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Mar 10 2020, 10:10 GMT
ARYZTA
Negative operating leverage prompts revision to mid-term North America margin guidance
DAVY VIEW
Continued volume losses in North America and the associated negative operating leverage have prompted management to revise its medium-term guidance for EBITDA margin in the region. The recovery in North America revenue remains slow. The outlook calls for underlying EBITDA growth excluding any potential effects from coronavirus. We anticipate a c.2-3% cut to our FY 2020 EBITDA, reflecting the continued challenges in North America.
