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AAK

Quarterly Report Apr 27, 2016

2874_10-q_2016-04-27_5d23defc-4453-48e0-ad37-bae5014d678e.pdf

Quarterly Report

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Interim Report

First quarter, 2016

Chief Executive's comments

All-time high operating profit for a first quarter

Again, a record-high operating profit was achieved with double-digit year-on-year improvements in all business areas. All entities performed as planned or better.

Food Ingredients reported a very strong quarter due to a further improved product mix and positive contributions from recent acquisitions. Chocolate & Confectionery Fats reported an impressive quarter with doubledigit volume growth and a continued improved product mix. Techical Products & Feed also reported a very strong quarter, mainly due to a continued positive development for the technical fatty acids business.

Total volumes continued to grow nicely and were up 5 percent (11). Organic volume growth was flat (last year 4 percent) due to declining commodity volumes in Food Ingredients. However, the demand for speciality and semispeciality products was good, generating organic volume growth of 2 percent (negative 1).

Operating profit reached SEK 381 million (321), an improvement of 19 percent compared to the corresponding quarter in 2015. The currency translation impact was negative SEK 10 million (positive 36).

Operating profit per kilo reached SEK 0.82 (0.72). The currency translation impact was negative SEK 0.02 (positive 0.08).

Business area operating profit:

  • Food Ingredients improved by 17 percent, reaching SEK 229 million (195).
  • Chocolate & Confectionery Fats reported a result of SEK 159 million (136), an improvement of 17 percent.
  • Technical Products & Feed improved by 26 percent, reaching SEK 29 million (23).

Operating profit per kilo in Food Ingredients increased from SEK 0.65 to SEK 0.73, mainly as a consequence of the improved product mix. At fixed foreign exchange rates operating profit per kilo improved by 15 percent.

Operating profit per kilo for Chocolate & Confectionery Fats remained stable at SEK 1.89 (1.89). At fixed foreign exchange rates operating profit per kilo in Chocolate & Confectionery Fats improved by 3 percent.

Technical Products & Feed reported an increased operating profit per kilo, SEK 0.42 (0.33).

Earnings per share increased by 9 percent, to SEK 5.56 (5.11). Increased financial costs due to extended borrowings in high-interest rate countries and higher tax costs had an unfavorable impact on earnings per share.

Sales amounted to SEK 4,963 million (4,836). The increase was mainly due to the positive product mix, partly offset by a negative currency translation impact of SEK 148 million, and the effect of acquisitions.

Food Ingredients

Speciality and semi-speciality products in Food Ingredients showed a stable development in the quarter. The picture between the different segments was, however, very mixed.

The Bakery segment had a challenging quarter globally with a negative volume development.

The Dairy segment continued the strong trend from the second half of 2015 and again reported double-digit organic volume growth despite the low prices on milk fat. The Nordics, North Latin America and the US showed particularly strong growth in this segment.

Infant Nutrition speciality volumes, comprising InFat® business in Advanced Lipids AB, a joint venture of AAK and Enzymotec, reported double-digit volume growth. Infant Nutrition product range Akonino® also showed doubledigit volume growth but at an even higher rate.

Foodservice also reported organic volume growth, with good development particularly in the Nordics and the UK. Market conditions in the US continued to be a little more challenging.

Commodity products showed a negative volume development after an exceptional growth in 2015.

Chocolate & Confectionery Fats

Total volumes for Chocolate & Confectionery Fats increased by 17 percent. Organic volume growth in the quarter was 11 percent. In addition, the business area had a favorable development of the product mix. After two years of severely deteriorating market conditions in Russia and Ukraine, the first quarter showed strong growth, but from a low level.

High-end products continued the strong trend from the first three quarters of last year and again reported double-digit organic volume growth. Low-end products continued to be under strong competitive pressure, but volumes remained flat in the quarter.

Cash flow

Operating cash flow including changes in working capital amounted to negative SEK 16 million (positive 428). As previously predicted, cash flow from working capital was negative, amounting to SEK 380 million (positive 86). The substantial increase in raw material prices during the last quarters, combined with working capital tied up for the two greenfield investments, will continue to have negative impact on working capital during 2016.

Return on Capital Employed (ROCE)

Calculated on a rolling 12 months basis, Return on Capital Employed (ROCE) was 16.0 percent (15.7 at December 31, 2015). ROCE improved despite being negatively effected by higher working capital due to increased raw material prices, initial greenfield investments in Brazil and China, and acquisitions. The ROCE

for the first quarter was 15.2 percent compared to 14.4 percent for the corresponding quarter 2015.

