Raisio: Raisio plc Interim Report 1-9/2017: Raisio's net sales increased by almost 6% in July-September

Raisio plc        Interim Report 8 November 2017 at 8:30 a.m. Finnish time

RAISIO'S NET SALES INCREASED BY ALMOST 6% IN JULY-SEPTEMBER

July-September 2017

  -- The Group's comparable net sales increased by 5.8%, totalling EUR 108.8
     (102.8) million.
  -- The Group's comparable EBIT was EUR 13.0 (14.0) million, accounting for
     12.0 (13.6)% of net sales.
  -- Brands Division's comparable EBIT totalled EUR 10.6 (11.1) million,
     accounting for 15.0 (16.2)% of net sales.
  -- Raisioagro's EBIT was EUR 3.3 (2.3) million, accounting for 7.9 (6.1)% of
     net sales.

January-September 2017

  -- The Group's comparable net sales totalled EUR 305.5 (340.9) million.
  -- The Group's comparable EBIT was EUR 36.7 (38.7) million, accounting for
     12.0 (11.3)% of net sales.
  -- Brands Division's comparable EBIT totalled EUR 34.9 (36.7) million,
     accounting for 16.2 (14.9)% of net sales.
  -- Raisioagro's EBIT was EUR 4.2 (3.7) million, accounting for 4.2 (3.6)% of
     net sales.

CEO's review

"Raisio Group's third-quarter net sales were almost six per cent up from the
comparison period. Net sales were driven by Benecol and fish feed business.
This year's now ending farming season was one of the best ever in Raisioagro's
fish feed business. Benecol's growth was boosted by the good sales development
of consumer products in Finland and increased deliveries of plant stanol ester
to licensing partners especially in Asia. In addition, the higher world market
prices in sterols, Benecol product raw materials, and the currency impact of
the weakening British pound were offset by price increases. 

Raisio's EUR 13.0 million EBIT was a reasonable performance in a situation
where the UK's confectionery business profitability continued to weaken. Raisio
will continue to work resolutely to address the operational and commercial
challenges at the Leicester confectionery plant. This will, however, take
clearly longer than expected. The Healthy Food and Czech confectionery
businesses continued their good performance. EBIT for both Benecol and
Raisioagro improved with increased net sales. 

Raisio is again a net debt free company with a strong cash flow. The company
seeks growth especially for its Benecol and Healthy Food businesses with good
profitability. Raisio's agile product and brand development, and expansion to
new markets and product categories enable organic growth. Raisio will also grow
through acquisitions". 

Raisio Group's key figures

                                                7-9/   7-9/   1-9/   1-9/   2016
                                                2017   2016   2017   2016       
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Result                                                                          
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Net sales                                  M€  108.2  102.8  344.7  340.9  436.3
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Change in net sales                         %    5.2  -23.5    1.1  -14.4  -16.3
--------------------------------------------------------------------------------
Items affecting comparability              M€    0.6    0.0  -39.2    0.0    0.0
--------------------------------------------------------------------------------
Comparable net sales                       M€  108.8  102.8  305.5  340.9  436.3
--------------------------------------------------------------------------------
Change in comparable net sales              %    5.8  -23.5  -10.4  -14.4  -16.3
--------------------------------------------------------------------------------
EBIT                                       M€   13.0   13.9   35.0   17.4   28.9
--------------------------------------------------------------------------------
EBIT                                        %   12.0   13.6   10.2    5.1    6.6
--------------------------------------------------------------------------------
Items affecting comparability              M€    0.0    0.1    1.6   21.2   21.8
--------------------------------------------------------------------------------
Comparable EBIT                            M€   13.0   14.0   36.7   38.7   50.7
--------------------------------------------------------------------------------
Comparable EBIT                             %   12.0   13.6   12.0   11.3   11.6
--------------------------------------------------------------------------------
Depreciations                              M€   -2.8   -2.6   -8.2   -8.7  -11.3
--------------------------------------------------------------------------------
Impairment                                 M€    0.4    0.5  -28.9  -16.5  -16.1
--------------------------------------------------------------------------------
Depreciations and impairment, in total     M€   -2.4   -2.1  -37.1  -25.1  -27.4
--------------------------------------------------------------------------------
Items affecting comparable depreciations   M€   -0.4   -0.5   28.9   16.5   16.1
 and impairment                                                                 
--------------------------------------------------------------------------------
Comparable depreciations and impairment    M€   -2.8   -2.6   -8.2   -8.7  -11.3
--------------------------------------------------------------------------------
EBITDA                                     M€   15.4   16.0   72.1   42.6   56.3
--------------------------------------------------------------------------------
Items affecting comparable EBITDA          M€    0.4    0.6  -27.3    4.8    5.7
--------------------------------------------------------------------------------
Comparable EBITDA                          M€   15.8   16.6   44.8   47.3   62.0
--------------------------------------------------------------------------------
Financial items                            M€   -0.8   -0.5   -1.4   -2.4   -2.2
--------------------------------------------------------------------------------
Earnings per share (EPS)                    €   0.06   0.07   0.14   0.06   0.12
--------------------------------------------------------------------------------
Comparable earnings per share (EPS)         €   0.06   0.07   0.18   0.19   0.25
--------------------------------------------------------------------------------
Balance sheet                                                                   
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Equity ratio                                %      -      -   69.6   63.1   66.8
--------------------------------------------------------------------------------
Net gearing                                 %      -      -   -3.9   13.1    8.5
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Net interest-bearing debt                  M€      -      -  -11.9   39.8   26.7
--------------------------------------------------------------------------------
Equity per share                            €      -      -   1.93   1.93   1.99
--------------------------------------------------------------------------------
Investments                                M€    1.6    5.1    9.9   13.4   18.3
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OUTLOOK FOR 2017

Raisio revised its 2017 outlook in the stock exchange release published on 21
July 2017. For the full year 2017, the company estimates its comparable EBIT to
be approximately EUR 45 million. The outlook revision was due to the prolonged
operational and commercial problems at the UK confectionery business, lower
than expected profitability and weakening of the pound against the euro.
Exchange rates will continue to significantly affect Raisio's net sales and
EBIT. 

In line with the renewed strategy, Raisio continues to invest in brands,
product concepts, sales and marketing, to streamline its operations and expand
into new markets in Europe. This will pave the way for future growth and
success. 

RAISIO PLC

Heidi Hirvonen
Communications and IR Manager
tel. [phone]

Further information:
Pekka Kuusniemi, President and CEO, tel. [phone]
Antti Elevuori, CFO, tel. [phone]
Heidi Hirvonen, Communications and IR Manager, tel. [phone]

Raisio will publish the Financial Statement Bulletin on 12 February 2018.

The interim report has not been audited.

Raisio plc

Raisio is an international food and feed company focusing on wellbeing and
profitable growth. The core of Raisio's strategy consists of plant-based,
healthy and responsible branded products. Benecol is an international success
story in cholesterol lowering. Our well-known local brands include Elovena,
Nordic, Fox's and Pedro as well as cattle feed Maituri and Baltic Blend fish
feeds. We promote sustainable food chain and develop innovations to enhance
wellbeing. Raisio plc's shares are listed on Nasdaq Helsinki Ltd. In 2016, the
Group's net sales totalled EUR 436 million and comparable EBIT was EUR 50.7
million. The Group employs some 1,400 people. For more information on Raisio go
to www.raisio.com/en 

Distribution
Nasdaq
Key media
www.raisio.com

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