FAGE reports profits down in 2019
Sales in value for the year amounted to $494.3m, a decrease of $57.6m, or 10.4%, compared to sales in value of $551.9m for the year ended December 31, 2018.
Gross profit for the year ended December 31, 2019 was $183.7m, a decrease of $47.9m, or 20.7%, from $231.6m for the previous year. Gross profit as a percentage of sales for 2019 was 37.2%, compared to 42.0% for 2018. The main reason for this decrease was the increase in the prices of milk used in both the US facility and the Greek facilities by 13.1% and 30.4%, respectively.
Operating profit for 2019 was $50.8m, a decrease of $7.8m, or 13.3%, as compared to operating profit of $58.6m in 2018. As a percentage of sales, operating profit was 10.3% for the year ended December 31, 2019 as compared to 10.6% for the previous year. This is mainly due to the decrease in gross profit, which was offset by the decrease in SG&A as a percentage of sales.
Profit before income taxes for the year ended December 31, 2019 was $23.8m, down from $32.3m in 2018.This decrease is due to the decrease in gross profit, which was partially offset by the decrease in SG&A.
Income tax expense for the year ended December 31, 2019 was $2.3m, compared to $10.1m for the year ended December 31, 2018.
Net profit for the year ended December 31, 2019 was $21.4m, while in 2018, the figure was $22.1m.