Half Year 2024 Verallia SA Earnings Call Transcript
Key Points
- Verallia (VRLAF) completed the acquisition of Vidrala in Italy, expanding its offer to the food and beverage industry in Italy.
- Despite challenging market conditions, Verallia (VRLAF) maintained a solid EBITDA margin performance of 24.4%.
- The company is implementing a strong productivity action plan, achieving a 2.6% cash production cost reduction in H1.
- Verallia (VRLAF) is actively managing capacity and inventory, running at 10% capacity down for inventory control.
- The company is advancing its ESG decarbonation roadmap with significant investments in electric and hybrid furnaces.
- Verallia (VRLAF) reported a revenue decline of 17.6% compared to the previous year, with an organic growth of minus 10.4%.
- The company experienced a negative price/mix impact, with a significant down-trading effect in the market.
- Verallia (VRLAF) faced a negative spread in EBITDA due to price decreases and mix effects.
- The company is dealing with a prolonged destocking period, impacting volumes and market predictability.
- Free cash flow was negative in the first half of the year, although a positive cash flow is expected in the second half.
Hello, and welcome to the Verallia H1-2024 financial results analysts call. Please note, this call is being recorded. (Operator Instructions)
I will now hand you over to your host, Patrice Lucas, to begin today's conference. Please go ahead, sir.
Good morning, everyone, and welcome to our H1 '24 results call. As usual, Nathalie and I will go through our presentation, and we'll have our Q&A session. I will share with you some key highlights and focus on market information. Nathalie will present in detail our numbers, and then I will come back on our guidance for full year.
To start with, just to remind you that Verallia is a global leader in glass packaging. We are number one in Europe, number two in Latin America, and number three worldwide. On this chart, you have our ID card. You have on the left the 2023 split of our sales by segment. One of our strong assets is our customer base, more than 10,000 and the diversified and balanced market in which we operate.
We do operate in
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
