Q3 2024 RESULTS

Cham, 06 November 2024, Selecta Group, a Swiss-based Foodtech leader with a world-class distribution network in Europe, announces its results1 for the third quarter of 2024:

• Group Net Sales2 of €275.4 million, down 5.8% versus last year, impacted by like-for-like volume decline and strategic intentional churn
• Adjusted EBITDA3 margin of 15.7%, decline of 5.7 percentage points versus last year, with Adjusted EBITDA of €43.3 million, down 30.8% versus last year
• Reported EBITDA margin of 13.1%, 5.4 percentage points lower versus last year, and Reported EBITDA of €36.2 million, declined 33.3% versus last year, impacted by one-offs related to necessary investments to position certain markets for future growth
• Continued growth in sales per machine per day of €12.6, up 3.0% versus last year, with new record high in Public SMD
• Leadership team remains confident on delivering its strategy to drive long-term growth whilst navigating current market headwinds

Joe Plumeri, Select Group Executive Chairman, commented:

“Despite facing consumption headwinds globally, Selecta has consistently delivered for its clients by focusing on innovation and adaptability. Our transformation into a European Foodtech leader has positioned us well to meet evolving consumer needs, providing quality and value that resonate in today’s challenging economic environment. This focus continues to drive our resilience and supports our long-term growth outlook.”

Christian Schmitz, Selecta Group CEO, added:

“Our ability to navigate challenging market conditions demonstrates the strength of our strategy, the resilience of our business model and the dedication of our team in delivering to our customers. We continue to expand our Foodtech offerings to meet growing client demand and position ourselves strongly to take advantage of the long-term market opportunity.”

 

During the initial nine months of the year, Selecta Foodtech delivered good progress across multiple sectors, underscoring its commitment to enhancing consumer experiences through innovative and tailored solutions.

Among the notable installations was the Matmut headquarters in Rouen, France, where Selecta introduced Smart Fridges and began a comprehensive renewal of the machine park, featuring the Foodies Micromarket as a modernized catering solution. In Denmark, Selecta collaborated with Aleris, a leading healthcare provider in Northern Europe, to install its first Smart Fridges at Aleris facilities, providing staff, patients, and visitors with convenient, 24/7 access to fresh food and refreshments. Selecta also broadened its reach within the hospitality sector through installations at the CITY BOX hotel in Brussels, where visitors now benefit from on-demand access to fresh drinks, snacks, and coffee solutions. These strategic advancements reinforce Selecta’s role in transforming on-site refreshment solutions across diverse industries.

Additionally, Selecta agreed a new partnership with Segafredo, marking a strategic expansion within its portfolio that directly aligns with client and consumer preferences. This collaboration showcases Selecta’s adaptability by integrating a globally recognized coffee brand to meet clients’ varied tastes and needs. By incorporating Segafredo into its offerings, Selecta emphasizes its dedication to delivering a premium and diverse selection of coffee options, strengthening its portfolio to deliver quality and choice at every level.

To support our mission, we place a strong emphasis on comprehensive training programs for our Client Solution Specialists. These programs are designed to equip our team with the knowledge and skills necessary to recommend ideal solutions that align precisely with our clients' needs. Furthermore, Selecta offers specialized coffee training, empowering our team members to deliver an unparalleled coffee experience. By mastering the intricacies of coffee preparation and presentation, our specialists are prepared to guide clients toward selections choices that elevate the overall experience, ensuring satisfaction with every interaction.

1 At actual exchange rates
2 Sales: Revenue after payment of vending fees
3 Adjusted EBITDA: Earnings before Interest, Tax, Depreciation and Amortization and prior to one-off items (external and internal costs which are not
related to the on-going business)