FERRERO GROUP

THE FERRERO GROUP

 

The Ferrero Group approved the Consolidated Financial Statements as of and for the year ended August 31, 2017 with a turnover of 10.5 billion Dollars


Ferrero International S.A., parent company of the Ferrero Group, approved the Consolidated Financial Statements of the Group as of August 31, 2017. At that date, the Group was comprised of 91 consolidated companies worldwide, with 23 operating manufacturing plants. The Group’s products are present directly or through authorised distributors in over 170 countries.

The Ferrero Group continued to boost investment in its iconic brands and maintained a high level of operating income as well as strengthened internal R&D activities.

The Group, led by Mr. Giovanni Ferrero as Executive Chairman and Mr. Lapo Civiletti as CEO, closed the 2016/2017 financial year with a consolidated turnover of $11,520,392 billion. This represented a 1.5% increase versus the prior year.

Sales of finished products increased 2.2% (2.5% at constant rate) versus prior year, largely driven by strength in various European countries (Germany, Poland, UK, East Europe) as well as significant increases in net sales in North America (U.S., Canada, Mexico). Italy and France remained flat. Within the American countries, the USA, Canada and Mexico recorded the higher increase in net sales.

The products that contributed to the net sales increases of finished products were Nutella, Ferrero Rocher, Kinder Surprise, Kinder Joy, Kinder Bueno and Tic Tac.

Group workforce at the end of the 2016/17 fiscal year amounted to 34,543 employees, representing a 4% increase versus prior year.

The Group continued to invest in improving and expanding its factories, plants and equipment in line with its entrepreneurial and social commitments and its corporate strategies. Key corporate strategies led to ongoing improvements in the quality and competitiveness of the product portfolio, while committing to improve freshness, food safety and environmental sustainability.

During fiscal year 2016/2017 the Group acquired the Fannie May Confections Brands, Inc. and the Harry London chocolate brands from 1-800-FLOWERS.com, Inc. The union between Ferrero and Fannie May represents an important strategic and cultural fit, based on long family histories and high-quality brands.

The Group sustained its strategy of technological development through the expansion of its production capacity, with total capital investments amounting to $ 817 million (compared to $ 693 million in the prior year). The bulk of this capital investment (88%) went towards property, plant and/or equipment in: Italy, Germany, Poland, Canada and Luxembourg.
Luxembourg, 23 March 2018

FERRERO GROUP