Valora expects external sales for the first half of 2022 to be up around 20% and EBIT on a recurring basis to be slightly higher on the prior-year period. The business was still heavily impacted by the COVID-19 Omicron variant, in particular in the first quarter 2022. The half-year result is based on significant business improvement. Valora managed to successfully advance the implementation of its foodvenience strategy in the reporting period. The Group expects to be able to confirm the EBIT guidance for 2022 (excl. M&A-related costs) when it publishes its 2022 half-year results on 20 July 2022.
Valora expects external sales for the first half of 2022 to be approximately 20% above external sales for the prior-year period of CHF 1,030.4 million, despite the severe impact of the pandemic on the Group’s business. Omicron constraints dominated the retail and food service sector, especially in the first quarter of 2022. Following the gradual lifting of government restrictions, however, Valora has experienced a strong recovery in the last two months.
As a result, EBIT in the first half of 2022 on a recurring basis is expected to be slightly above EBIT for the first half of 2021 of CHF 7.4 million. The expected EBIT performance is a testimonial of Valora’s ongoing business improvement, even in the face of increased inflation pressure, geopolitical turbulence and the fact that EBIT in the first half of 2021 included approximately CHF 30 million in non-recurring COVID-19-related support, which are fully compensated in the first half of 2022.
In the reporting period, Valora continued the implementation of its foodvenience strategy. This is confirmed by the acquisition of Frittenwerk, which was closed on 1 July 2022, and the expansion of Valora’s cooperation with Oel-Pool to gradually take over 71 service station shops, which is expected to take place from April 2023.
Given the latest strong development in sales, Valora estimates external sales (incl. recent strategic initiatives) for full-year 2022 to be on a par with pre-COVID-19 levels. The Group expects to confirm the full-year 2022 EBIT guidance (excl. M&A-related costs) when it publishes its 2022 half-year results on 20 July 2022.