Dr Oetker admits “sluggish” start to 2011

Posted by Nicole Eckersley on 7th April 2011

Papa Giuseppi’s PizzaGerman food group Dr Oetker has admitted it has had a “sluggish” start to 2011 with all its business lines – apart from chilled products – “falling below target”.

The company, which makes products from baking ingredients to pizza, reflected on the first months of 2011 after reporting its sales figures for 2010.

Dr Oetker booked an almost 9% rise in turnover for 2010, as sales grew at home and abroad.

The Ristorante and Chicago Town pizza maker said it would not give a forecast for 2011 sales “in the light of the current global crisis scenarios in Japan and north Africa”.

For 2010, Dr Oetker reported an 8.7% increase in revenues to EUR1.94bn. Sales in Germany grew by 5.6% to EUR654m but Dr Oetker said the “strongest impetus” came from its international business, where sales climbed 10.3% to EUR1.29bn.

The company has expanded its Australian operations significantly, with the purchase of the Papa Guiseppe’s pizza brand from Simplot and the introduction of its own Ristorante brand to the market.

The proportion of Dr Oetker’s sales made outside Germany now stands at 67%, compared to 66% in 2009.

A spokesman for Dr Oetker said the company’s chief executive Richard Oetker was “content” with the business’ performance in 2010. However, the spokesperson warned Dr Oetker would look to raise its prices this year amid higher oil, cocoa and wheat costs.

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