In its newly released half-year results for 2022, dairy giant FrieslandCampina’s Food & Beverage business group performance benefitted from the recovery of the European out-of-home markets and high butter market prices.
However, margins in the retail channel were under pressure from the significant rise in the cost of raw materials that necessitated price increases.
The company’s operating profit in the first half of 2022 grew substantially to €328 million / US$336 million (first half of 2021: €130 million / US$133 million). Meanwhile, net profit prominently rose to €139 million (first half of 2021: €62 million / US$63 million) due to higher commodity dairy prices and the recovery in infant nutrition activities.
At €89 million (US$91 million), the operating cash flow was at a lower level. The decrease was due to higher working capital, partly compensated by higher results.
