Sales on March 31, 2021
VERY SOLID BUSINESS GROWTH AT THE END OF THE THIRD QUARTER
2020-2021: +10.3% ON A LIKE-FOR-LIKE BASIS
NEW UPWARD REVISION OF THE ANNUAL OBJECTIVES FOR
2020-2021
Closing on
March 31, sales at the end of the
third quarter for fiscal year
2020-2021,
corresponding to revenue from ordinary
activities, came to
1,105.6
million euros, up
by
4.1%
with current data and
10.3%
on a like-for-like basis compared with March
31 of the previous fiscal
year.
In millions of euros |
2019-2020 |
2020-2021 |
Variationwith current data |
Variationon a like-for-like basis |
Sales at the end of the third quarter |
1,062.2 |
1,105.6 |
+4.1% |
+10.3% |
Vegetable Seeds |
464.2 |
465.2 |
+0.2% |
+5.9% |
Field Seeds |
562.1 |
591.9 |
+5.3% |
+12.1% |
Garden Products and Holdings |
35.9 |
48.4 |
+34.7% |
+38.6% |
Consolidated financial information is
established in compliance with the IFRS reference (International
Financial Reporting Standards), as applied by the European Union on
March 31, 2021.
SALES FOR THE THIRD QUARTER 2020-2021 UP BY 7.1% ON A
LIKE-FOR-LIKE BASIS, CONFIRMING THE DYNAMIC MOMENTUMFOR ALL
ACTIVITIES
Vegetable
Seeds division:
a marked increase in sales over the third
quarter
Over the course of the third quarter, the
Vegetable Seeds division achieved sales of 212.2 million euros, a
slight decrease of 1.7% with current data, but a marked increase on
a like-for-like basis: +3.6%, on the basis of a high benchmark.
Indeed, the third quarter for 2019-2020 saw significant business
growth, as a result of the emergence of the world health crisis
which had led to certain grower customers placing anticipated
orders as they were concerned to secure their supplies.
The best performances were posted for tomato and
carrot, with sales increasing strongly in very many countries.
There was also marked growth for several other strategic crops,
primarily sweet pepper, cauliflower and bean.
In terms of geographical zones, the most dynamic
region concerned the Americas. Europe also posted quality
performances, driven by a buoyant market, particularly in France,
where growth was strong for most of the crops. The increase in
sales also concerned Asia, particularly India and China.
Consequently, at the end of the third quarter, there was an
increase in all geographic regions, with the exception of the
Middle East, where sales were slightly lower.
Consequently, aggregate sales for Vegetable
Seeds on March 31, 2021 came to 465.2 million euros, an increase of
0.2%. Restated like-for-like, the business posted significant
growth of 5.9%.
Vilmorin &
Cie can thus confirm its
objective for growth in sales for Vegetable Seeds for
fiscal year 2020-2021 of
4% to 5%
on a like-for-like basis compared to
2019-2020.
Field Seeds division:
significant business growth over the third
quarter, confirming the excellent
start to the fiscal year
Sales achieved by Field Seeds over the third
quarter rose significantly (337.7 million euros, i.e. +1.3% with
current data, and +7.3% on a like-for-like basis).
- In Europe, sales for the quarter
for Field Seeds continued to progress (304.5 million euros, i.e.
+2.1% on a like-for-like basis), after an extremely dynamic second
quarter. Vilmorin & Cie has thus confirmed its capacity to
achieve a high-quality fiscal year, in spite of the hike in its
procurement costs directly related to the climate conditions, and
to strengthen its competitive positions in most of its strategic
crops by the end of the fiscal year.
- In a context where cultivated
acreage is expected to drop, there was a fine increase in sales of
corn seeds, even though this increase was less marked over the
third quarter, because of the fact that the campaign was very early
this year. It should indeed be remembered that the second quarter
had posted extremely high business growth, mainly due to
anticipated sales prompted by the fears of certain farmers
regarding the availability of seeds.
Growth, which was particularly strong in Central
and Northern Europe and in Russia, was supported by a
high-performance product portfolio and the launch of new varieties;
it should result in market share gains in most countries by the end
of the commercial campaign.
