The first-half 2019 results, reported by Massimo Zanetti Beverage Group S.p.A. (OTC:MSSZF), just confirmed my earlier investment thesis.
Despite a difficult YoY comparison, due to the IFRS 16 (the new accounting standard adopted), as well as the forex effect, the Italian coffee company recorded:
- a slight growth in its top line
- a growth in gross margin (notably higher than 44%)
- a growth in EBITDA
- a decrease in operating profit, mainly due to a higher amortization, following the new accounting method
- a decrease in net income, due to the above-mentioned accounting changes