January 14, 2011

Bell Group reports increase in net income

Net income for Swiss meat processor Bell Group rose by 1.1% to CHF2.58 billion (US$2.68 billion) while sales volumes increased by 5.1% to 223.8 million kg for 2010.

All business divisions contributed to the improvement. Volume growth was similar for Switzerland and Europe. At its head office in Basel, Bell took over the abattoir compound with building rights from the Canton of Basel-City.

In Switzerland, sales volumes increased by 2.5% to 125.4 million kg while net income rose slightly less by 2% to CHF1.81 billion (US$1.88 billion) due to marginally lower sales prices. Bell successfully exploited positive conditions such as an increase in meat consumption and lower price levels. Swiss poultry and fresh meat and products with high added value posted particularly strong growth.

In Europe, Bell International managed to expand its market position in a difficult environment. Sales volumes improved markedly to 98.6 million kg (+8.8%; adjusted for acquisitions +3%). The positive sales trend was boosted by innovative new products as well as successful marketing activities. Due to the effect of exchange rates and changes in the scope of consolidation, net income was 1% lower on-year at CHF0.77 billion. Although consumer sentiment is slowly improving, competition in Europe remains fierce.

The full 2010 Group results will be published on February 17, 2011.