIGHT2020 plan. We are particularly proud of the work achieved by all our teams throughout the world”, said Olivier Rigaud, Chief Executive Officer and Director of Naturex.

“Operational and financial discipline measures taken over the first six months represent a first step in our Group’s transition to a model for sustainable, lasting and profitable growth over the medium-term. As already specified, the initial effects of these measures will not yet be visible at the level of EBITDA in the first half and we will remain focused on creating the conditions necessary to improve our operating profitability starting from the 2015 second half.”