1) In accordance with IFRS Standard 5 related to the operation being sold
2) Integration of Marie Brizard as of 1st January 2006.
During financial year 2007 Belvédère had sales of E 1 043 billion, up de 35% (+16% on a constant basis). The Group Marie Brizard, Distributors acquired in Poland and Florida Distiller contributed E263.8 million, E111,6 million, and E55.2 million, respectively, in sales to our Group.
Varying Operating Results for Spirits and Wines
As previously announced, 2007 Group results of operations are mixed as between the very strong growth of all brands in the spirits area, on the one hand, with especially good performance in Poland with a 30% increase in current operating results courant (+21% excluding distributors) and, on the other hand, a more difficult season for wine in France, with a decline of E8 million in its contribution to our results.
This business segment is essentially responsible for the decline in this financial year of E5.6 million in EBITDA to E39.1 million (after taking divested businesses into consideration) and of E7.9 million in operating income, to E23.2 million.
Continuing Debt Reduction by Our Group
Our strategy of divesting non-strategic assets begun last July allowed us to reduce our Group's indebtedness significantly in 2007, which went from net debt of E473.9 million at the end of June 2007 to E357 million at the end of December 2007.
Since these transactions were completed at the end of the year, however, they made only a relatively small contribution to the reduction of our financial charges for the full year.
As a result, our financial debt was E-42.7 million, compared to E-32.6 million in 2006(2), with rates having increased by more than 100 basis points during the period.
After taking this significant financial charge into consideration and a positive tax impact of E13 million, net income was E0.6 million (E-6.2 million before accounting for divested operations).
A Solid Group in its Fundamentals and Experiencing Strong Growth
Belvédère was able to refocus on its core spirits during 2007, recording significant growth in sales and income in this segment. We also invested in new strategic markets, like Brazil, the United States, and Ukraine, which represent significant organic growth potential.
During the coming financial years, Belvédère will concentrate its efforts on:
- improving its operating results, especially by improvement in its wine business in France and
- continuing reduction of its indebtedness and financial charges, especially through the sale of land in Krakow.
Belvédère Contact, Jacques Rouvroy on +33 (0)3 80 22 93 83
Shareholders Contact, Olivier Balva by mail at: olivier@balva.net
Also refer to www.belvedere.fr
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The appendixes relating to the press release are available on:
Belv édère est spécialisé dans la production et la commercialisation de spiritueux à destination notamment des grossistes et de la grande et moyenne...
