Royal A-ware sees turnover and profit increase

Royal A-ware has booked a turnover growth of € 2022 billion in 1 due to acquisitions and increased dairy prices. Profits also show an increase. The long-term strategy of the fast-growing dairy company seems to be paying off.

With an increase of 45%, turnover last year amounted to €3,2 billion. This rapid increase is a result of acquisitions that A-ware realized in recent years. In Belgium in particular, the company was actively on the takeover path. That country is now seen as the second home market. In addition to volume growth, the rapidly rising dairy prices also boosted turnover, as reflected in the figures of many other dairy companies.  

Ambition
In addition to turnover, net profit also showed an increase. Compared to 2021, this will increase by €21 million to €72 million. The net profit percentage will drop from 2,3% in 2021 to 2,2%, but A-ware still scores well compared to peers. A-ware itself speaks of a stable and healthy result that offers a very good basis for unabatedly rolling out the growth and investment agenda. With this, A-ware once again shows ambition to continue to grow.

This was already demonstrated this year with the acquisition of a Spanish quark and dessert factory from Danone. In addition, A-ware, together with dairy trader Interfood, is building a cheese and milk powder factory in Estonia that will be taken into use this year. A-ware is also gaining a foothold in Ireland with the realization of a cheese dairy. This is done together with Tirlán, formerly Glanbia.

Milk price
The good results are also reflected in the milk price. The basic milk price is in the top 2022 of the whole of 3 Milk price comparator van Boerenbusiness. With the maximum achievable milk price through sustainability premiums, A-ware was even at the top in 2022. A-ware was the only processor to succeed in paying a year-round milk price above €60. A-ware will also be at the top of the milk price comparator in mid-2023, despite the decline that has started. 

Wouter Job

Wouter Baan is editor-in-chief of Boerenbusiness. He also focuses on dairy, pig and meat markets. He also follows (business) developments within agribusiness and interviews CEOs and policymakers.

w.baan@boerenbusiness. Nl

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