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Atlantic Grupa records revenue growth of 9.8 percent in the first quarter of 2024

<p>Dan velikih planova 2023. Emil Tedeschi</p>
Dan velikih planova 2023. Emil Tedeschi / Image by: foto Rene Karaman

Atlantic Grupa reported a sales revenue of 236.6 million euros in the first quarter of 2024, representing a growth of 9.8 percent compared to the same period last year. Earnings before interest, taxes, depreciation, and amortization (EBITDA) increased by 20.3 percent to 25.2 million euros, while net profit rose by 3.2 percent to 9.9 million euros.

– Excellent sales results at the beginning of the year enabled strong profitability growth despite significant increases in cocoa and raw coffee prices, ongoing logistical challenges, and rising investments in people and marketing. With the completion of the acquisition of Strauss Adriatica, we have confirmed Atlantic Grupa’s strategic commitment to strengthening our core business, specifically the growth of the coffee category and enhancing the competitiveness of the regional industry and local brands. We continue with significant capital investments and innovations in our product portfolio, highlighted by the launch of Argeta’s meatless range. Despite the challenging geopolitical and macroeconomic environment, we remain confident that we will continue to grow our business sustainably – emphasized the CEO of Atlantic Grupa Emil Tedeschi.

Drinks, Pharmacy, and Coffee lead the growth

The largest growth was achieved by the Strategic Business Areas (SBAs) Drinks (16.0 percent), Pharmacy (11.8 percent), and Coffee (9.4 percent). Coffee, as the largest individual category, contributes 20.1 percent to total revenue. In distribution, the Strategic Distribution Area (SDA) North Macedonia leads with a growth of 11.6 percent, followed by SDA Croatia with a growth of 10.6 percent and Serbia with a growth of 9.0 percent. In total sales, Atlantic Grupa’s own brands account for 61.9 percent, pharmacy business 9.5 percent, while principal brands contribute 28.6 percent of sales revenue.

On March 1, Atlantic Grupa completed the acquisition of Strauss Adriatica, the owner of Serbian coffee brands Doncafe and C kafa, which now join the regional leaders Grand kafa and Barcaffe. Atlantic also acquired a modern production facility in the industrial zone of Šimanovci near Belgrade and 220 employees, with the transaction previously conditionally approved by the Commission for Protection of Competition in the Republic of Serbia. A significant novelty in the production program was brought in the first quarter by Argeta with the launch of meat-flavored meatless spreads, in line with dietary trend developments.

Pioneer in reporting according to ESRS standards and champion of gender equality

The annual report of Atlantic Grupa for 2023 was published in accordance with the new legal regulations on non-financial reporting, meaning that, in addition to the usual items, it applies ESRS (European Sustainability Reporting Standards) within sustainability, establishing Atlantic Grupa as one of the first companies in this region to apply the new standards. Additionally, Atlantic Droga Kolinska was declared the champion of Slovenia in ESG for 2024, confirming that Atlantic consistently meets ESG obligations in all three areas – environment, society, and governance. All indicators are linked in a corporate sustainability index, which indicates the company’s success in achieving annual goals, and the commitment to sustainable development was particularly evident in that Atlantic Grupa exceeded the set goals of the sustainability index for 2023, the company stated.

We remind that Atlantic Grupa is the recipient of the important recognition ‘Equal Pay Champion’, a certificate of pay equality from the selection agency Selectio. Analyzing Atlantic Grupa, a commitment to monitoring gender diversity within the company and correcting the share of women in managerial positions where such deficiencies exist was established. Thus, in Atlantic Grupa, 55 percent of managerial positions are held by women, 58 percent in development programs, and 52 percent of women are employed through internal competitions, and there is no pay gap, or it is negligible at 2.6 percent in favor of women, conclude Atlantic.

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