Earnings Release • Sep 13, 2021
Earnings Release
Open in ViewerOpens in native device viewer
Verdellino, 13 September 2021
The Board of Directors of Fine Foods & Pharmaceuticals N.T.M. S.p.A. approves the 30 June 2021 Half-year Financial Report.
***
| Thousands of Euro | 30.06.2021 | 30.06.2020 | Difference | Difference in % | |
|---|---|---|---|---|---|
| Revenues | 98,614 | 75,438 | 23,176 | 31% | |
| EBITDA (1) | * | 13,136 | 8.942 | 4.193 | 47% |
| EBITDA Margin (2) | ×. | 13.3% | 11.9% | ||
| Net profit | ** | 6.467 1.529 4.937 |
323% | ||
| Thousands of Euro | 30.06.2021 | 31.12.2020 | Difference | ||
| Shareholders' equity | 153,260 | 141,008 | 12,252 | ||
| Net Financial Position (3) | (20, 658) | (42, 760) | 22,103 | ||
| * The first half of 2021 does not include non-recurring charges totalling €273,000. The first half of 2020 does not include non-recurring charges totalling €697,000. ** The first half of 2021 does not include non-recurring financial charges totalling £12.7 million (with no tax effect) related to the change in fair value of warrants fully settled at the same time and non-recurring charges totalling €273,000 (€197,000 net of the related tax effect). |
|||||
| The first half of 2020 does not include non-recurring financial income totalling €3.7 million (with no tax effect) | |||||
| and non-recurring charges totalling €697,000 (€503,000 net of the related tax effect). | |||||
| (1) Operating profit before depreciation, amortisation and impairment losses | |||||
| (2) Ratio between EBITDA and revenues |
Fine Foods & Pharmaceuticals N.T.M. S.p.A.
Fine Foods & Pharmaceuticals N.T.M. S.p.A., listed on the STAR segment of the MTA of Borsa Italiana, is a leading Italian Company in the Contract Development and Manufacturing Organisation (CDMO) of oral solid forms for the pharmaceutical and nutraceutical industries. The Fine Foods Group is also active in the cosmetics, biocides and medical devices industries with its recent acquisition of Pharmatek-PMC.
The Board of Directors approved today the Consolidated Half-Year Financial Report as of 30 June 2021.
The Chief Executive Officer, Giorgio Ferraris, commented:
"Fine Foods showed once again an amazing resilience in turbulent times. In the first half of 2021 we achieved a substantial growth of revenues and EBITDA, despite the fact that our reference markets were and are still struggling to go back to pre-COVID levels. On the ESG front Fine Foods has obtained the Gold rating from EcoVadis and continues the commitment to improve the already advanced sustainable model."
Fine Foods & Pharmaceuticals N.T.M. S.p.A.
The abridged consolidated interim financial statements as of 30 June 2021 are prepared under IAS/IFRS, issued by the IASB (International Accounting Standards Board) and are subject to audit. The abridged interim financial statements include the results for the first half of the 2021 financial year for the newly acquired Pharmatek. Pharmatek is an unlisted company based in Cremosano (CR) specialising in the production of cosmetics, medical surgical aids and medical devices.
The manager responsible for preparing the company's financial reports - Pietro Bassani - declared, under Article 154-ter, paragraph 2, of Legislative Decree no. 58 of 24 February 1998, that the accounting information contained in the press release corresponds to the documented results, books and accounting records.
