Massimo Zanetti, Italy's second biggest coffee maker, expects its revenue to expand slightly this year at constant exchange rates thanks to a boost of its restaurants and bars business, after sales shrank 4% in 2018.
The owner of Segafredo, Boncafe and other coffee brands said on Thursday it also sees adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) rising between 3 and 5% after being flat last year.
In 2018 the roaster cut costs, by restructuring its presence in some European countries, and reduced its net debt and financial costs.
Re-focus
This and a re-focus on the higher-margin business of supplying coffee to bars and restaurants allowed the company to boost its net profit despite a fall in the top line.
Net profit rose nearly 10% to €20 million ($23 million), with adjusted EBITDA unchanged at €74 million.
Following the track of global coffee chains such us Starbucks, the company is expanding in Asia with acquisitions and the opening of a subsidiary in China.
News by Reuters, edited by Checkout. Click subscribe to sign up for the Checkout print edition.
