French vegetable giant Bonduelle has managed a 462.9 million euro turnover in the first quarter of its broken fiscal year 2015-2016. European turnover dropped slightly, while North American turnover showed decent growth.
Exchange rates cloud results
On a like-for-like basis and based on level exchange rates, the 462.9 million euro turnover would have been a 0.9 % increase compared to the first quarter last year. Unfortunately for Bonduelle, the exchange rates did have a negative impact (American and Canadian dollar had a positive effect, Russian ruble had a negative impact), causing group turnover to drop slightly at - 0.3 %.
Bonduelle is struggling in Europe (- 0.4 %), mainly because it decided to terminate several onerous contracts for distributor labeled canned goods. It did manage to largely offset the turnover loss with the growth in canned goods from its Bonduelle and Cassegrain brands (+ 7.7 %). The growth in frozen goods (+ 8.8 %) and increased demand for fresh food like ready-made salads, caterer-styled salads and snacks (+ 9.2 %) also helped the company.
The French food giant's non-European like-for-like sales grew 3.7 % (- 0.1 % after exchange rate fluctuations), despite a sensible Russian turnover drop.