TERACT Reports Strong H1 2023-2024 Financial Performance

TERACT has shared its financial results for the first half of the fiscal year 2023-2024, showcasing a robust growth in Food Retail and improved profitability in Garden Centre/Pet Retail. The company, headquartered in Paris, reported an 11.2% increase in revenue, reaching €397.3 million, and an adjusted EBITDA of €7.3 million, a significant turnaround from a loss of €0.8 million in the previous year.

The growth in Food Retail, accounting for 18.3% of sales, was particularly notable with the full consolidation of Boulangerie Louise and Grand Marché La Marnière contributing significantly. Additionally, the Garden Centre/Pet Retail sector witnessed an adjusted EBITDA increase of €4.8 million, attributed mainly to the successful implementation of cost improvement plans and the deployment of own brands.

Despite these positive developments, the Group faced a net loss of €40.8 million, largely due to the one-off effect of listing expenses, and a decrease in free cash flow to €62.1 million from €25.8 million in H1 2022-2023. This was impacted by the acceleration of own brand volumes and major import purchases anticipated in H1 at favorable pricing conditions.

Net financial debt increased to €534.2 million at the end of December 2023, from €447.4 million at the end of June 2023, reflecting the seasonal peak in activity. On a strategic note, TERACT has transitioned to a mission-led company and announced the appointment of Ludovic Holinier as Deputy Chief Executive Officer, effective from 1 March 2024.