‘There is room for us to be reasonably satisfied’ – Farsons registers highly-improved interim results

The Farsons Group Board of Directors announced its interim unaudited results for the six months ended 31st July 2021, which exhibit significant improvements over the same period in 2020.

Whilst the first half of 2021 was still impacted by the COVID-19 pandemic and related restrictions, these adverse effects were less severe than in the same six-month period in 2020.

The Farsons Group registered a turnover of €41.6 million during the first six months of the current financial year, equivalent to a 13% improvement over the same period in 2020, which gave way to a turnover of €36.8 million.

“The pandemic seems here to stay for a while; however, it is also clearer that both public health entities and businesses are now better equipped to deal with this unprecedented situation,” Farsons Group CEO Norman Aquilina said.

“We are learning to live with COVID-19 and this has led to a gradual improvement in business confidence and, ultimately, in our results. However, uncertainty remained, and continuing vigilance is required,” Mr Aquilina continued.

Farsons Group’s profit before tax for the aforementioned six-month period amounted to €5.2 million, a considerable improvement over the €1.6 million registered for the equivalent period in 2020.

The Group attributed said improvement to better turnover and operating margins.

Earnings per share in the first half of 2021 amounted to €0.163c, as opposed to the €0.053c registered in the first half of 2020.

“Complacency and pandemic fatigue are real dangers and must not be allowed to set in. Nonetheless, there is room for us to be reasonably satisfied when one considers the context of the very challenging and complex environment in which we have had to operate over the past 18 months,” Mr Aquilina highlighted.

During the first six months of 2021, Farsons Group continued to monitor and curtail capital investments, retaining only those investments deemed essential for ongoing projects and product development.

The major investment currently being undertaken by the Group is the restoration and rehabilitation of the Old Brewhouse.

Despite the positive results, Mr Aquilina warned of a “looming threat” – that is, “the growing evidence of sustained inflationary pressures building with significant price increases.”

These price increases are being experienced across “a wide range of raw materials, products, and services, including particularly sharp increases in shipping costs,” the Farsons CEO said.

“We must remain focused, motivated to overcome these threats,” he concluded.