| Thousands of Euro | 30.06.2021 30.06.2020 | ||
|---|---|---|---|
| Revenues | 98.614 | 75.438 | |
| EBITDA (1) | * | 13.136 | 8.942 |
| EBIT(2) | * | 6.728 | 3.334 |
| Income before taxes | ** | 8.939 | 2.930 |
| Net profit | ** | 6.467 | 1.529 |
| ** The first half of 2021 does not include non-recurring financial charges totalling £12.7 million (with no tax effect) related to the change in fair value of warrants fully settled at the same time and non-recurring charges totalling €273,000 (€197,000 net of the related tax effect). The first half of 2020 does not include non-recurring financial income totalling €3.7 million (with no tax effect) and non-recurring charges totalling €697,000 (€503,000 net of the related tax effect). |
|||
| (1) Operating profit before depreciation, amortisation and impairment losses (2) Operating profit |
Revenues for the first half of 2021 were approximately €98.6 million with an increase of 31% compared to €75.4 million in the first half of 2020. Revenues generated by the newly acquired Pharmatek amounted to €6 million, consequently the Group's growth is mostly organic and attributable to the excellent performance of the parent company Fine Foods (turnover +23% compared to the previous period).
Fine Foods & Pharmaceuticals N.T.M. S.p.A.
EBITDA* amounted to €13.1 million and recorded an increase of €4.2 million compared to the previous period, increasing its percentage on revenues from 11.9% to 13.3%.
EBIT* amounted to approximately €6.7 million, with an increase compared to the first half of 2020, when it was €3.3 million; the EBIT margin showed a positive trend, rising from 4% as of 30 June 2020 to 7% as of 30 June 2021.
Income before taxes** reached €8.9 million as of 30 June 2021 compared to €2.9 million in the previous period and Net Profit** reached €6.5 million compared to €1.5 million as of 30 June 2020.
| Thousands of Euro | 30.06.2021 | 31.12.2020 |
|---|---|---|
| Fixed assets | 111,522 | 95,280 |
| Net Working Capital | 24,493 | 9,585 |
| Other receivables and payables | (2,017) | (5,555) |
| Employee benefits | (1,395) | (1,063) |
| Net Invested Capital | 132,603 | 98,248 |
| Shareholders' equity | 153,260 | 141,008 |
| Net Financial Position | (20,658) | (42,760) |
Fixed assets increased by approximately €16.2 million compared to 31 December 2021; this increase is mainly attributable to the goodwill generated by the acquisition of Pharmatek (€12.6 million) which was recorded in the consolidated financial statements. The increase was also due to the rights of use contributed by the newly acquired company (€3.9 million as of 30 June 2021).
Net working capital as of 30 June 2021 was €24.5 million compared to €9.6 million at the end of the previous period. This is mainly due to higher trade receivables, which are structurally higher at the reporting date (Increase of €12 million, of which €3.6 million contributed by Pharmatek) and higher Inventories for raw materials procurement (increase of €6.7 million, of which €1.3 million contributed by the Pharmatek subsidiary). Trade payables recorded an increase, which partially offset the growth in the above-mentioned assets (increase of €3.8 million, of which €2.3 million contributed by the Pharmatek subsidiary).
Other Receivables and Payables showed a negative balance of approximately €2 million as of 30 June 2021, with a decrease compared to the end of the previous year (negative balance of €5.6 million) mainly due to the increase in Other non-financial assets, including VAT credit.
Shareholders' equity confirmed the company solidity with an increase of approximately €12.3 million compared to the previous year-end despite the purchase of treasury shares for €2.5 million and the distribution of dividends of €3.2 million. The increase in Equity is mainly generated by the conversion of listed and unlisted warrants.
The Net Financial Position stood at a positive value (net cash) of approximately €20.7 million, down from the previous year mainly due to the acquisition of Pharmatek, which had an impact of €17.2 million on the Group's NFP.
On 9 November 2020, the company announced to the market the translisting process from the AIM Market to MTA had begun. From 12 July 2021, Fine Foods & Pharmaceuticals N.T.M. S.p.A. was listed on the STAR Segment of the Mercato Telematico Azionario ("MTA") organised and managed by Borsa Italiana S.p.A. At the end of the process, which has received Consob and Borsa Italiana approval, the Company's ordinary shares are traded on the main list. Fine Foods debuted on the AIM Italia multilateral trading system on 1 October 2018 with a capitalisation of €216.5 million. On 9 July, the last day on AIM, it rose to €347.6 million in addition to dividends distributed in FY2019, 2020 and 2021 totalling €8.2 million and creating €139.3 million of value equal to 64.3% of the initial capitalisation in less than three years.
