Atlantic Group Not Feeling Effects of Agrokor Crisis

Total Croatia News

One of the most significant privately-owned Croatian companies continues with good business results.

In the first nine months of 2017, Atlantic Group generated total sales revenues of four billion kuna, which represents a growth of 4.4 percent compared to the same period in 2016. Profits before interest, taxes and depreciation (EBITDA) amounted to 440.7 million kuna, up 5.1 percent, while net profits grew by 2.8 percent to 237.5 million kuna. By the end of the year, the company expects further expansion of its distribution portfolio and continued steady growth in overall operations, announced the group on Tuesday, adding that the results show there was no negative impact of the Agrokor crisis, reports Jutarnji List on October 31, 2017.

“The problems which hit our largest individual buyer, Agrokor, have been completely cancelled by expanded cooperation with other retail partners,” announced Atlantic. “The payment of bills issued to Agrokor’s companies in Serbia, Slovenia and Croatia is regular, with the exception of a part of the debt in Croatia (which is covered by the so-called Lex Agrokor). According to the stated intention of the Agrokor’s extraordinary commissioner, the unpaid part of this debt will eventually be settled in full,” announced Atlantic.

Emil Tedeschi, Atlantic’s CEO and majority owner, said he was pleased with the results.

The first nine months of this year were marked by the disinvestment in the production segment of the sports nutrition business and a focus on the development of the branded business. Both former Atlantic’s factories, in Bleckede in Germany, and in Nova Gradiška in Croatia, which were taken over by the Belgian company Aminolabs, will continue to produce Atlantic’s range of sports nutrition products.

“The strategic partnership with the Belgian company Aminolabs has enabled us to focus on our own brands and to continue with the restructuring of the strategic business area of ​​Sports and Active Nutrition. We have also launched numerous activities in more profitable and more focused Western European markets. The growth in total business operations, good liquidity management and continuous debt reduction, have provided us with an excellent basis for even faster and stronger growth,” said Tedeschi.

Translated from Jutarnji List.


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