CENTRALE DEL LATTE DI TORINO & C. S.P.A.: The Board of Directors approved the consolidated results at 30 September 2013.

The Board of Directors of Centrale del Latte di Torino & C. S.p.A. – a company listed on the STAR division of Borsa Italiana, dealing in the production and sale of fresh milk, milk products and ultra-fresh products – today approved the consolidated results at 30 September 2013.

In the first nine months of 2013, the company recorded consolidated net revenue of € 71.6 million, compared to the € 72.6 million recorded at 30/09/2012. The gross operating margin (EBITDA) at 30/09/2013 stood at € 4.1 million, compared to the € 4.7 million recorded in the same period of the previous year. EBIT rose by 2.4%, standing at € 722 thousand at 30/9/2013, compared with € 705 thousand at 30/9/2012. The net result for the first nine months of 2013 was negative for € 400 thousand, an improvement on the figure of € -591 thousand recorded at 30/9/2012.

The results at 30 September 2013 confirm the negative forecasts regarding the dramatic drop in food consumption. In addition, in Q3 2013 there was a further rise in milk raw material prices, which, given the negative economic situation, could not be reabsorbed through increases in sale prices. Nevertheless, the careful management control policy implemented allowed the Group to maintain EBITDA – although down on the previous FY – in line with the figure recorded during 2013, and to obtain an improvement in EBIT for the first nine months of 2013 compared to the same period of the previous year.

In addition, the reduction in management costs and financial charges, together with the containing of investments, has allowed CLT group to cut its net financial indebtedness further.

There was an improvement in the Group’s net financial position, which at 30 September 2013 was negative to the tune of € 22.9 million, compared to the negative figures of € 25.3 million at 31 December 2012 and € 33.6 million at 30 September 2012.

As regards outlook, the combined effect of stable milk raw material prices and the containing of operating costs indicate that these results are likely to be confirmed during the next quarter, although consumption of products in the food segment remains sluggish and is set to slow further.

As regards new products, the new ESL (Extended Shelf-Life) organic milk, fermented milk, soya-based drink and the exclusive new range of whole milk yoghurts with reduced sugar content have proved successful, registering encouraging sales volumes.

It is also important to point out that during the month of October, Centrale del Latte di Torino & C. S.p.A. defined agreements for the sale of its 40% stake in the share capital of Frascheri S.p.A.. This transaction will be completed by the end of the current financial year, and will be carried out by in part by Frascheri S.p.A through the purchase of treasury shares and in part by members of the Frascheri family through the purchase of the remaining shares.

Finally, as of 1 January 2014, Banca IMI S.p.A. will be acting as Specialist Operator for Centrale del Latte di Torino.

Pursuant to paragraph 2 of article 154-bis of the Consolidated Finance Law, the Executive in charge of drafting corporate accounts, Mr. Vittorio Vaudagnotti, stated that the accounting information herein contained tallies with the company’s documentary evidence, ledgers and accounts.

Contact:
Barabino & Partners
Donata Astengo
Cell. 349.77.25.787
e-mail: d.astengo@barabino.it

The press release is also available on the website www.barabino.it, where it may be downloaded from the “Breaking News” section.
In addition, all the documentation regarding the company (press kit, previous press releases, photographic material, etc.) is available in the section “Online Press Office” of the website.

Turin, 08 nov 2013