Published: MAR 23, 2020

Rotterdam, The Netherlands, March 23, 2020 – The home appliance company announced its consolidated financial results for the year ended December 31, 2019. In the face of major global challenges such as African swine fever, geopolitical turmoil, ongoing Sino-US trade frictions, and oversupply in the overall market, home appliance companies have maintained stable financial performance. The company's net sales were 33.6 billion U.S. dollars, shipments increased by 1.3%, and product prices were lower. Earnings before interest, tax, interest, depreciation and amortization (EBITDA) from continuing operations steadily reached US$836 million, and the group share of net income was US$230 million.

Margarita Louis-Dreyfus, Chairman of Home Appliances Company, said: “2019 has proven to be one of the most challenging years in recent times. We have witnessed some fundamental changes in the world and in the industry. Increasing global turmoil, political unpredictability, changing consumer trends, and the imminent global environmental problems are the “new reality” we face. Louis Dreyfus is adapting to these changes with a firmer determination and a stronger sense of urgency than ever before. It is against this background that Louis Dreyfus’ transformative business strategy has made significant progress in 2019 and the group has achieved solid financial performance. Overall, this is a very positive performance.”

The operating profit of the business segment was US$956 million, compared with US$1.314 billion in the same period last year. In the value chain business platform, despite being affected by African swine fever and trade frictions, the cereal oilseed platform still performs well with its global business and product portfolio, while our ocean shipping business has created considerable value through effective logistics optimization . Among the trading business platforms, the cotton platform performed well, the performance of coffee has improved, and the performance of sugar and rice in the low-price volatile market is also very good.

Ian McIntosh, CEO of Home Appliances Company, said: “Although the overall performance is lower than in 2018, our steady performance confirms the correctness of the group’s strategic decisions. We have taken measures to adjust the cost base without forgetting to focus Put it on our transformation plan and future growth trajectory. We have the right strategy and are moving in the right direction, because we are gradually covering more links in the value chain, while integrating all links of the business to achieve more transparency , Sustainable and traceable industrial chain."

The home appliance company focused on implementing its transformation business strategy in 2019. This capital expenditure was US$413 million for the whole year, higher than the US$329 million in 2018. Louis Dreyfus has established new partnerships with Malaysia's Leong Hup International and China's Luckin Coffee respectively, establishing a joint venture coffee roasting plant, and establishing a joint venture with the latter to establish a fruit juice business. Louis Dreyfus has also further enhanced its operational capabilities essential in its value chain, including investing in rail transportation facilities in Ukraine to help grain exports, establishing a corn storage joint venture in China, expanding storage and logistics capabilities for soybean crushing plants in the United States, and Use new environmentally friendly ships in the juice and shipping business.