- The sunflower seed campaign has
been of very high quality, particularly in Russia, where there has
been a particularly strong increase in sales volumes. Furthermore,
orders are looking very promising, while the acreage devoted to
this crop should increase, particularly in Eastern Europe. This
growth in business should result in significant market share gains
in almost all countries.
- In South America, the third quarter
(29.4 million euros) showed an extremely marked increase in
business.
- In Brazil, the commercial campaign for
safrinha corn posted excellent growth, both in volume and in value,
in the context of favorable agricultural markets and a significant
increase in the cultivated acreage. Vilmorin & Cie is
continuing to strengthen its commercial positions in corn in
Brazil. As for the soybean campaign, it was marked by a controlled
drop in sales volumes, accompanied by an increase in sales prices.-
In Argentina, Vilmorin & Cie signed off a good corn campaign,
resulting in market share gains in a complex economic and financial
context.
Consequently, aggregate sales for the Field
Seeds division on March 31, 2021 stood at 591.9 million euros, an
increase of 5.3% compared with the same period for the previous
fiscal year; on a like-for-like basis, sales increased by
12.1%.
This truly
fine performance at the end of
the first nine months of the fiscal year means
that Vilmorin &
Cie is able to
raise its sales growth objective for Field
Seeds for fiscal year 2020-2021. Vilmorin &
Cie is now aiming for an increase of
between 9% and 10% on a like-for-like
basis compared with the previous fiscal year for this
activity, compared with a previous growth
target of 5% to 6%.
Moreover, with regard to associated
companies:
- On the North American market,
AgReliant's sales were lower at the end of the third quarter,
particularly for corn seeds, in a context where a slight increase
in cultivated acreage for this crop is expected. Nevertheless, the
last part of the fiscal year is looking promising and should see an
appreciable increase in volumes sold both for corn seeds and
soybean seeds compared with the previous fiscal year.
- On the African market, Seed Co
posted a very strong business increase throughout all its markets
in Africa, with growth in volumes for the main crops sold,
particularly corn. In spite of the difficulties faced in certain
countries, such as Zambia, Seed Co pursued its dynamic
international development, while managing to redeploy its
activities in Zimbabwe significantly. At the end of this
high-quality fiscal year, Seed Co can confirm its position as No. 1
seed company in Africa.
- On the Australian market,
Australian Grain Technologies (AGT) achieved an excellent
commercial campaign, after a year marked by record wheat production
in the country. The company, which holds more than 50% market
share, has strengthened its leadership on the Australian wheat
market.
OUTLOOK FOR 2020-2021: UPWARD REVISION OF THE TARGETS FOR
BUSINESS GROWTH AND THE CURRENT OPERATING MARGIN RATE
Considering the first nine months of the fiscal
year as presented above, and on the basis of information available
to date, Vilmorin & Cie
is raising its sales and current operating margin
objectives for fiscal year 2020-2021.
These objectives now correspond to an
increase in consolidated sales of between
6% and 8%
on a like-for-like basis, as opposed to
growth of 4% to
6% previously targeted, and a current
operating margin rate of between
8.5%
and 9%,
including research investment which should
be higher than 260 million
euros.
Moreover, Vilmorin
& Cie confirms that it
anticipates a
contribution from associated
companies – mainly
AgReliant (North
America. Field
Seeds), Seed Co
(Africa. Field
Seeds) and AGT
(Australia.
Field Seeds) – of
around 22 million
euros.
Daniel JACQUEMOND, Vilmorin
& Cie's
CEO, has
declared:
"Vilmorin & Cie has achieved a very
high-quality performance at the end of the first nine months of
fiscal year 2020-2021. All the business activities are showing
robust growth in sales, enabling Vilmorin & Cie to raise its
annual objectives once again. At the end of the fiscal year,
Vilmorin & Cie should have also gained market shares in most of
its business segments, thus reinforcing its solid position as the
4th largest seed company in the world, while at the same time
delivering a marked increase in financial performances.
This achievement confirms the relevance of
Vilmorin & Cie's development and innovation strategy and the
resilience of its business model, on a seed market that is
resolutely buoyant and more crucial than ever to meet the world's
food challenges."
COMING DISCLOSURES AND
EVENTS
Monday August 2, 2021(1)Sales for fiscal year 2020-2021
Wednesday, October 13, 2021(1)Results for fiscal year
2020-2021
Tuesday November 2, 2021(1)Sales for the first quarter of
2021-2022
Friday December 10, 2021Annual General Meeting of
Shareholders
Dates provided as an indication only, and liable to be
changed.