Greenfield investments

The first very limited volumes from our new factory in Brazil have been delivered during the first quarter. To be able to deliver the whole product range a gradual ramp-up will continue during the upcoming quarters.

Our China greenfield project continues to develop according to plan.

AAKtion

Our company program for 2014–2016, "AAKtion", is developing according to plan. The program is intended to further strengthen the focus on "Sales-Innovation-Execution".

Concluding remarks

Based on AAK's customer value propositions for health and reduced costs, and our customer product co-development and solutions approach, we continue to remain prudently optimistic about the future.

The main drivers are the continued positive underlying development in Food Ingredients and a continued improvement in Chocolate & Confectionery Fats.

Arne Frank Chief Executive Officer and President

Financial highlights and key ratios

Q1 Q1 Full year
SEK million 2016 2015 % 2015
Income statement
Volumes ('000 MT)
Operating profit excluding non-recurring items
Operating profit including non-recurring items
Net profit
467
381
381
249
443
321
321
216
+5
+19
+19
+15
1,833
1,411*
1,409
945
Financial position
Total assets
Equity
Net working capital
Net interest-bearing debt
13,930
6,663
3,289
2,279
12,995
6,397
3,390
2,170
-
-
-
-
13,896
6,650
3,087
2,083
Cash flow
EBITDA
Cash flow from operating activities
Cash flow from investing activities
Free cash flow
493
-16
-192
-208
426
428
-160
268
+16
-
-
-
1,840
1,736
-1,016
720
Earnings per share
Earnings per share before dilution
Earnings per share after dilution
5.56
-
5.11
5.08
+9
-
22.17
22.12
Key figures
Volume growth, %
Operating profit per kilo (excl. acquisition
costs)
+5
0.82
+11
0.72
-
+14
+8
0.77
Return on Capital Employed
Net debt / EBITDA
16.0
1.20
15.7
1.28
+2
-6
15.7
1.13

* Non-recurring items for the full year 2015 amounted to negative SEK 2 million and consist of acquisition costs of SEK 15 million and SEK 45 million in net profit as a result of the sale of the company's office building in M.P. Bruuns Gade, Aarhus, Denmark. An assessment of previously made non-recurring provisions has resulted in increased provisions of SEK 32 million.

The AAK Group, first quarter 2016

Volumes

Volumes increased by 5 percent (11) compared to the first quarter 2015. Organic volume growth was flat (last year 4 percent) due to declining commodity volumes in Food Ingredients. However, the demand for speciality and semispeciality products was good, generating organic volume growth of 2 percent (negative 1).

Net sales

Sales amounted to SEK 4,963 million (4,836). The increase was mainly due to the positive product mix, partly offset by a negative currency translation impact of SEK 148 million, and the effect of acquisitions.

Operating profit

Operating profit reached SEK 381 million (321), an improvement of 19 percent compared to the corresponding quarter in 2015. The currency translation impact was negative SEK 10 million (positive 36).

Operating profit per kilo reached SEK 0.82 (0.72). The currency translation impact was negative SEK 0.02 (positive 0.08).

Net financial cost

Net financial cost increased, amounting to SEK 38 million (27). The Group's borrowings in highinterest rate countries have increased due to ongoing greenfield projects and recently made acquisitions.

Cash flow and investments

Operating cash flow including changes in working capital amounted to negative SEK 16 million (positive 428). As previously predicted, cash flow from working capital was negative, amounting to SEK 380 million (positive 86). The substantial increase in raw material prices during the last quarters, combined with working capital tied up for the two greenfield investments, will continue to have negative impact on working capital during 2016.

Financial position

The equity/assets ratio amounted to 48 percent (48 percent at December 31, 2015). Net debt at March 31, 2016, amounted to SEK 2,279 million (SEK 2,083 million at December 31, 2015).

At March 31, 2016, the Group had total committed credit facilities of SEK 5,898 million (5,924 as of December 31, 2015), with SEK 3,820 million of unused committed credit facilities at quarter-end.

Employees

The average number of employees at March 31, 2016 was 2,750 (2,738 at December 31, 2015). The increase of employees is related to recently made acquisitions and ongoing greenfield projects.

Events after the balance sheet

No events after the balance sheet date to report.

