During its meeting of shareholders on Oct. 3, 2019, HZPC announced that its consolidated net turnover for the 2018/2019 financial year was € 350 million ($512 million). This is significantly higher than the previous year ($443 million). The gross margin amounts to € 64 million ($80 million last year) and the net result increased from € 4.7 million ($6.8 million) to € 9.4 million ($13.7 million). The dividend on HZPC certificates is set at € 7.75.
Retrospective and future perspective Gerard Backx, CEO of HZPC Holding explains: “2018/2019 was an exceptional year for us and a large part of the potato sector. Overall, however, seed potato acreage increased once again in 2018/2019, compared to the year before. In Europe, we had an extremely dry summer. As a result, yields in tonnage per hectare were significantly lower than normal for seed potato growers. Despite these low yields, HZPC Holding’s total volume of seed potatoes (both sold and grown under licence by its partners) only decreased very slightly, from 816,000 tons last year to 815,000 tons this year.
We are delighted that this decline has been very limited in a year with a significantly lower yield per hectare than budgeted. This decrease in volume in Europe was compensated by an increase in volume in America and Asia. HZPC actively invests in the various markets on these continents and is seeing its turnover in these markets rise.
We continuously strive for growth. Together with our growers, we are constantly expanding the acreage dedicated to seed potatoes. Growth, however, is not just about volume or turnover, it also relates to the development of quality, creativity, innovation and social values. We aim to function as an important link in the chain and strive for growth for all of our partners, growers and employees. HZPC keeps you growing.”
Dividend return Yesterday, the shareholders (HZPC Association) and HZPC’s Supervisory Board, discussed and approved the annual accounts. An amount of € 6 million ($8.7 million) was made available for the payment of dividends. This results in a dividend of € 7.75 per share certificate. This equates to a dividend return of almost 5% for a certificate rate of € 162 (May 2019). The next share trading day on which the rate will be set is 1 November 2019.
About HZPC Founded in 1898 and rooted in The Netherlands, HZPC has grown to become global market leader in seed potato trading, innovative breeding and concept development. We aim for durable growth. We offer innovative potato varieties that are optimised for local growing conditions. We share knowledge and provide solutions that dynamically anticipate the climatological, cultural and commercial challenges the entire field of food faces. With 400 employees across 15 countries, and exports to over 90 countries, we contribute to the availability of responsible food for the well-being of millions of people worldwide.