Oatly has upgraded forecasts for the year as it narrowed losses and continued to make headway with a turnaround.
Revenues in the second quarter nudged up 3.2% to $202.2m (£156.9m), with “solid” volume growth in each of its divisions.
Adjusted EBITDA losses improved from $41.5m (£32.2m) a year ago to $11m ($8.5m), with net losses for the quarter standing at $30.4m (£23.6m).
Profitability was hit by a $2.9m (£2.3m) one-off charge related to the discontinued construction of the group’s production facility in Peterborough.
CEO Jean-Christophe Flatin, who has been in the role for just more than a year, called it “another quarter of solid progress in strengthening our business”.
“In the second quarter, we grew volumes in every segment, continued to structurally reduce our cost structure, and continued to invest to further strengthen our brand,” he said.
“Overall, we are making good progress on the three strategic pillars that we are focusing on in 2024: to bring the Oatly magic to more people, to continue our work on the calibration of resources, and to focus on execution.”
As a result of increased confidence in the second-half outlook, Oatly updated 2024 guidance to be more favourable than previously, with revenue growth now projected to be in the range of 6% to 10%, up from 5% to 10%.
Sales growth in the quarter was mostly driven by Europe and North America, offset by ongoing issues in China as the business resets in the country.
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