Azelis Group
LSE:0AA6
Azelis Group
Azelis Group, rooted in the bustling port city of Antwerp, Belgium, has delicately crafted its identity as a leading speciality chemicals and food ingredients distributor. Operating across a vast network, Azelis serves as the vital bridge connecting global chemical manufacturers with a diverse array of local industrial sectors. Beyond mere distribution, the company is renowned for providing complex formulations and innovative solutions that assist its myriad clients in enhancing the performance and sustainability of their products. By embedding itself intimately within its partners’ R&D processes, Azelis ensures the creation of tailored solutions that meet the evolving needs of industries such as agriculture, personal care, and food.
Financially, Azelis thrives by leveraging its extensive logistics network and synergies in procurement and distribution. Its profitability hinges on the robust partnerships it maintains with both suppliers and customers. The company maximizes value through strategic acquisitions that expand its geographical presence and product portfolio, enhancing its market reach while fostering deeper integration with local ecosystems. Azelis also invests in its laboratories and technical development capabilities, which allow it to differentiate its offerings and command premium pricing. This focus on specialization, innovation, and relational symbiosis defines Azelis's business model, ensuring its role as a pivotal force in the complex world of specialty chemicals distribution.
Azelis Group, rooted in the bustling port city of Antwerp, Belgium, has delicately crafted its identity as a leading speciality chemicals and food ingredients distributor. Operating across a vast network, Azelis serves as the vital bridge connecting global chemical manufacturers with a diverse array of local industrial sectors. Beyond mere distribution, the company is renowned for providing complex formulations and innovative solutions that assist its myriad clients in enhancing the performance and sustainability of their products. By embedding itself intimately within its partners’ R&D processes, Azelis ensures the creation of tailored solutions that meet the evolving needs of industries such as agriculture, personal care, and food.
Financially, Azelis thrives by leveraging its extensive logistics network and synergies in procurement and distribution. Its profitability hinges on the robust partnerships it maintains with both suppliers and customers. The company maximizes value through strategic acquisitions that expand its geographical presence and product portfolio, enhancing its market reach while fostering deeper integration with local ecosystems. Azelis also invests in its laboratories and technical development capabilities, which allow it to differentiate its offerings and command premium pricing. This focus on specialization, innovation, and relational symbiosis defines Azelis's business model, ensuring its role as a pivotal force in the complex world of specialty chemicals distribution.
Revenue Growth: Azelis reported revenue of EUR 2.019 billion for H1 2022, up 54% year-on-year, with 27.6% organic growth.
Profit Expansion: Gross profit increased by 65% to EUR 489 million, with a gross margin of 24.2% (up 157 bps YoY). Adjusted EBITA rose 91% to EUR 243 million.
Margin Gains: Conversion margin improved by 673 basis points to 49.7%, and adjusted EBITDA margin increased to 12%.
Cash Flow Strength: Free cash flow rose 74% year-on-year to EUR 139 million, despite higher working capital.
M&A Activity: 10 acquisitions year-to-date, including entry into South America via ROCSA; acquired businesses had EUR 460 million combined 2021 revenues.
Guidance Update: Full-year 2022 EBITA guided to EUR 410–425 million, with management noting increased market uncertainty but strong order book.
Regional Performance: All regions delivered double-digit organic growth; Asia Pacific fastest at 86% total revenue growth, though China faced headwinds.
Resilience & Outlook: Management confident in sustaining and gradually expanding margins, citing robust innovation, M&A, and volume-driven growth.
