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May 5 2020, 07:10 IST/BST
The key takeaways from ARYZTA’s May 4th update include the increase in liquidity since late March and the agreement with lenders to increase headroom under the banking covenants out to January 2021. Network and capacity adjustments, coupled with the furloughing of staff, will help ameliorate monthly cash burn. Given the scale of the QSR and Foodservice channels (56% of sales), the key issue for the equity remains the duration of the lockdown and management of negative operating leverage.
May 5 2020, 07:10 IST/BST