Atlantic Group Surpasses Pre-Pandemic 2019 with Revenue of 5.7 Billion Kuna

Atlantic Group recorded a sales revenue of 5.7 billion kuna in 2021, representing an increase of 8.6 percent compared to the same period last year, and 9.3 percent higher than in the pre-pandemic year of 2019. Earnings before interest, taxes, depreciation, and amortization (EBITDA) amounted to 724.4 million kuna, which is 1.1 percent higher than in the previous year of 2020, and the same growth was achieved in the net profit category, which stands at 345.9 million kuna.

– “Atlantic Group demonstrated a high level of stability last year, despite the economic disruptions caused by the prolonged COVID-19 pandemic and challenges with global supply chains, and we concluded our 30th anniversary of operations with historically highest revenues. All business segments recorded growth, thanks to significant marketing and capital investments, as well as an improved epidemiological situation across all markets and a significantly better tourist season in Croatia compared to 2020. We are particularly proud that last year we increased investments in employees across the group through salary increases and new reward models,” commented CEO Emil Tedeschi.

Farmacia, Donat, and Cedevita Lead in Growth

The largest growth of 12.1 percent was achieved by the pharmacy chain Farmacia, while among business areas, the Donat business area leads with a growth of 11.5 percent, and the strategic business area of Beverages, whose leading brand is Cedevita, recorded a growth of 11.4 percent. Coffee, as the single largest category with a share of 21 percent in total revenue and main brands Barcaffe and Grand kafa, also highlights growth of 8.1 percent. Among the markets, Croatia leads with a growth of 12.8 percent, Bosnia and Herzegovina with a growth of 8.8 percent, and Serbia, which grew by 8.3 percent. Own brands account for 62.6 percent of total sales, principal brands for 28.1 percent, and Farmacia makes up 9.3 percent of sales revenue.

New Facilities, Enhanced Products, and Stronger Supervisory Board

At the end of the year, in line with the strategy of divesting non-core activities, Atlantic concluded the sale of the business related to the baby food brand Bebi. After the sale process of the brand to Nelt was closed mid-year, in November, the Mirna location in Slovenia, where the Bebi range was produced, was taken over by a strategic partner – the Austrian company Gittis. Atlantic continued to focus on strengthening the main categories, which include coffee, delicatessen spreads, salty snacks, chocolate, and non-alcoholic beverages.

During 2021, Atlantic Group continued its planned investments, among which investments in technology at Atlantic Štark, new packaging forms for Cedevita, and a new Argeta factory near Varaždin stand out. This is an investment worth over 50 million euros, which is expected to create up to 150 new jobs. In the area of new growth, two new brands were launched in the markets of Croatia and Slovenia – Jimmy Fantastic chocolate and a range of oat-based products Boom Box, with excellent sales results, the statement said.

The overall achievements were also recognized by the capital market, as Atlantic had historically record stock values in 2021, and the General Assembly of Atlantic Group decided to pay a record amount of dividend per share.

In December, an agreement was reached to expand the Supervisory Board from seven to nine members, and the composition of this body was strengthened by Dr. Vesna Nevistić, an experienced expert in banking, restructuring processes, and corporate development, and Zoran Vučinić, a proven global manager with an exceptionally successful international career in the fast-moving consumer goods sector.