Lotus Bakeries (LOTB) H1 2024 earnings summary

Executive summary

• Sales grew 19.6% year-over-year to €599.3 million in H1 2024, driven by robust volume growth across all strategic pillars.

• EBITDA rose 21% to €116 million, with EPS up 21.7% compared to H1 2023.

• Lotus Biscoff achieved over 20% volume growth, with strong performance in Europe, UK, US, and Asia-Pacific.

• Double-digit growth across all Lotus Natural Foods brands, with international sales outside the UK up nearly 30%.

• Notable household penetration gains for Lotus Biscoff in Germany, Spain, Netherlands, Canada, and Australia.

Financial highlights

• Revenue reached €599.3 million, up 19.6% from €501.1 million in H1 2023.

• Underlying EBIT increased 24.3% to €97.5 million; underlying EBITDA up 20.9% to €115.8 million.

• Net result rose 21.8% to €72.1 million; underlying net result up 24% to €74.1 million.

• Net financial debt at €150.1 million (0.7x EBITDA), down from €184.4 million a year ago.

• Free cash flow after expansion capex was €130.6 million, with cash conversion after expansion capex at 57%.

Outlook and guidance

• Capital investment allocation for 2024 and 2025 increased to €275 million, nearly evenly split over two years.

• Biscoff plant in Chonburi, Thailand, remains on track for commercial production by H1 2026.

• Positive outlook for Biscoff in H2 2024, though growth rates expected to moderate due to higher comparables and production constraints.