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News and analysis on the global poultry
and animal feed industries.
Livestock Feed Manufacturing / Europe / Industry News & Trends
on March 14, 2017

ForFarmers feed volumes up, revenue down in 2016

Lower raw material prices contributed to lower revenue

ForFarmers reported higher total feed volume in 2016, but lower revenues, mainly due to decreasing raw material prices, which are passed on, and translation effect of lower pound sterling, partly compensated by acquisitions.

“This year has been a strong and unique one. Strong, because we focused our Total Feed approach with integrated feed solutions (feed, advice and tools) on improving returns on farm,” said Yoram Knoop, CEO ForFarmers. “During times in which our customers are faced with continuous complexity and challenges, this has borne its fruit. Unique, by bringing ForFarmers to the stock exchange, with overwhelming support from the members of the Coöperatie FromFarmers (FromFarmers Cooperative). The Horizon 2020 strategy, with which we have made progress in all areas, has clearly made a contribution to our good results.”

The ForFarmers results 2016 were impacted by the following:

  • Challenging market situation for farmers particularly in the United Kingdom
  • Growth in volume of Total Feed, compound feed flat
  • Continued contribution from the One ForFarmers efficiency program
  • Restructuring of the organization in the United Kingdom led to efficiency improvement
  • Solid EBITDA growth on the continent
  • Translation effect of the Pound sterling, specifically in the second half of 2016
  • Acquisition of Vleuten-Steijn in the Netherlands
  • Improvement of working capital
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