Deoleo (OLE) H2 2024 earnings summary

Executive summary

• Revenue grew 19% year-over-year to €997m, driven by effective pass-through of raw material costs and stable sales volumes despite a challenging market.

• EBITDA increased 10.4% to €33.4m, with cost containment and efficiency plans offsetting market volatility.

• Net loss of €54.5m, mainly due to a €60.8m provision for an adverse court ruling in an Italian customs case.

• Net debt reduced by 4% to €115.5m, with a leverage ratio of 3.46x, supported by €32m in operating cash flow.

• A binding agreement to refinance all existing debt was signed in early 2025, ensuring financial stability.

Financial highlights

• Revenue: €996.6m (up 19% year-over-year); EBITDA: €33.4m (up 10.4%); Adjusted EBIT: €23.2m (up 18% like-for-like).

• Net loss: €54.5m, reflecting the after-tax impact of the Italian customs provision.

• Gross profit: €99.2m (down 1%); unit gross margin stable at €0.69/liter.

• Operating expenses reduced by 5.9% to €65.8m; working capital decreased by 3.6% to €98.7m.

• Cash and cash equivalents at year-end: €52.9m (up 72% from 2023).

Outlook and guidance

• Expectation of continued price corrections and increased olive oil availability in 2025, supporting further cash generation.

• Focus on reinforcing strategy and implementing changes for sustainable growth and value generation in 2025 and beyond.