Business Area Food Ingredients, Q1 2016

Operating profit SEK million Q1
2016
Q1
2015
% Full year
2015
+17
%
Volumes
Net sales
314
3,295
302
3,245
+4
+2
1,258
13,556
Operating profit per kilo
+12
%
Operating profit
Operating profit per kilo
229
0.73
195
0.65
+17
+12
903
0.72

Volumes

Food Ingredients reported negative organic volume growth of 3 percent (positive 8). Speciality and semi-speciality showed stable development in the quarter. The picture between the different segments was, however, very mixed.

The Bakery segment had a challenging quarter globally with a negative volume development.

The Dairy segment continued the strong trend from the second half of 2015 and again reported double-digit organic volume growth despite the low prices on milk fat. The Nordics, North Latin America and the US showed particularly strong growth in this segment.

Infant Nutrition speciality volumes, comprising InFat® business in Advanced Lipids AB, a joint venture of AAK and Enzymotec, reported doubledigit volume growth. Infant Nutrition product range Akonino® also showed double-digit volume growth but at an even higher rate.

Foodservice also reported organic volume growth, with good development particularly in the Nordics and the UK. Market conditions in the US continued to be a little more challenging.

Commodity products showed a negative volume development after an exceptional growth in 2015.

Net sales

Sales amounted to SEK 3,295 million (3,245). The increase was mainly due to acquisitions, an improved product mix which was partly offset by lower commodity volumes, and a negative currency translation impact of SEK 122 million.

Operating profit

Operating profit improved by 17 percent to SEK 229 million (195). The currency translation impact was negative by SEK 5 million (positive 22).

Operating profit per kilo in Food Ingredients increased from SEK 0.65 to SEK 0.73, mainly as a consequence of the improved product mix. At fixed foreign exchange rates operating profit per kilo improved by 15 percent.

We are expecting a continued positive underlying development for this business area.

Business Area Chocolate & Confectionery Fats, Q1 2016

Operating profit SEK million Q1
2016
Q1
2015
% Full year
2015
Volumes 84 72 +17 312
+17
%
Net sales 1,362 1,259 +8 5,315
Operating profit per kilo Operating profit 159 136 +17 553
+0
%
Operating profit per kilo 1.89 1.89 +0 1.77

Volumes

Total volumes for Chocolate & Confectionery Fats increased by 17 percent. Organic volume growth in the quarter was 11 percent. In addition, the business area had a favorable development of the product mix. After two years of severely deteriorating market conditions in Russia and Ukraine, the first quarter showed strong growth, but from a low level.

High-end products continued the strong trend from the first three quarters of last year and again reported double-digit organic volume growth. Low-end products continued to be under strong competitive pressure, but volumes remained flat in the quarter.

Net sales

Net sales for Chocolate & Confectionery Fats increased by SEK 103 million as a consequence of volume growth, an improved product mix, and acquisitions. This was partly offset by a negative currency translation impact of SEK 26 million.

Recent years' strong customer co-development, new innovative solutions, and further expansion of our geographical footprint are continuing to yield positive results.

Operating profit

As expected, operating profit improved further, by 17 percent, reaching SEK 159 million (136). The currency translation impact was negative SEK 5 million (positive 14).

Operating profit per kilo for Chocolate & Confectionery Fats remained stable at SEK 1.89 (1.89). At fixed foreign exchange rates operating profit per kilo improved by 3 percent.

We are expecting continued improvement in Chocolate & Confectionery Fats.

Business Area Technical Products & Feed, Q1 2016

Operating profit SEK million Q1 2016 Q1 2015 % Full year +26 % Volumes 69 69 +0 263 Net sales 306 332 -8 1,243 Operating profit per kilo Operating profit 29 23 +26 88 +27 % Operating profit per kilo 0.42 0.33 +27 0.33

Volumes

Volumes were flat (negative 1) compared to the corresponding quarter in 2015. This was mainly related to volume growth for technical fatty acids, offset by lower feed volumes.

Net sales

Net sales for the business area decreased by SEK 26 million or by 8 percent as a result of a changed product mix.

Operating profit

Operating profit reached SEK 29 million (23), due to a positive development of the fatty acids business.

2015

Operating profit per kilo at SEK 0.42 (0.33) increased by 27 percent.

The operating profit is expected to be stable or to improve slightly compared to the prior year.

General information

Related parties

No significant changes have taken place in relations or transactions with related parties since 2015.

