Pick Szeged Plc. Increased its Profit in H1 2023

The food industry company Pick Szeged Plc. closed the first six months of 2023 with a profit after tax of HUF 4.932 billion, compared to HUF 4.846 billion in the same period of the previous year, the company said in its half-year report published on the website of the Budapest Stock Exchange (BSE).

In the first half of the year, Pick-Szeged's net sales increased to HUF 38.837 billion from HUF 35.930 billion in the first half of the previous year.

Within this, export sales increased from HUF 9.174 billion to HUF 10.423 billion, while domestic sales rose by HUF 1.7 billion to HUF 28.414 billion.

The report underlined that the company managed to ensure profitability in the face of a decline in demand on the food market and rising costs for raw materials and processing. In the first six months, the purchase price of raw meat raw materials continued to rise, reaching a record high of EUR 2.5 per kilogram in June. Price corrections due to rising raw material and processing costs also boosted revenues, they said.

Referring to KSH data, they noted that the production volume of the meat products sector in Hungary fell by 15% in the first half of the year.

They expect that in the second half of the year, the decline in demand for meat products could stop and that pork prices could also fall. These factors point to a slight improvement in the business environment for the company.