The Fine Foods Group expects good sales volumes for the second half of 2021 and a substantial alignment with the historical growth of the Parent Company and positive performance from the Pharmatek subsidiary.
***
This press release is available on the Fine Foods website www.finefoods.it, in the Investor Relations/Press Releases section.
It should be noted that under Article 154-ter, paragraph 2, of Legislative Decree no. 58 of 24 February 1998, the half-year financial report as of 30 June 2021, approved by the Board of Directors on today's date, will be made available today to shareholders and the public at the registered office, on the Company's website at www.finefoods.it, Investor Relations/Financial Statements and Reports section, and the authorised storage system - .
Fine Foods & Pharmaceuticals N.T.M. S.p.A.
Fine Foods & Pharmaceuticals N.T.M. S.p.A., listed on the STAR segment of the MTA of Borsa Italiana, is an independent Italian contract development & manufacturing organisation (CDMO). It develops and manufactures contract products for the pharmaceutical and nutraceutical industry; the Fine Foods Group is also active in the cosmetics, biocides and medical devices industries with its recent acquisition of Pharmatek-PMC.
***
Founded in 1984, from a pharmaceutical and nutraceutical synergy, Fine Foods has been pursuing quality and innovation on behalf of its customers as its primary objective. With € 172 million revenue in 2020 and an 11 per cent CAGR over the last decade, it is a growing and future-oriented company.
The sustainability of the business model and the holistic approach to ESG, together with product innovation, are drivers that will allow the Group to fully develop its intrinsic potential.
***
For information: Fine Foods & Pharmaceuticals N.T.M. S.p.A. Investor Relations Tel. +39 035 4821382 [email protected]
CDR Communication Media Relations Marianna Tremolada [email protected]
Fine Foods & Pharmaceuticals N.T.M. S.p.A.
| (amounts in € units) | Half-year as of 30 June 2021 |
Half-year as of 30 June 2020 |
||
|---|---|---|---|---|
| Revenues and income | ||||
| Revenues from contracts with customers | 98,614,404 | 75,438,236 | ||
| Other revenues and income | 1,193,913 | 615,035 | ||
| Total revenues | 99,808,317 | 76,053,271 | ||
| Operating costs | ||||
| Costs for consumption of raw materials, change in inventories of finished goods and work in progress. |
(59,643,455) | (45,500,496) | ||
| Personnel costs | (17,431,308) | (14,449,817) | ||
| Costs for services | (9,153,877) | (7,246,057) | ||
| Other operating costs | (716,916) | (611,722) | ||
| Amortisation, depreciation, and impairment losses | (6,407,581) | (5,608,308) | ||
| Total operating costs | (93,353,138) | (73,416,399) | ||
| Changes in fair value of financial assets and liabilities | (10,182,613) | 3,558,937 | ||
| Financial income | 23,059 | 10,439 | ||
| Financial charges | (366,322) | (252,839) | ||
| Income before taxes | (4,070,697) | 5,953,409 | ||
| Income taxes | (2,396,222) | (1,206,586) | ||
| Profit/(loss) for the financial year | (6,466,919) | 4,746,823 |
Fine Foods & Pharmaceuticals N.T.M. S.p.A.
| (amounts in € units) | Half-year as of 30 June 2021 |
Half-year as of 30 June 2020 |
|---|---|---|
| Profit /(loss) for the financial year (A) | (6,466,919) | 4,746,823 |
| Components that will not be subsequently reclassified to profit/(loss) for the financial year |
||
| Revaluation of net employee benefit liabilities/assets | 36,107 | (2,684) |
| Tax effect | (8,666) | 644 |
| Other comprehensive income (B) components | 27,441 | (2,040) |
| Comprehensive profit/(loss) (A+B) | (6,439,478) | 4,744,783 |
Fine Foods & Pharmaceuticals N.T.M. S.p.A.
