Exel Industries, the French parent company of well-known brands Agrifac, Hardi and Holmer, posted revenues of €200.1 million for the first quarter of its 2023–2024 fiscal year (October to December 2023).
An increase of 8.1% on the €185.1 million recorded in the same three months the previous year, the rise was fueled by the 39% increase of Holmer and Agrifac sugar beet harvesters to €27.1 million. The increase was driven by strong demand across all segments for new and used machines and spare parts.
In geographical terms, while 2022/2023 sales were mainly generated by Eastern Europe, this year’s first quarter revenue mainly came from France, Germany, Poland.
Exel’s agricultural sprayers brands (Hardi, Evrard, Berthoud, Tecnoma, Nicolas, Matrot, CMC, Agrifac and Apache) continue to generate the lion’s share of Exel turnover: up 2.1% in the first quarter to €90.9 million. Sales remain strong, is the message, although the renewed disruptions to logistics, lengthened delivery times to Australia and North America.
Despite the continuous decline in agricultural commodity prices, Exel remains positive for the rest of this year and confirms that the sprayer order book remains stable for all brands and regions. High sugar prices are expected to continue, and order intake for new sugar beet harvesters is in line with expectations. However, the company reckons that last year’s exceptional volume of machine replacements in Eastern Europe is unlikely to recur to the same extent this year.
While down on the first three months of 2022-2023, Exel’s agricultural income in North America remains well above the previous years’ performances. Also, although potential customers remain cautious, the firm reckons that the recent stabilisation of interest rates could make it easier for farmers and contractors to finance new agricultural equipment. The company is concerned by recent events in the Red Sea, which it reckons could affect logistics costs and the availability of certain components.
Footnote: Exel Industries turnover exceeded €1 billion for the first time in its 2022–2023 fiscal year. The ag sprayer division generated €525.2 million and sugar beet machinery €158.6 million. The rest was added by the Group’s leisure and industrial spraying divisions.
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