Risks and uncertainty factors

AAK is a global company represented in many countries and as such is exposed to a number of commercial and financial risks. Accordingly, risk management is an important process for AAK in its work to achieve established targets.

Efficient risk management is an ongoing process conducted within the framework of business control, and is part of the ongoing review and forward-looking assessment of operations.

AAK's long-term risk exposure is assumed not to deviate from the inherent exposure associated with AAK's ongoing business operations.

For a more in-depth analysis of risks, refer to AAK's Annual Report for 2015.

Accounting principles in 2016

This interim report is prepared in accordance with the Swedish Annual Accounts Act and IAS 34, Interim Financial Reporting. For information regarding the accounting policies applied, see the Annual Report for 2015. The accounting policies are unchanged, compared with those applied in 2015. A number of new and amended standards are effective for periods beginning after January 1, 2016. None of these is expected to have a significant effect on the consolidated financial statements of the Group or the Parent company.

Definitions

For definitions, see the Annual Report for 2015.

Annual General Meeting

The Annual General Meeting will be held on May 11, 2016 at 2:00 p.m. CET in Malmö, Sweden (Europaporten). The Annual Report for 2015 has been distributed to shareholders and is also available on AAK's website and at its head office.

Shareholders who wish to participate at the Annual General Meeting must be registered in the share register maintained by Euroclear Sweden AB on Wednesday, May 4, 2016. To be eligible to participate in the Annual General Meeting, shareholders with nominee-registered holdings should temporarily re-register their shares in their own names through the agency of

their nominees so that they are recorded in the share register in good time before Wednesday, May 4, 2016. Notification of attendance should be made to Euroclear Sweden AB by mail or telephone no later than 4:00 p.m. CET on Wednesday, May 4, 2016:

Mail:

AAK AB, c/o Euroclear Sweden AB Box 191, SE-101 23 Stockholm, Sweden (please mark the envelope "Annual General Meeting 2016")

Telephone: +46 8 402 90 45

More information about the Annual General Meeting can be found at www.aak.com.

The Parent Company and Group Functions

The Parent Company is a holding company for the AAK Group. Its functions are primarily activities related to the development and administration of the Group.

The Parent Company's invoiced sales during the first quarter of 2016 amounted to SEK 20 million (18). The result for the Parent Company after financial items amounted to negative SEK 16 million (negative 16).

The costs for Group Functions have increased by SEK 3 million mainly as a consequence of the increased management ambition related to AAKtion, specifically Innovation, by adding resources for new product development.

Interest-bearing liabilities minus cash and cash equivalents and interest-bearing assets totalled a negative of SEK 1,056 million (negative 1,007 as at December 31, 2015). Investments in intangible and tangible assets amounted to SEK 1 million (0). The Parent Company's income statement and balance sheet are shown on pages 11–12 .

Accounting policies

AAK AB (publ.) is the Parent Company of the AAK Group. The company has prepared its financial reports in accordance with the Annual Accounts Act and RFR 2 Reporting for legal entities.

Changes in the balance sheet

No major changes since year-end.

Malmö, April 27, 2016

Arne Frank Chief Executive Officer and President

This report has not been reviewed by the company's auditors.

The information is that which AAK AB (publ.) is obliged to publish under the provisions of the Stock Exchange and Clearing Operations Act and/or the Trading in Financial Instruments Act. The information was released to the media for publication on April 27, 2016 at 11:00 a.m. CET.

Income statement

Group Parent
Q1 Q1 Full year Q1 Q1
SEK million 2016 2015 2015 2016 2015
Net sales 4,963 4,836 20,114 20 18
Other operating income 24 30 194 0 0
Total operating income 4,987 4,866 20,308 20 18
Raw materials and supplies -3,624 -3,630 -15,008 - -
Other external expenses -456 -432 -1,833 -10 -14
Cost for remuneration to employees -414 -378 -1,590 -24 -19
Amortisation and impairment losses -112 -105 -431 0 0
Other operating expenses 0 0 -37 0 0
Total operating costs -4,606 -4,545 -18,899 -34 -33
Operating profit (EBIT) 381 321 1,409 -14 -15
Interest income 1 1 3 - -
Interest expense -33 -23 -99 -2 -1
Other financial items -6 -5 -18 - 0
Total financial net -38 -27 -114 -2 -1
Result before tax 343 294 1,295 -16 -16
Income tax -94 -78 -350 0 4
Net result 249 216 945 -16 -12
Attributable to non-controlling interests 14 2 12 - -
Attributable to the Parent company's
shareholders
235 214 933 -16 -12

