#Sweden #Malmö #Duni Group #ByGreen #BioPak Group

Duni Group's Interim Report Overview (January - September 2025)

Duni Group has recently released its interim report covering the first three quarters of 2025, showcasing a noteworthy improvement in operating profits despite prevailing market challenges. This was particularly evident in the third quarter, covering July 1 to September 30, when the company reported net sales of SEK 1,972 million, marking a 3.3% increase from the previous year. After adjusting for exchange rates, the growth is even more significant at 7.9%, largely attributed to strategic acquisitions.

Operating income climbed to SEK 168 million, reflecting a growth of slightly more than 10% compared to SEK 151 million a year earlier. Profitability also saw a surge in earnings per share, rising to SEK 2.23, a remarkable turnaround from a loss of SEK 0.04 in the previous year. This positive trajectory can be credited to enhanced cost efficiencies, improvements in the sales chain, and the contributions from acquired entities such as the ByGreen acquisition aimed at bolstering the company’s sustainable product range.

Financial Highlights

The report laid out essential financial figures that underline the company’s robust performance:

• - Net Sales: SEK 1,972 million (Q3 2024: SEK 1,910 million)
• - Operating Income: SEK 168 million (Q3 2024: SEK 151 million)
• - EPS for Equity Holders: SEK 2.23 (Q3 2024: SEK -0.04)

Overall Performance
While the company's net sales in Q3 reflect growth, it was noted that organic revenue exhibited a slight decline of 0.5%, contributing to a cumulative organic decrease of 0.6% over the year. Particularly in Germany, a key market for Duni, restaurant revenues have faced a 3.5% decrease post-inflation, signifying a sluggish recovery from the pandemic. With less market competition and an alarming rise in bankruptcies in the sector, the company is navigating through complex challenges while exploring pricing strategies and operational efficiencies.

Strategic Initiatives

The report also highlighted strategic developments within the organization:

• - Acquisitions: The acquisition of ByGreen during Q3 highlights Duni Group's efforts in enhancing its offerings for sustainable single-use products. This move reflects a broader corporate strategy that emphasizes sustainability alongside profitability.
• - Board Decisions: Duni Group’s board has set new targets for 2026, aiming for higher growth and dividend levels while reinforcing sustainability goals. The growth target has been increased to 6%, refocusing efforts on organic development and acquisitions.

Future Prospects

Looking towards the future, Duni Group is positioning itself for recovery and continued growth in a challenging landscape. The CEO, Robert Dackeskog, emphasized the need to adapt post-pandemic predictions while taking advantage of acquisition opportunities. Enhanced cost control measures are being implemented, along with a more robust focus on sustainable practices aimed at achieving net-zero emissions and improved circularity in materials.

The revised targets for profitability and sustainability are set to take place from January 2026, laying a strong foundation for the years ahead.

As we dive deeper into the report, it becomes clear that despite the rocky road ahead, Duni Group is well-equipped for this journey, demonstrating agility in strategic decision-making and operational adjustments to navigate the difficulties imposed by the current market conditions.

For further details on financial reports or inquiries, feel free to reach out to Duni Group's EVP Finance/CFO, Magnus Carlsson or Head of Communications, Amanda Larsson. Their contact details, as well as additional info, can be accessed through their official communication channels.