Greenyard (GREEN) H1 2025 earnings summary

Executive summary

• Net sales increased 6.1% year-over-year to €2.6bn, driven by volume growth, price increases, and higher service sales across divisions.

• Adjusted EBITDA rose 4.6% to €94.4m, keeping the company on track for its €200–210m guidance for March 2026.

• Net result was €1.2m, lower than last year due to restructuring costs, higher depreciation, and absence of prior year's asset sale gain.

• Net financial debt dropped 11.2% to €280.7m, with leverage ratio reduced to 1.92x despite higher inventories, acquisitions, share buybacks, and dividends.

• Strategic focus remains on health, sustainability, operational excellence, innovation, and expanding pure-plant offerings, with continued investment in automation and packaging modernization.

Financial highlights

• Gross profit increased 7.3% year-over-year to €211.5m, with gross margin at 7.9%.

• Adjusted EBITDA margin was 3.5%, slightly down from 3.6% last year due to extra costs in Fresh.

• Free cash flow reached €20.6m, €51.4m better than last year, mainly due to stable working capital and lower maintenance CAPEX.

• Net result dropped to €1.2m from €7.0m year-over-year; EPS at €0.01 vs €0.13.

• Operating cash flow improved to €78.96m from €38.26m year-over-year.

Outlook and guidance

• On track to achieve March 2026 targets: €5.4bn in sales and €200–210m adjusted EBITDA.

• Confident in sustaining leverage ratio below 2 in coming periods barring external shocks.

• Management sees further operational improvement opportunities and is preparing for next year by enhancing businesses and reducing overhead.