(AOF) – The agri-food group Kraft Heinz revealed disappointing revenues and raised its adjusted earnings per share forecast for 2023. In the third quarter, the group saw its net profit fall by 41.7% to $254 million. , or 21 cents. Excluding one-off items, earnings per share reached 72 cents, 6 cents better than consensus. Sales rose 1% to $6.57 billion while the market was targeting $6.7 billion. They increased by 1.7% in organic data.
2023 adjusted earnings per share are expected to be between $2.91 and $2.99, compared to a previous range of $2.83 to $2.91. Organic sales growth is expected to be between 4% and 6% year-over-year, but closer to the low end of the range, at around 4%.
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Soaring energy prices and a call for help
In the past, energy represented a fixed cost of 3% of turnover. This year, this percentage rises to 5% or even 7% for VSE-SMEs, according to Ania (National Association of Food Industries. Professionals are very worried because until the end of 2022 they generally benefit from coverage to cushion these increases. However, they are not renewed for 2023 and after. Consequently, 25 of the main inter-professional organizations (Intercéales, Inaporc, Semae, etc.) are calling on the State for help in the face of the erosion of their margins and their capacity to investment.
The State has proposed several devices, including an “electricity shock absorber”, which are considered insufficient. The organizations also deplore the failure of European negotiations to achieve a price shield to avoid distortions of competition. Agriculture and agri-food demand a maximum ceiling price of €180/MWh while many companies buy at prices above €500/MWh on the French market.