ForFarmers trading update Q3 2024

Strong quarter with significant volume growth and robust profitability

Pieter Wolleswinkel, CEO ForFarmers: “The strong trend from the first half of the year continued into the third quarter. Our ambition to continue gaining market share was reflected in significant volume growth of 6%. Operational profitability has once again improved strongly, driven in part by the market-oriented approach, using our scale and knowledge. We remain committed to cost control. This result, in which we were again able to provide our farmers with good feed at competitive prices, is due to the hard work of our employees.  

In the past quarter, we have again taken important strategic steps, such as the announcement of the joint venture with team agrar. This will lay the foundation for a solid long-term position in Germany. In September we were pleased to welcome the employees of Van Triest, which has significantly strengthened our position in co-products. We have also proudly communicated our sharpened sustainability ambitions towards 2030, in order to contribute to a future-proof agricultural sector."

Highlights Q3 2024  

• Total volume increased by 6.1% compared to Q3 2023; compound feed volume increased by 2.8%; On a like-for-like basis, volume growth shows a similar trend at 4.3% for total volume and 2.5% for compound feed.  

• Turnover decreased by 4.5%, entirely attributable to the decline in raw material prices. 

• Strong increase in operating profitability; underlying EBIT increased by 48.9% and underlying EBITDA increased by 28.2%, driven by higher gross margin and cost control.  

• The ROACE ratio¹ on underlying EBIT increased from 10.7% as at 30 June 2024 to 11.6% as at 30 September 2024. 

• The acquisition of Van Triest Veevoeders was completed in September 2024, an important step in increasing the share of circular raw materials. 

• Announcement of joint venture with team agrar to more closely serve the German market. 

^{1. ROACE means underlying EBIT of the last 12 months divided by average capital employed over the same period}