AAK: announces preliminary Q3-2023 financial results

Malmo / SE. (aak) The diversified business of Swedish AAK Group (former AarhusKarlshamn AB) maintained its strong momentum in the third quarter 2023, resulting in a 39 percent increase in operating profit compared to the same period last year. Similar to the first half of this year, the increase in operating profit was mainly driven by higher sales of speciality solutions, productivity improvements and price management. Currencies provided a SEK 32 million tailwind in the third quarter.

Volumes improved sequentially by 5 percent compared to the second quarter this year but declined by 5 percent compared to the third quarter last year. The year-on-year decline was mainly due to the business area Chocolate + Confectionery Fats and the ongoing optimization program in the Bakery business. Volumes in Chocolate + Confectionery Fats decreased year-on-year following a record-high third quarter last year but demonstrated a double-digit growth in a three-year comparison.

Profitability, measured as operating profit per kilo, was strong and improved compared to the third quarter of last year, driven by Food Ingredients and Chocolate + Confectionery Fats. In Technical Products + Feed, operating profit per kilo declined driven by a negative mix effect due to the lower volumes in Technical Products.