Food Union Delivers Strong Results Driven by Innovation of New Products and Consumer Demand During the Pandemic

RIGA, Latvia--(BUSINESS WIRE)--Food Union, the international dairy and ice cream production and distributing group, is pleased to announce its annual results to December 31, 2020.

Financial Highlights (EUR million)

	2020	Change YoY	2019	2018
Net revenue	293.5	6%	276.6	280.1
Gross profit	118.4	14%	103.6	113.1
EBITDA	46.1	46%	31.5	38.3
Cash flow from operating activities	37.1	16%	31.9	31.2

Operational Highlights

• Launched a total of 117 novelty ice cream products, many that became the best performing products in local markets.
• 99,150 tons of goods sold during the year with ice cream contributing to 60% of the sales value.
• Maintained market leading positions in the Baltics, is a leader in Denmark, and holds strong top positions in other geographies.
• 50% growth in ice cream door-step-delivery service resulting in 300,000 subscribers in Norway and Denmark.
• Opened four new e-commerce platforms in Latvia, Lithuania, Romania and Hong Kong.
• Investment of 2.7m euros in truck upgrades leading to a reduction of 112 tons of CO2 per annum.
• Invested for future growth with 9.1m euros CAPEX programme, including the Dairy Excellence Centre in Riga.

Laying a Foundation for Future Growth

“We are delighted to have achieved a record set of results in 2020. Food Union companies launched a total of 117 novelty ice cream products, with many that became leading products in local markets. Consumers discovered exclusive flavours, textures, and functional benefits, and these novelties unlocked local taste preferences, and offered a great deal of comfort, joy, and normality during the time of lockdowns,” said Normunds Staņēvičs, CEO of Food Union Europe. “We look forward to the future with confidence. We have a well invested business with further capital investment plans, continued product development and a strong leadership team across Europe,” he added.

ABOUT FOOD UNION

Food Union is the leading ice cream producer in the Baltics and Denmark, and the group holds a strong market position in Norway, Romania, Russia and Belarus. A leading, innovative consumer goods company, Food Union develops local brands and delivers delightful products in the premium snacking, ice-cream and dairy categories.

Food Union Group is backed by Hong Kong-based investment company Meridian Capital Limited, and one of Asia’s largest private capital firms, PAG.