News

Borges reinvests the profit obtained at the end of the 2020 financial year in the reactivation of the hospitality industry and prepares for its 125th anniversary

The group has achieved a consolidated result of EUR 23.7 million despite a second half of the financial year very complicated by the global pandemic.

Borges invests:

  • 10.5 MM euros in the reactivation of the hospitality, bars and catering sector.
  • 2.5  MM euros in the generation of employment and measures to protect employees from the pandemic.
  • 10 MM euros to add sustainability elements to your industry and agricultural plantations.
  • 2.5 MM euros in food safety and R&D of new solutions to the market to minimize Covid effects.

The Company prepares for its 125th anniversary this coming 2021 with the inauguration of the “Casa Borges – Mas de Colom”.

In a second half of a very complicated financial year, for the purposes of Covid 19, Borges International Group has obtained a consolidated result of EUR 23.7 million, which has been earmarked for the reactivation of hospitality and catering as well as the generation of employment through investments in sustainability, food security and innovation.

Benefits in a very difficult year for all

The BAI reached was EUR 29.4 MM and EBITDA was EUR 37.5MM, reducing its debt to EUR 90 MM.

Turnover has reached EUR 613million, down 11.1% from the previous financial year, mainly due to the reduction in the prices of the main raw materials marketed by the group, such as olive oil, nuts and almonds, an effect that will be even greater in the current fiscal year.

Sales in international markets account for 71% of its total revenuefigure, maintaining its weight from the previous year. The high percentage of sales abroad is derived  from the marketing of its products in 107 countries through its offices and commercial subsidiaries in Spain, the United States, France, Italy, Russia, Brazil, India, China, Singapore and Tunisia.

By products, Borges has marketed a total of 307 thousandtons, of which olive oils stand out with 41%  of total sales, followed by  29% nuts and seed  oils with 15%, complete theremaining 15% olives, vinegars, durum wheat paste, sauces, pickles, nut drinks and by-products (seed flours and almond peel).

In 2021 Borges International Group, which will serve 125 years of history, totals 1,181 employees worldwide, an increase of 16% of its talent over the past five years. It is present in 13 countries, with 11 industrial plants and 15 commercial offices.

The rehabilitation of Mas de Colom and 125 years of history

The company prepares its 125th anniversary in 2021 with the inauguration of Casa Borges, a project to which the company has dedicated 2.5 million euros in a first phase rehabilitating the emblematic building of Mas de Colom as well as adapting the farm that surrounds it for the agricultural cultivation of pistachios, almond trees, olive trees and walnut trees.

COVID-19 Contingency Measures and Industry Support

The current health crisis caused by the COVID-19 virus has had a full impact on the activity of the hospitality, bar and catering sector (HORECA), as a result of the halicking of activity that has directly affected the survival of thousands of businesses. In order to minimize the serious difficulties that this channel has encountered, Borges launched last May a plan for reactivation by deferring the collections of the summer campaign and with the donation, to boost its reopening, of 5 million single-dose containers,which require minimal manipulation, increasing food security and decreasing the chances of coronavirus transmission, compared to other containers that pass fromhand to hand multiplying the chances of contagion. These shares have been an economic effort of 10.5 million euros for Borges.

Committed by Nature

The facilities of Capricho Andaluz, S.L., headquartered in Cabra, have renewed the ECOSENSE Certificate in the manufacture of single-dose tarrina capsules with 90% recycled material,thusguaranteeing the circular economy. With this initiative Borges has been the first oil packaging company to obtain the ECOSENSE certificate thus helping to achieve the objective “European strategy for plastics in a circulareconomy” of 10 million tons of recycled plasticused to manufacture new productsbefore 2025.

Borges has also formalized a sustainable loan amounting to EUR 15.7 million, the conditions of which are linked to the evolution of the environmental impact of its industrial production. The sustainable production-oriented improvements to be carried out by Borges, agreed for financing, include reducing hexane hydrocarbon consumption for seed oil extraction, and reducing heating diesel consumption. With this funding, Borges takes a step further in its commitment to sustainability, incorporating for the first time in the group a financial structure based on ESG sustainability criteria. Much of the funds have led to productive improvements based on energy efficiency criteria, as well as other investments in industry 4.0.

Sustainable agriculture

The agricultural project, led by its nut subsidiary Borges Agricultural & Industrial Nuts (BAIN), manages a total of 2,571 hectares located in California, Portugal and Spain,  which include 177 hectares of the Pistacho BAIN Project  resulting  from vertical cooperation with producers, offering analternative for the improvement of agricultural income, a project that in2022 is expected to reach 500 hectares, with more than 50 affiliated producers from the provinces of Huesca, Lleida andTarragona.

BAIN’s new plantations are governed by sustainable agriculturecriteria. Following accession to the EsAgua platform, whose objective is to position Spanish companies as benchmarks in the water footprint and in the field of sustainability, BAIN increases the number of hectares certified under the GLOBAL GAP (Good Agricultural Practices) certification process, one of the international standards in terms of good agricultural practices and sustainable agriculture reached a total of 953ha.