Produce multi-national Fyffes has said it expects its 2012 earnings to be towards the upper end of its target range and has set a similar target range for 2013.
The company has experienced favourable market conditions through the final months of 2012 reflecting, in particular, continuing supply constraints in the banana category. In a statement the group said it expects its EBITA for the year to be towards the upper end of its current range of €28million-€33m and, as a result, is narrowing this target range to €30m-€33m. This represents a very strong performance for the year, an increase of 29-42 per cent on the €23.2m result in 2011. The percentage increase in EPS is expected to be 37-52 per cent, reflecting the additional positive impact of the shares repurchased in 2011.
Fyffes said it remains positive about the future prospects of its business and believes it is well placed to achieve further growth based on the strategic and operational advances it has made.
The statement read: “The industry will once again experience cost inflation in 2013 and, as a result, higher selling prices will be necessary in all markets.” Consquently, Fyffes’s has set an initial target EBITA for 2013 in the range €27m-€33m.
Fyffes will continue to pursue development opportunities and further organic growth in order to increase shareholder value, the company said and may also repurchase further Fyffes plc shares in the market, from time to time.