Comprehensive income

Group Parent
Q1 Q1 Full year Q1 Q1
SEK million 2016 2015 2015 2016 2015
Income for the period 249 216 945 -16 -12
Items that will not be reclassified to profit or
loss:
Remeasurements of post employment benefit
obligations
- - 19 - -
- - 19 - -
Items that may subsequently be reclassified to
profit or loss:
Translation differences
Fair-value changes in cash flow hedges
-241
6
331
-0
44
25
-
-
-
-
Tax attributable to fair value changes in
cash flow hedges
-1 0 -6 - -
-236 331 63 - -
Total comprehensive income for the period 13 547 1,027 -16 -12
Attributable to non-controlling interests
Attributable to the Parent company's
shareholders
11
2
4
543
7
1,020
-
-16
-
-12

Condensed balance sheet

Group Parent
SEK million 31.03.2016 31.03.2015 31.12.2015 31.03.2016 31.03.2015
Assets
Goodwill 1,529 1,381 1,567 - -
Other intangible assets 362 125 377 4 0
Tangible assets 4,331 3,948 4,295 1 1
Financial assets 28 34 52 5,476 5,476
Deferred tax assets 118 127 97 - -
Total non-current assets 6,368 5,615 6,388 5,481 5,477
Inventory 3,606 3,212 3,599 - -
Accounts receivables 2,486 2,609 2,426 24 24
Other current receivables 1,056 1,217 1,024 179 147
Cash and cash equivalents 414 342 459 0 0
Total current assets 7,562 7,380 7,508 203 171
Total assets 13,930 12,995 13,896 5,684 5,648
Equity and liabilities
Shareholders' equity 6,599 6,348 6,597 4,573 4,804
Non-controlling interests 64 49 53 - -
Total equity including non-controlling
interests 6,663 6,397 6,650 4,573 4,804
Liabilities to banks and credit institutions 2,303 2,271 2,132 - -
Pension liabilities 131 150 128 - -
Deferred tax liabilities 436 343 454 - -
Non-interest-bearing liabilities
Total non-current liabilities
277
3,147
96
2,860
288
3,002
-
-
-
-
Liabilities to banks and credit institutions 262 94 287 - -
Accounts payables 2,019 2,193 2,383 7 4
Other current liabilities 1,839 1,451 1,574 1,104 840
Total current liabilities 4,120 3,738 4,244 1,111 844
Total equity and liabilities 13,930 12,995 13,896 5,684 5,648

No changes have arisen in contingent liabilities.

AAK Group – Change in equity

SEK million Total equity
capital
Non
controlling
interests
Total equity incl.
non-controlling
interests
Openings equity January 1, 2016 6,597 53 6,650
Profit for the period
Other comprehensive income
235
-233
14
-3
249
-236
Total comprehensive income 2 11 13
Closing equity March 31, 2016 6,599 64 6,663
SEK million Total equity
capital
Non
controlling
interests
Total equity incl.
non-controlling
interests
Openings equity January 1, 2015 5,755 45 5,800
Profit for the period 214 2 216
Other comprehensive income 329 2 331
Total comprehensive income 543 4 547
New issue of shares 50 - 50
Closing equity March 31, 2015 6,348 49 6,397

During 2015, 267,950 new shares have been issued which have increased equity by SEK 50 million.

Financial instruments

SEK million Asset Liability
Financial instruments reported in balance sheet March 31, 2016
Raw material hedge contracts 111 210
FX hedge contracts 85 130
Interest rate swaps 5 43
Total derivatives financial instruments 201 383
Fair value adjustment inventory 300 98
Total financial instruments 501 481

AAK Group – Cash flow statement

Q1 Q1 Full year
SEK million 2016 2015 2015
Operating activities
Operating profit 381 321 1,409
Depreciation and amortization 112 105 431
Other non cash items -8 -15 -100
Cash flow before interest and tax 485 411 1,740
Interest paid and received -38 -26 -114
Tax paid -83 -43 -270
Cash flow before changes in working capital 364 342 1,356
Changes in inventories -69 76 -292
Changes in accounts receivables -118 -11 126
Changes in accounts payables -318 -127 148
Changes in other working capital items 125 148 398
Changes in working capital -380 86 380
Cash flow from operating activities -16 428 1,736
Investing activities
Acquisition of intangible an tangible assets -193 -161 -994
Acquisition of operations and shares, net of cash acquired - - -123
Proceeds from sale of property, plan and equipment 1 1 1
Divestment of operations and shares - - 100
Cash flow from investing activites -192 -160 -1,016
Cash flow after investing activities -208 268 720
Financing activities
New share issue - 50 107
Changes in loans 169 -247 -344
Dividend paid - - -284
Cash flow from financing activites 169 -197 -521
Cash flow for the period -39 71 199
Cash and cash equivalents at start of period 459 264 264
Exchange rate difference for cash equivalents -6 7 -4
Cash and cash equivalents at end of period 414 342 459