(1) Disclosure after trading on the Paris Stock
Market.
FOR ANY FURTHER INFORMATION
Olivier FALUTChief Financial
Officerolivier.falut@vilmorincie.com
Valérie MONSÉRATHead of Financial Communication and Investor
Relationsvalerie.monserat@vilmorincie.com
Tel: + 33 (0)4 73 63 44 85www.vilmorincie.com
Vilmorin & Cie,
the 4th largest seed company in the world,
develops vegetable and field seeds with high added value,
contributing to meeting global food requirements.
A multi-crop seed company, every year Vilmorin & Cie brings
around 300 new varieties to market to meet the needs of all diverse
types of agriculture and allow farmers to produce better and
produce more.
Accompanied by its reference Shareholder Limagrain, both an
agricultural cooperative owned by French farmers and an
international seed group, Vilmorin & Cie’s strategy for growth
relies on research and international development to durably
strengthen its market shares on resilient world markets.
True, since its origins in 1743, to its vision of sustainable
development, Vilmorin & Cie ensures its achievements fully
respect its three founding values: progress, perseverance and
cooperation.
- You can consult the presentation of
sales at the end of the third quarter 2020-2021 on the homepage of
the website www.vilmorincie.com.
APPENDIX 1:
SALES AT THE END OF THE THIRD QUARTER
2020-2021AND EVOLUTION PER QUARTER AND PER DIVISION
In millions of euros |
2019-2020 |
2020-2021 |
Variationwith current data |
Variationon a like-for-like basis |
Incl: Currencyimpact |
Scope impact |
First quarter |
231.9 |
234.4 |
+1.1% |
+6.7% |
-12.2 |
-0.2 |
Vegetable Seeds |
108.6 |
104.8 |
-3.5% |
+2.2% |
-6.1 |
0.0 |
Field Seeds |
116.1 |
120.5 |
+3.8% |
+9.5% |
-6.0 |
0.0 |
Garden Products and Holdings |
7.3 |
9.1 |
+24.9% |
+28.7% |
-0.1 |
-0.2 |
Second quarter |
258.9 |
291.4 |
+12.6% |
+20.6% |
-17.1 |
-0.2 |
Vegetable Seeds |
139.8 |
148.3 |
+6.0% |
+12.2% |
-7.7 |
0.0 |
Field Seeds |
112.8 |
133.7 |
+18.6% |
+29.2% |
-9.3 |
0.0 |
Garden Products and Holdings |
6.2 |
9.4 |
+50.2% |
+58.9% |
-0.1 |
-0.2 |
Third quarter |
571.4 |
579.8 |
+1.5% |
+7.1% |
-29.7 |
-0.2 |
Vegetable Seeds |
215.8 |
212.2 |
-1.7% |
+3.6% |
-10.9 |
0.0 |
Field Seeds |
333.2 |
337.7 |
+1.3% |
+7.3% |
-18.6 |
0.0 |
Garden Products and Holdings |
22.4 |
30.0 |
+33.6% |
+36.4% |
-0.2 |
-0.2 |
Sales at the end of the third quarter |
1,062.2 |
1,105.6 |
+4.1% |
+10.3% |
-59.0 |
-0.6 |
Vegetable Seeds |
464.2 |
465.2 |
+0.2% |
+5.9% |
-24.7 |
0.0 |
Field Seeds |
562.1 |
591.9 |
+5.3% |
+12.1% |
-33.9 |
0.0 |
Garden Products and Holdings |
35.9 |
48.4 |
+34.7% |
+38.6% |
-0.4 |
-0.6 |
APPENDIX
2:
GLOSSARY
Like-for-like data is data that is restated for
constant scope and currency translation. Therefore, financial data
for 2019-2020 is restated with the average rate for fiscal year
2020-2021, and any other changes to the scope, in order to be
comparable with data for fiscal year 2020-2021.
Variations in the consolidated scope come from
the disposal of activities run by the Garden Products division in
Turkey, finalized at the end of fiscal year 2019-2020.
Current data is data expressed at the historical currency
exchange rate for the period, and without adjustment for any
changes in scope.
- CP CA T3 2020-2021_VCO_EN