Podravka (PODR) Q2 2025 earnings summary

Executive summary

• Operating revenues rose 30.4% year-over-year to EUR 496.0m, driven by the Agri segment acquisition and growth in Food and Pharmaceuticals.

• EBITDA more than doubled to EUR 142.5m (+116.5%), with normalised EBITDA up 33.1% to EUR 88.0m, reflecting a one-off gain from the Agri acquisition.

• Normalised net profit after minority interests increased 6.5% to EUR 41.3m, despite higher staff and financing costs.

• Net profit after MI surged 138.6% to EUR 96.0m, mainly due to one-off gain from Agri acquisition.

• The Agri segment, acquired in January 2025, contributed EUR 111.0m in revenues and EUR 22.5m in gross profit for 2-6 2025.

Financial highlights

• Group sales revenue up 27.2% year-over-year to EUR 484.0m; gross profit up 17.2% to EUR 174.5m.

• Gross margin declined to 35.2% from 39.1% due to Agri's lower margin profile.

• Normalised EBITDA increased 33.1% to EUR 88.0m; normalised EBIT up 21.6% to EUR 60.0m.

• Reported EPS up 75.8% to 18.4; normalised EPS up 4.1% to 9.5.

• Net cash from operating activities down 17.7% to EUR 37.3m; net cash from investing activities at EUR -321.0m due to acquisition.

Outlook and guidance

• New strategy to 2030 targets profitable growth, international expansion, and investments in technology, sustainability, and digitalisation.

• Planned investments: EUR 200m in Agri, EUR 36m in Pharmaceuticals, and focus on Food brands and globalisation.

• 2025 capital expenditures expected at EUR 72.2m.

• Dividend proposal of EUR 3.20 per share, with a proposed yield of 2.2%.