These consolidated interim financial statements comprise the unaudited half-year results of Emmi AG and its subsidiaries for the period ending 30 June 2024. The interim consolidated financial statements for 2024 have been prepared in compliance with Swiss GAAP FER 31 “Complementary recommendation for listed companies” and the consolidation and accounting principles described in the 2023 consolidated financial statements, with the exception of the adjustments described below.
Income taxes are calculated based on an estimate of the expected income tax rate for the full year 2024. The consolidated half-year results should be read in conjunction with the consolidated financial statements compiled for the financial year ended 31 December 2023, as they represent an update of the last complete financial statements and therefore do not contain all information and disclosures required in the year-end consolidated financial statements. The consolidated half-year results are presented in Swiss francs (CHF). Except where stated otherwise, all amounts are presented in thousands of Swiss francs.
The consolidated interim financial statements were approved by the Board of Directors of Emmi AG on 13 August 2024.
The new Swiss GAAP FER 28 “Government Grants” came into force on 1 January 2024. The standard primarily entails additional disclosures, but has no material impact on Emmi’s financial position or earnings.
The revised Swiss GAAP FER 30 “Consolidated Financial Statements” came into force on 1 January 2024. Since it is practically impossible to determine the cumulative foreign currency translation differences for each subsidiary, associate and intercompany loan comprising part of the net investment in a subsidiary, Emmi has used the option of a one-time exemption in this regard. All cumulative foreign currency translation differences were set to zero at the time of the first-time application of the revised standard by offsetting the foreign currency translation differences recognised as at 1 January 2024 against retained earnings.
In addition, the goodwill offset against equity at the time of acquisition is reported as a separate component (column) of retained earnings in the statement of changes in equity in accordance with the requirements of the revised Swiss GAAP FER 30, paragraph 37. This adjustment was made retrospectively. The revised consolidation and accounting principles are set out below.
Apart from these adjustments to the statement of changes in equity, the first-time application of the revised Swiss GAAP FER 30 has no material impact on Emmi’s financial position or earnings.
Due to the first-time application of the new Swiss GAAP FER 28 “Government Grants” and the revised Swiss GAAP FER 30 “Consolidated Financial Statements” as of 1 January 2024, the consolidation and valuation principles have been adjusted and are described below.
Capital is consolidated using the purchase method. Assets and liabilities as well as expenses and income of the fully consolidated companies are included in their entirety. Minority interests in consolidated shareholders’ equity and in net profit are shown separately. All intercompany transactions and relations between the consolidated companies are offset against each other and eliminated. Profits on such intercompany transactions are eliminated.
Companies and businesses acquired during the course of the year are consolidated as from the date of acquisition. Net assets acquired are revalued on the acquisition date at fair value. Non-current assets acquired are recognised on a gross basis.
Goodwill from the acquisition of companies and businesses is equivalent to the difference between the purchase price and the interest in revalued net assets of the acquired company. This is offset against retained earnings at the date of acquisition. The impact of a theoretical capitalisation and amortisation of goodwill or a theoretical recognition and reversal of negative goodwill are disclosed in the Notes to the consolidated financial statements. In the event of a step acquisition, the positive or negative goodwill is determined separately for each individual acquisition step.
When acquiring minority interests, the difference between the purchase price and the proportionate carrying amount of the minority interests is recognised as goodwill or negative goodwill and offset against retained earnings.
When acquiring investments in associates or joint ventures, the net assets acquired are revalued at fair value at the date of acquisition. The difference between the purchase price and the revalued proportionate equity is recognised as goodwill or negative goodwill and offset against retained earnings.
Companies and businesses sold during the year are excluded from the consolidated financial statements from the date of sale. Where interests in fully consolidated companies or companies accounted for using the equity method are sold, goodwill acquired at an earlier date and offset against retained earnings is recognised in the income statement at original cost for the purpose of calculating the gain or loss resulting from the sale.
The foreign currency transactions and items contained in the individual financial statements of the consolidated companies are translated as follows: foreign currency transactions are translated into the functional currency at the exchange rate valid on the transaction date (current rate). At year-end, monetary assets and liabilities in foreign currency are measured using the exchange rate valid at the balance sheet date, with any profit or loss from such valuation taken to the income statement. Foreign exchange gains and losses resulting from the measurement of intercompany loans that are part of the net investment in a subsidiary are recognised in equity.
