Bell Food Group (BELL) H1 2025 earnings summary

Executive summary

• Organic net revenue grew 4.4% year-over-year to CHF 2,403 million, with EBITDA up 5.4% to CHF 160 million and net profit at CHF 46 million (+0.9%).

• Bell Switzerland and Hubers/Sütag were main growth drivers, while Eisberg shifted focus to the DACH region after selling Eastern European sites.

• Major plant expansions and infrastructure projects progressed as planned at Bell Switzerland, Hilcona, and Hubers.

• Ongoing challenges include raw material availability, rising input costs, and margin pressure, with measures to improve profitability.

• Strategic divestment of Eisberg's Eastern European units will reduce annual net revenue by CHF 90 million and headcount by 700 FTEs from H2 2025.

Financial highlights

• Net revenue increased by CHF 87 million (+3.7%) to CHF 2,403 million; organic growth was +4.4%.

• EBITDA rose by CHF 8 million (+5.3%) to CHF 160 million; EBIT up by CHF 2 million (+3.8%) to CHF 66 million.

• Earnings after taxes reached CHF 46 million (+0.9%); earnings per share CHF 7.28.

• Operating investments decreased to CHF 109 million (previous year: CHF 141 million); operating free cash flow improved to CHF 10 million (previous year: CHF -51 million).

• Gross profit margin slightly declined to 39.3% due to higher raw material costs.

Outlook and guidance

• Ambition to continue organic growth and EBITDA improvement, with investment levels around CHF 250 million p.a. in the medium term.

• Start-up costs and higher depreciation from new infrastructure mainly impact 2026-2027; Oensingen start-up costs up to CHF 20 million.

• Net debt ratio targeted below 2.5x, with stable dividend payout ratio of around 30%.

• Confident outlook for H2 2025, despite margin pressure, volatile markets, and raw material challenges.

• Sale of Eisberg's Eastern European companies will reduce annual net revenue and headcount from H2 2025.