Zorbas: net profit declined 22,9 percent

Nicosia / CY. (zrp) Cyprus´ leading bakery chain, A. Zorbas + Sons Public Ltd. recorded a decline in first nine month results because of increased costs related to its new production unit, higher labour costs as well as higher raw material and energy costs. Net profit declined 22,9 percent to 2,33 million EUR compared to 2,93 million EUR profits a year ago in the same period.

Total sales advanced by 5,1 percent to 43,49 million EUR in the first nine month 2007 from 41,38 million EUR in the first nine month 2006, mostly on the back of the increase in the number of retail outlets to 47 from 46 in the first nine month 2006 and new product additions.

Gross profit advanced by 4,4 percent to 15,96 million EUR with gross profit margin worsening slightly by 25 bps to 36,7 percent in the first nine month 2007. Operating expenses rose by 12,4 percent to 10,88 million EUR, with EBIT coming lower at 2,56 million EUR for a 23,9 percent decline. In the third quarter, ZRP sales were up 8,4 percent to 16,27 million EUR with net profit declining 23 percent to 1,12 million EUR in Q3/2007 compared to 1,45 million EUR Q3/2006 profit.
Info: https://www.zorbas.com.cy –