The Refresco Group has reported solid profit growth for its fiscal second quarter, despite poor weather conditions in Europe.
For the quarter, adjusted net profit rose by 4.5% to €30.3m, while adjusted EBITDA was up 1% to €68.3m. Meanwhile, volumes were up 1.9% for the period, while revenues also grew by 1.9% to €558.7m.
CEO Hans Roelofs noted: “The unfavorable weather conditions throughout Europe and continued pressure on the private label market have created a challenging environment”. He noted that while the group “gained some private label volumes, the impact of our earlier decision to discontinue low margin-large volume contracts, mainly in water and CSD’s, was still visible in the second quarter.”
Looking ahead, the group said it expects full-year volumes to be below its medium-term guidance, noting the poor start to its third quarter.