| Half year as of | Financial Statements as of | |||
|---|---|---|---|---|
| (amounts in € units) | 30/06/2021 | 31/12/2020 | ||
| Assets | ||||
| Non-current assets | ||||
| Property, plant and machinery | 93,019,099 | 93,413,964 | ||
| Goodwill | 12,563,283 | - | ||
| Other intangible fixed assets | 3,369,580 | 1,510,516 | ||
| Rights of use | 2,458,081 | 355,457 | ||
| Non-current financial assets | 111,581 | - | ||
| Deferred tax assets | 1,511,967 | 1,607,531 | ||
| Total non-current assets | 113,033,591 | 96,887,467 | ||
| Current assets | ||||
| Inventories | 26,362,402 | 19,647,515 | ||
| Trade receivables | 24,654,559 | 12,660,157 | ||
| Other current assets | 8,941,272 | 3,292,257 | ||
| Current financial assets | 70,184,394 | 71,608,964 | ||
| Cash and other liquid assets | 4,606,334 | 3,342,518 | ||
| Total current assets | 134,748,960 | 110,551,410 | ||
| Total assets | 247,782,551 | 207,438,877 | ||
| Shareholders' equity | ||||
| Share Capital | 22,770,445 | 22,601,885 | ||
| Other reserves | 143,644,843 | 123,847,446 | ||
| Employee benefit reserve | (18,139) | (61,681) | ||
| FTA reserve | (6,669,789) | (9,883,868) | ||
| Profits carried forward | - | (8,859,849) | ||
| Profit/(loss) for the financial year | (6,466,919) | 13,364,228 | ||
| Total Shareholders' Equity | 153,260,441 | 141,008,161 | ||
| Non-current liabilities | ||||
| Bonds | 6,645,190 | 6,632,483 | ||
| Non-current bank borrowings | 24,744,835 | 9,060,857 | ||
| Employee benefits | 1,395,170 | 1,062,790 | ||
| Provision for deferred taxes | 544,214 | 414,035 | ||
| Non-current lease payables | 1,420,323 | 147,179 | ||
| Other non-current financial liabilities | 3,000,000 | - | ||
| Total non-current liabilities | 37,749,733 | 17,317,343 | ||
| Current liabilities | ||||
| Bonds | 3,303,883 | 3,297,542 | ||
| Current bank borrowings | 11,561,276 | 1,863,255 | ||
| Trade payables | 26,523,810 | 22,722,377 | ||
| Taxes payable | 4,745,638 | 2,480,968 | ||
| Current lease payables | 457,506 | 192,529 | ||
| Other current financial liabilities | 3,000,000 | 10,997,144 | ||
| Other current liabilities | 7,180,264 | 7,559,559 | ||
| Total current liabilities | 56,772,376 | 49,113,373 | ||
| Total Shareholders' equity and Liabilities | 247,782,551 | 207,438,877 |
Fine Foods & Pharmaceuticals N.T.M. S.p.A.
