Niels Frederiksen, CEO of STG, added: “Our strong performance in the quarter is based on an overall increased consumption of handmade cigars in the U.S. as more people work from home and by the skills and hard work of our employees around the world who have been working diligently to mitigate the impacts of the pandemic and keep the business moving forward. Additionally, a successful initial integration of Agio Cigars and the continued execution of Fueling the Growth are also positively affecting our cost efficiency in the quarter.”
STG reported a 4.6 percent organic growth in net sales during the second quarter of 2020. In the first 6 months of 2020, net sales grew 4.9 percent organically to DKK 3,852 million, and EBITDA (earnings before interest, taxes, depreciation and amortization) before special items grew 21 recent organically to DKK 815 million with free cash flow before acquisitions improving to DKK 547 million. EBITDA, before special items, as DKK 3.1, adjusted for special items. Free cash flow before acquisitions improved to DKK 425 million. STG also reports that the acquisition of Royal Agio Cigars [read more here] contributed to the company as planned.
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