The acquisition of Ready Pac Foods is driving Bonduelle's turnover up. The French company has reported the results for the third quarter of the financial year (1 January - 31 March), in which turnover has increased by 27.7%, to 672.9 million Euro. The consolidation of Ready Pac Foods has resulted in a 30.4% growth in turnover, with internal growth reaching 0.8%. Exchange rates pushed the results down by approximately 3.5%. Over the first nine months of the financial year, a growth of 34.8% was achieved, as well as a 1.3% growth on a comparable basis.
In Europe, there has been a growth of 1.1% (0.9% on a comparable basis), bringing the turnover to 318.2 million Euro. This growth is mainly attributable to the fresh produce segment, despite the slightly higher comparable basis for preserved and frozen products. The dynamics in the market remain low. Over the first nine months of the year, Europe accounted for 45% of sales. The turnover grew by 0.5% (0.4% on a comparable basis), and amounted to 951.8 million Euro.
Outside Europe, sales grew by 67.5%, mainly due to the consolidation of Ready Pac Foods. This US company was taken over on 21 March, 2017. On a comparable basis, the market grew by 0.7%, mostly due to substantially lower spending on promotions around Easter in Russia. Over the first nine months of the financial year, 55% of the turnover was made outside of Europe. On a comparable basis, that turnover grew by 2.8%, to 1,141.4 million Euro.
Looking at the various segments within Bonduelle, the acquisition of Ready Pac Foods has had a very clear impact. The turnover of the refrigerated segment grew by 168.9% in the first nine months of the financial year, reaching 861.8 million Euro. This category outperformed the traditional leader, which is "Canned products". A year earlier, the canned products segment still accounted for most of the turnover, and although 1.2% growth was achieved, the category still lost the leading role. The canned goods segment generated a turnover of 753.2 million Euro. Meanwhile, the frozen segment recorded a slight 1.9% drop, bringing the turnover to 478.2 million Euro.
Given the lower dynamics in the consumption climate, the company expects to grow by just over 20%. This growth will be due to a number of innovations that will be launched on the market in the fourth quarter.