KRI-KRI Milk Industry has released its interim financial statements for the first half of 2024.

Turnover amounted to €130.87m compared to €112.97m in H1 2023 (an increase of +15.8%). Basic profitability measures were as follows:

• EBITDA amounted to €29.44m compared to €28.72m in H1 2023,
• Profit before tax amounted to €27.05m compared to €26.18m in H1 2023,
• Net profit after tax amounted to €26.32m compared to €21.19m in H1 2023.

 In the yogurt segment total sales increased by +14,5% in value and +19,7% in volume. Export yogurt sales show a strong growth of +27,8%, exceeding €63m. It is worth mentioning that yogurt exports sales make up to 62,6% of total yogurt sales. Also, there is a strong boost in our sales, contributed by the major markets of Italy and the UK as well as our entrance in new markets, such as France.

In the domestic Greek market, yogurt sales exceeded €37.8m, decreased by -2,4% in value, but increased by +4,8% in volume. In the current inflationary environment, we kept our prices at a low level, but that has a negative impact on the value of our sales and at the same time adds pressure on our profit margins. As far as the market condition is concerned, the strong shift of consumers to private label yogurts continues, because of their choices for value-for-money products. As a result, private label yogurt market share increased by +1.4 p.p. in volume, applying strong pressure on branded yogurts. That pressure has led KRI-KRI branded yogurts to a small market share loss (-1,0 percentage point in value), reaching 15,4% of market share and establishing our position as the second player in the market [Circana data (ex. IRI) in value, Jan.-Jun. 2024]. In general, KriKri seems to benefit from those market developments, since it is the largest producer of private label yogurts in the domestic market.

In the domestic ice cream market, our sales show a strong double-digit increase by +21,7% in value. The favorable weather conditions for the ice cream sales, the expansion of our sales network and the introduction of new ice cream products resulted in that double-digit growth figure. The increased inflow of tourists in Greece contributed to that growth figure as well. For the remainder of the season, ice cream sales growth will slow down.

For the remaining financial year 2024, KriKri's Management estimates that the strong growth of its financial figures will continue. Thus, it updates the profitability estimates. Based on the Management's revised forecast for 2024, total sales are expected to exceed €245m (compared to the initial forecast of €233m), while Earnings Before Taxes and Interest (EBIT) margin is expected to be at around 16% (compared to the initial forecast of 15%).

KRI-KRI continues to strengthen its social and economic footprint. Recently, the number of employees has increased, with 100 new hires. Thus, the total workforce now reaches 700 people. At the same time, the milk zone was expanded, with new partnerships with local farmers. Finally, the planned investments, totaling €50 million, for the next 3 years, are expected to contribute decisively to the further development of KRI-KRI's economic activity, which is also diffused to the local community.