Spain’s Viscofan reports US$44M second-quarter profit

SPAIN – Spanish meat-packaging company Viscofan is reporting a net profit of about US$44.08 million (€38.4 million) in the second quarter, up 3.1% from the same period last year.

The increase comes as the company reduced operational costs and grew its sales volume, helping counter the effects of a declining U.S. dollar.

Revenue rose 2.7% during the quarter to roughly US$357.4 million (€311.5 million), showing modest growth despite currency headwinds.

Meanwhile, EBITDA climbed 9% year-on-year to approximately US$87.5 million (€76.34 million), reflecting stronger income from the company’s core operations.

Sales improved most significantly in North and South America, with revenue increasing by 5.5% and 6.5%, respectively.

This growth highlights the importance of Viscofan’s international markets, particularly the United States, which accounts for 31.5% of total revenue and hosts three of the company’s plants.

The latest earnings figures contrast with the first quarter, when Viscofan posted a 7% drop in net profit to around US$36.08 million (€31.4 million) due to exchange rate losses.

Following that report, the company’s stock declined about 8% between late April and the end of the quarter, reflecting investor concerns over weaker-than-expected EBITDA growth.

Outlook unchanged despite earlier dip

Viscofan says its current operating performance aligns with the full-year forecast it shared in February.

This suggests that no changes have been made to its financial targets for the year, even amid ongoing currency and market pressures.

The company has not disclosed any adjustments to its broader strategy or investment plans at this stage.

With the second half underway, Viscofan appears to be maintaining a steady course while monitoring market conditions closely.

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