AAK Group – Share data

Q1 Q1 Full year
2016 2015 2015
Number of shares, thousand 42,288 41,987 42,288
Earnings per share, SEK* 5.56 5.11 22.17
Earnings per share incl. dilution, SEK** - 5.08 22.12
Earnings per share incl. full dilution, SEK*** - 5.07 22.16
Equity per share, SEK 156.05 151.67 156.77
Market value on closing date 645.00 484.50 627.50

* The calculation of earnings per share is based on weighted average number of outstanding shares.

** The calculation of earnings per share is based on weighted average number of outstanding shares including dilution from outstanding subscription options (in accordance with IAS 33). No outstanding share options since December, 2015. *** Earnings per share after full dilution is calculated by dividing net income for the period by the total number of average outstanding shares for the period including a conversion of all outstanding share options to ordinary shares. No outstanding share options since December, 2015.

Quarterly data – Business areas

Operating profit

2015 2016
Full
SEK million Q1 Q2 Q3 Q4 year Q1
Food Ingredients 195 221 230 257 903 229
Chocolate & Confectionery Fats 136 116 166 135 553 159
Technical Products & Feed 23 22 11 32 88 29
Group Functions -33 -33 -31 -36 -133 -36
Total AAK Group excl. non 321 326 376 388 1,411 381
recurring items
Acquisition costs and non-recurring
items
- 13 - -15 -2 -
Total legal operating profit AAK 321 339 376 373 1,409 381
Group
Financial net -27 -30 -28 -29 -114 -38
Result before tax 294 309 348 344 1,295 343

Price trends in raw materials

Rapeseed oil and palm oil Cocoa butter

For information regarding cocoa and cocoa butter, please refer to information at www.icco.org

Additional information

Press and analyst conference

AAK will host a conference call on April 27, 2016 at 1:00 p.m. CET. The conference call can be accessed via our home page, www.aak.com.

The annual and quarterly reports are also published on www.aak.com.

Financial calendar 2015

The Annual General Meeting will be held on May 11, 2016.

The interim report for the second quarter 2016 will be published on July 15, 2016.

The interim report for the third quarter 2016 will be published on October 26, 2016.

The fourth quarter and year-end report for 2016 will be published on February 3, 2017.

Forward-looking statements

This report contains forward-looking statements. Such statements are subject to risks and uncertainties as various factors, many of which are beyond the control of AAK AB (publ.), may cause actual developments and results to differ materially from the expectations expressed in this report.

Governing text

The report has been translated from Swedish. The Swedish text shall govern for all purposes and prevail in the event of any discrepancy between the versions.

Investor Relations contact:

Fredrik Nilsson, CFO Phone: + 46 40 627 83 34 Mobile: + 46 708 95 22 21 E-mail: [email protected]

The first choice for value-adding vegetable oil solutions

We develop and provide value-adding vegetable oil solutions in close collaboration with our customers, enabling them to achieve long lasting business results.

We do so through our in-depth expertise in oils & fats within food applications, working with a wide range of raw materials and broad process capabilities.

Through our unique co-development approach we bring together our customers' skills and know-how with our capabilities and mindset. By doing so, we solve customer specific needs across many industries – Chocolate & Confectionery, Bakery, Dairy, Infant Nutrition, Food Service, Personal Care, and more.

AAK's proven expertise is based on more than 140 years of experience within oils & fats. With our headquarters in Malmö, Sweden, 19 production facilities and customization plants, and sales offices in more than 25 countries, our more than 2,700 employees are dedicated to providing innovative value-adding solutions to our customers.

So no matter where you are in the world, we are ready to help you achieve long lasting results.

We are AAK – The Co-Development Company.

AAK AB (publ)

Jungmansgatan 12, SE-211 19 Malmö, Sweden

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