| Half-year as of 30 June 2021 |
Half-year as of 30 June 2020 |
|
|---|---|---|
| PROFIT/(LOSS) FOR THE FINANCIAL YEAR | (6,466,919) | 4,746,823 |
| Adjustments to reconcile profit after tax with net cash flows: | ||
| Depreciation and impairment of property, plant and machinery | 5,676,940 | 5,190,495 |
| Amortisation and impairment of intangible fixed assets | 423,286 | 276,563 |
| Amortisation of rights of use | 256,598 | 141,250 |
| Other write-downs of fixed assets | 14,155 | - |
| Financial income | (23,059) | (10,439) |
| Financial charges | 356,486 | 250,975 |
| Changes in fair value of financial assets and liabilities | 10,182,613 | (3,558,937) |
| Financial charges on financial liabilities for leases | 9,836 | 1,864 |
| Income taxes | 2,130,749 | 956,736 |
| Personnel costs for stock grants | 506,662 | 508,050 |
| Gains on the disposal of property, plant and machinery | (66,680) | (15,540) |
| Current assets write-downs | 393,164 | 680,948 |
| Net change in severance indemnity and pension funds | (83,465) | (61,386) |
| Net change in deferred tax assets and liabilities | 265,473 | 249,850 |
| Interest paid | (340,758) | (238,283) |
| Income taxes paid | (1,178,525) | - |
| Changes in net working capital: | ||
| (Increase)/decrease in inventories | (5,281,116) | (1,650,346) |
| (Increase)/decrease in trade receivables | (8,409,154) | (7,266,458) |
| (Increase)/decrease in other non-financial assets and liabilities | (6,199,016) | 1,264,815 |
| Disposal of assets held for sale | 495,000 | - |
| Increase/(decrease) in trade payables | (329,870) | 4,067,619 |
| NET CASH FLOWS FROM OPERATING ACTIVITIES | (7,667,600) | 5,534,599 |
| Investments: | ||
| Investments in tangible fixed assets | (4,461,539) | (6,053,615) |
| Disposal of tangible fixed assets | 141,705 | 15,540 |
| Investments in intangible fixed assets | (577,618) | (472,779) |
| Net (investments)/disposals in financial assets | 4,051,764 | 2,764,051 |
| Acquisition of subsidiaries | (9,645,232), | - |
| NET CASH FLOWS FROM INVESTMENTS | (10,490,920) | (3,746,803) |
| Financing: | ||
| New financing | 26,430,000 | - |
| Funding repayment | (1,232,881) | 2,791,534 |
| Principal payments - lease liabilities | (209,833) | (140,414) |
Fine Foods & Pharmaceuticals N.T.M. S.p.A.
| Dividends paid to the parent company's shareholders | (3,205,727) | (2,743,472) |
|---|---|---|
| Share capital increase | 168,560 | 37,166 |
| Sale/(purchase) of treasury shares | (2,527,785) | (2,567,470) |
| CASH FLOWS FROM FINANCING | 19,422,335 | (2,622,656) |
| NET CHANGE IN CASH AND CASH EQUIVALENTS | 1,263,816 | (834,860) |
| Cash and short-term deposits as of 1 January | 3,342,518 | 2,627,472 |
Fine Foods & Pharmaceuticals N.T.M. S.p.A.
| Share Capital |
Legal reserve |
Negative reserve for treasury shares in the portfolio |
Merger surplus reserve |
Share premium reserve |
Extraordinary reserve |
Other reserves |
FTA reserve |
Employee benefit reserve |
Profits/losses carried forward |
Profit/loss for the financial year |
Total Shareholders' equity |
|
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Balance as of 1 January 2021 | 22,601,885 | 5,000,000 | (8,759,287) | 29,741,389 | 86,743,750 | 9,398,219 | 1,723,375 | (9,883,868) | (61,681) | (8,859,849) | 13,364,228 | 141,008,161 |
| Profit/(loss) for the financial year |
(6,466,919) | (6,466,919) | ||||||||||
| Other income statement components | 43,542 | 43,542 | ||||||||||
| Comprehensive profit/(loss) | 43,542 | (6,466,919) | (6,423,377) | |||||||||
| Dividends | (3,205,727) | (3,205,727) | ||||||||||
| Stock Grant | 506,662 | 506,662 | ||||||||||
| Purchase of treasury shares | (2,527,785) | (2,527,785) | ||||||||||
| Warrant exercise | 168,560 | 11,660,019 | 3,214,079 | 8,859,849 | 23,902,506 | |||||||
| 2020 profit allocation | 13,364,228 | (13,364,228) | - | |||||||||
| Balance as of 30 June 2021 |
22,770,445 | 5,000,000 | (11,287,072) | 29,741,389 | 86,743,750 | 19,556,720 | 13,890,056 | (6,669,789) | (18,139) | - | (6,466,919) | 153,260,441 |
Building tools?
Free accounts include 100 API calls/year for testing.
Have a question? We'll get back to you promptly.