€37m market cap
€2.67 last close
Centrale del Latte d’Italia produces and distributes fresh and long-life milk (UHT and ESL) and dairy products. It has a leading position in milk in the Piedmont region of northern Italy and it has expanded to the Veneto, Liguria and Tuscany regions.
Investment summary
The economic and consumer environment in Italy remains challenging, but CLI is navigating through the tough times and posted organic revenue growth of 1.2% for FY18. The export business remains the stand-out performer, albeit from a low base. Management is continuing to invest in the business to keep it competitive.
Y/E Dec |
Revenue (€m) |
EBITDA (€m) |
PBT (€m) |
EPS (fd) (c) |
P/E (x) |
P/CF (x) |
|---|---|---|---|---|---|---|
| 2017A | 182.2 | 7.2 | 0.0 | (1.63) | N/A | N/A |
| 2018A | 183.1 | 7.7 | (0.1) | (1.91) | N/A | N/A |
| 2019E | 182.1 | 8.5 | 1.5 | 7.11 | 37.1 | N/A |
| 2020E | 184.0 | 8.9 | 2.0 | 9.08 | 29.1 | N/A |
Industry outlook
The Italian fresh milk and extended shelf-life market was worth €543m in 2017 (source: IRI Infoscan Hypermarkets + Supermarkets), but is localised, with different players in different regions. The market has stabilised following a few years of contraction as a result of volume declines caused by the economic crisis and a fashion for dairy-free diets. CLI has been gaining share in the regions in which it operates and the Mukki brand acquired through CLF presents interesting opportunities for expansion.
Last updated on 05/06/2019
Sector |
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| Consumer |
Share price graph
Balance sheet |
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|---|---|
| Forecast net debt (€m) | 77.2 |
| Forecast gearing ratio (%) | 119 |
Price performance
% |
1m |
3m |
12m |
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Key management |
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| Luigi Luzzati | Chairman |
| Vittorio Vaudagnotti | CFO |