Exchange differences resulting from the revaluation of shares in associates are recognised in equity.
Group financial statements are presented in Swiss francs. Assets and liabilities of Group companies with a functional currency other than the Swiss franc are translated at year-end rates (rates on balance sheet date); equity is translated at historical rates, while the income statement and cash flow statement are translated using average rates for the year. Any resulting exchange differences are recognised in shareholders’ equity.
Accumulated exchange differences of foreign companies recognised in equity resulting from the translation of annual statements and loans between Group companies that are part of the net investment in a subsidiary are derecognised upon sale of the company or in the event of a loss of control or significant influence and repatriated in the income statement as part of the gain or loss resulting from the sale.
Asset-related government grants are deducted from the carrying amount of the assets as soon as there is reasonable certainty that the conditions attached to them will be met and their value can be reliably estimated. Consequently, government grants are released to the income statement on a straight-line basis over the expected useful life of the related assets. Income-related grants are recognised in the same period as a reduction in the corresponding expenses for which they are granted.
On 31 May 2024, Laticínios Porto Alegre Indústria e Comércio S.A. (LPA), an Emmi subsidiary based in Ponte Nova, Brazil, acquired 70% of the shares in Trop Frutas do Brasil Ltda. (Verde Campo), Brazil. Emmi, which holds 70% of the shares in LPA, consequently now holds a 49% stake in Verde Campo. Verde Campo is well established in Brazil, offering innovative and healthy dairy products such as yogurts and milk drinks with top-quality protein from natural whey. In 2023, Verde Campo generated net sales of BRL 301 million (approx. CHF 54 million) and employs around 550 people. The purchase price allocation recognised in the present half-year financial statements is currently provisional. The acquired company generated net sales of BRL 128 million (approx. CHF 23 million) in the 2024 financial year up to the acquisition date and has contributed BRL 25 million (approx. CHF 4 million) to Group sales since it became part of the Group on 31 May 2024.
On 11 June 2024, Mexideli 2000 Holding S.A. de C.V., in which Emmi holds a 51% stake, increased its holdings in Comalca 2000, S.A. de C.V. and Comalca Gourmet, S.A. de C.V. from 90% to 100%, respectively. This also increased Emmi’s share of Alimentos Finos del Sureste, S.A. de C.V., which is wholly owned by Comalca Gourmet, S.A. de C.V.
Indulgent Moments SAS was founded on 27 June 2024.
We refer to the consolidated financial statements for 2023 for changes to the scope of consolidation in financial year 2023.
Emmi is involved in legal disputes in connection with ordinary operating activities. Although the outcome of the lawsuits currently cannot be predicted with certainty, Emmi believes that none of the disputes will have any significant negative impact on the operating activities or on the Group’s financial situation. Suitable provisions for expected outgoing payments have therefore been made.
On 5 July 2024, Emmi entered into a put option agreement for the contemplated acquisition of the leading French Mademoiselle Desserts Group, which specialises in innovative premium patisserie. This transaction would enable the Emmi Group to continue to expand its market presence in the premium desserts category, as part of its proven strategy and focused internationalisation. Mademoiselle Desserts generated annual sales of around EUR 420 million in 2023 with a workforce of approximately 2,000 employees.
Consultation with the relevant employee representatives at Mademoiselle Desserts was successfully concluded in July and the share purchase agreement was signed on 25 July 2024. Implementation of the transaction is conditional upon approval by the relevant competition authorities and regulatory authorities.
Emmi increased its stakes in both Hale GmbH and Leeb Biomilch GmbH from 92% to 100% on 31 July 2024.
From the balance sheet date until the consolidated financial statements were approved by the Board of Directors of Emmi AG on 13 August 2024, no other major events occurred which could adversely affect the validity of the interim financial statements for 2024.
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2024 |
2023 |
30.6.2024 |
31.12.2023 |
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0.17 |
0.18 |
0.16 |
0.17 |
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1 CAD |
0.65 |
0.67 |
0.66 |
0.63 |
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1 EUR |
0.96 |
0.97 |
0.96 |
0.93 |
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1 GBP |
1.12 |
1.12 |
1.14 |
1.07 |
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1 MXN |
0.05 |
0.05 |
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1 TND |
0.29 |
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0.29 |
0.27 |
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1 USD |
0.89 |
0.90 |
0.90 |
0.84 |
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100 CLP |
0.09 |
0.11 |
0.10 |
0.10 |