Both the turnover and the net result for the financial year 2023-2024 are lower for seed potato cooperative HZPC than in the previous twelve months. The volume of seed potatoes sold remained almost the same as the year before, but less was earned on it. Due to all the challenges during the past season, the company is still relatively satisfied.
During the general meeting of shareholders, Royal HZPC from Joure approved the annual accounts for the 2023/24 financial year. It states that the total turnover amounts to €415 million. This is a decrease of €5 million compared to the previous financial year, in which turnover increased by a fifth. This spring, a 4% increase in turnover was still assumed.
Profit down a million
The gross margin decreased to €67,3 million. This is attributed to a lower sold potato volume. Higher seed potato prices could not compensate for this. The net profit amounts to €6,1 million. That is one million less than the previous financial year. This excludes the Connecting Growers program, in which the HZPC holding annually buys shares and distributes them among active growers. The dividend amounts to €5,20 per certificate. That was €6 in the previous financial year.
In total, HZPC sold 940.963 tonnes of seed potatoes. That is 3.300 tonnes less than in the previous year. Late planting dates, excessive precipitation, hot and dry periods and finally an extremely wet harvest. It ensured that the 2023 cultivation year was anything but successful. This was especially the case for North-Western Europe. In Asia and America, the company achieved better results.
New Balance
Former CEO Gerard Backx, who has since been succeeded by Hans Huistra, says in a press release: "We were unable to achieve the growth we had estimated in 2023/24. In this special year, we demonstrated how important resilience and agility are. We pushed our boundaries and saw a new balance emerge." The strategy of focusing on more different segments and regions has paid off, according to Backx.
Successor Huistra is optimistic about the future. "HZPC has built up an extremely good market position and invested a lot in new varieties. […] We have an excellent starting position to grow in the coming years."