Q3 2023 RESULTS
Significant EBITDA growth and margin expansion in Q3 2023
Cham, 08 November 2023, Selecta Group, a Swiss-based Foodtech leader with a world-class distribution network in Europe, announces its results1 for the third quarter of 2023:
- Strong Adjusted EBITDA2 of €62.6 million, 10.7% increase versus last year and Adjusted EBITDA margin of 21.4%, 2.4pp increase versus last year mainly driven by profitability enhancement projects
- Reported EBITDA of €54.3 million, 34.8% increase versus last year and Reported EBITDA margin of 18.5%, 5.0pp increase versus last year demonstrates successful transformation
- As a result of our profitability focus and initiatives Group sales3 have slowed down to €292.5 million, -1.5% versus last year whilst our Sales per machine per day of €12.3, increased 13.8% versus last year
- Free cash Flow of €17.7 million contributed to robust Liquidity4 position of €125.9 million
Executive Chairman, Joe Plumeri, commented:
“We continue to lead the Foodtech market, consistently meeting our clients' needs with world-class brands and outstanding service. Service is key to deliver on our purpose of creating millions of moments of joy to our consumers, therefore investing in our people is essential.
Christian Schmitz, Selecta Group CEO, added:
"We are pleased to announce Selecta’s robust results, characterized by significant EBITDA growth and margin expansion, demonstrating successful transformation. Our relentless commitment to innovation and strategic partnerships continues to reinforce our Foodtech value proposition."
Expansion of Foodtech across Europe
The integration of Foodtech installations across various sectors, from hotels to retail, from private to on-the-go segments, continues to grow and fundamentally reshape Selecta’s clients and consumers experiences.
Our Foodtech solutions are present in major airports, transforming travelers’ experiences by offering them attractive and convenient options for drinks, snacks and fresh food on the go. Stansted Airport in the UK, Bologna Airport in Italy, and Swedavia Airport in Sweden are just a few of the locations that have recently embraced our Foodtech solutions. Accessible during extended airports waits as well as outside of restaurants and shops business hours, our Foodtech solutions allow travelers to quench their hunger and thirst by having a round-the-clock access to an extensive range of fresh food and beverage products.
Our Foodies solutions are also a perfect match for the healthcare sector. Patients, visitors, and employees can now enjoy round-the-clock drinks and fresh food in two prestigious hospitals in Denmark, Køge & Roskilde.
For Unite Students in the UK by understand ing the unique needs of their students, we have customized 24/7 Food t ech solutions with premium coffee and fresh food choice which have been installed in their Nottingham accommodation.
In the Spanish market, three industry leaders are improving their employees experience through Selecta´s Foodtech solutions. Banco Santander continues to expand their Foodtech offering, seamlessly integrating up to 13 Micromarkets. In the energy sector, Acciona and Naturgy have upgraded their offering with Smartfridges in line with the needs of their employees. The service excellence, the product range and the barrier-free handling have been decisive factors. These examples demonstrate that innovative technology combined with excellent service at workplaces impacts the well-being of employees.
Overall, we are witnessing the positive influence of Selecta’s Foodtech Solutions, solidifying its position as a leading innovator in the food technology industry.
Employer of Choice
Selecta has the commitment to become an Employer of Choice, this is a title Selecta strives to earn through continuous investment in its associates, particularly in their Client Solutions Specialists. These dedicated individuals play a pivotal role in understanding and meeting the clients' needs, so it is essential to empower them with the skills, knowledge, and values aligned with the company's vision.
Stepping into a new role can be both exciting and challenging. To bridge this gap, Selecta introduced a comprehensive onboarding program tailored specifically for the Client Solutions Specialists. This program is designed to immerse them in the company's culture, values, principles and mission, ensuring a seamless transition into their roles. Selecta´s recent CSS gathering in September brought together new joiners to provide them with an intensive learning experience towards our purpose to create millions of moments of joy every day.
Sustainability at Selecta’s core
Ecovadis, a globally recognized sustainability rating, evaluates companies based on their environmental, social, and ethical performance through a comprehensive assessment in areas such as environmental impact, fair labor practices & human rights, ethical sourcing, and sustainable procurement.
Selecta´s Pelican Rouge Coffee Roaster (PRCR) recently won the Gold Medal, which demonstrates its remarkable commitment to sustainability. This recognition reflects the company's ongoing efforts to minimize its environmental footprint and positively impact throughout the coffee supply chain. In 2022, Pelican Rouge Coffee proudly launched its fully sustainable coffee line, setting a new standard for eco-conscious coffee production.
1At actual exchange rates
2Adjusted EBITDA: Earnings before Interest, Tax, Depreciation and Amortization and prior to one-off items (external and internal costs which are not
related to the on-going business)
3Sales: Revenue after payment of vending
4Cash at Bank of €31.0million plus €94.9million available RCF