Fermentalg : H1 2023 Sales / New strategic plan in Fall

Libourne - July 19, 2023 - Fermentalg (Euronext - FALG), a French expert in microalgae, published today its sales figures for the 1^er half-year of the 2023 financial year[1] and announced the presentation next fall of the major orientations of the new strategic plan prepared under the leadership of its new CEO, Pierre Josselin.

Pierre Josselin commented: "My first few weeks at Fermentalg have confirmed my belief in the company's growth potential. The excellence of our teams' expertise in microalgae biology and the bio-industrialization processes developed in recent years mean that we can now offer high-quality natural ingredients that meet the sustainability challenges of major industrial players, particularly in the nutraceuticals and agri-food sectors. Whether it's the Omega-3 DHA Origins® or the natural blue colorant from the Blue Origins® program , world leaders in these markets have already validated these cutting-edge technologies, which are unique in Europe. We have the capabilities to meet the challenge of rapidly accelerating sales, which is my priority in the next few months. The strategic plan I will present next fall will unite our strengths around an ambitious roadmap focusing on growth and CSR, and enabling the company to take its place as a leading player in the environmental and societal transition as quickly as possible."

Business still impacted in the short term by a tense macro-economic situation

Against a backdrop of geopolitical and inflationary tensions impacting the entire agri-food industry and its production costs, Q2 2023 sales totaled 940k euros (vs. 2,347k euros in Q2 2022), driven exclusively by the Omega 3s business in Europe and South America, while the North American and Asian markets continue to suffer from an economic slowdown.

Total sales for H1 2023 amounted to €2.4 million, compared with €5.2 million for H1 2022, a period which benefited from a record level of orders from customers in Europe and North America, not renewed in 2023.

Sales this year also include a production batch intended for the pre-marketing to major food industry accounts of the first natural blue colorant stable in acid conditions and resistant to heat treatment. Regulatory approval processes are ongoing in the United States and Europe, with the first approval expected in the United States by the end of 2023.

A new strategic plan to launch the next phase of development

Fermentalg's high value-added products and solutions are a major asset to meet the needs and requirements of customers engaged in the necessary transformation of their business models in favor of environmental transition, particularly in the healthcare and sustainable food sectors. One example of this is the French State support within the France 2030 national plan.

Since his arrival, Pierre Josselin has initiated a structural review with all stakeholders to revitalize sales, prioritize the most promising projects within the framework of an optimized industrial organization and support sustainable growth that is less dependent on cyclical fluctuations. It relies on a new marketing and commercial approach of the target markets, in order to better exploit the unique characteristics of Fermentalg's solutions, and aims to strategically leverage the company's corporate responsibility policy.

This new strategic plan will be presented in autumn 2023. 

Next publication: interim results 2023, September 13, 2023 (after close of trading)

About Fermentalg

An expert in the research and bioindustrial exploitation of microalgae, Fermentalg aims to offer sustainable solutions and innovative products that contribute to the development of healthy, natural and high-performance products. Our business: the development, production and marketing of sustainable solutions and active ingredients derived from microalgae, for use in nutrition, health and the environment. Nutritional lipids, alternative proteins, natural food colorings and innovative environmental solutions make up our company's current and future offering. Fermentalg shares are listed on Euronext Paris (FR0011271600 - FALG), and are eligible for PEA-PME and SRD long-only. It has received an Exemplary rating (85/100) from Gaïa Research, a rating agency specializing in the ESG performance of SMEs listed on European markets, in favor of Socially Responsible Investment (SRI). 

Further information: www.fermentalg.com

[1] Unaudited data