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Financial Results of the nine-month period ended Sept 30, 2024


Increased Turnover and strong profitability, despite the challenges of the economic environment THRACE GROUP announces the financial results for the nine-month period ended September 30, 2024.

ΤHRACE PLASTICS CO S.A.

25.11.2024

Financial Results of the nine-month period ended Sept 30, 2024

ATHEX:                PLAT

Reuters:               THRr.AT

Bloomberg:        PLAT GA

 

 

Nine-month period of 2024 Highlights:

  • Turnover: €282.2 mil.
  • EBITDA: €36.0 mil. and Earnings Before Taxes (EBT): € 16.4 mil.
  • Net Debt: €25.6 mil., compared to €29.6 mil. at the end of 2023
  • Interim dividend: €3 mil., corresponding to ~€0.07  per share (gross amount)

THRACE GROUP announces the financial results for the nine-month period ended September 30, 2024.

Financial Results of Nine-month period ended September 30, 2024

In the nine-month period of 2024, the Group's Turnover amounted to €282.2 mil. while the Turnover in the corresponding period of previous year had settled at €269.8 mil., posting an increase of 4.6%, as volumes sold increased by 7.6% and specifically an increase of 2% in the Technical Fabrics sector and 16% in the Packaging sector.   

During the first 9months of 2024, the operating profitability (EBITDA) amounted to 36.0 mil. decreased by 2.7%, compared to the EBITDA level of €37.0 mil. in the 9-month period of 2023. It is important to note that the Group has managed to increase the volumes sold, therefore capturing greater market share in a weak business environment, however there have been market pressures leading to lower average selling prices, especially in the technical fabrics segment, which are not in line with the relatively higher raw material prices and the increased energy costs. As a result, there has been a variation of performance at the level of operating profitability of the Group compared to the previous year.  In absolute figures though, the Group is significantly profitable and financially solid, as it continues to capture greater market shares in all countries of business activity, while there is the potential that the relative decline in profitability can be limited in the following months of the year.

Regarding the liquidity levels, the significantly low level of Net Debt demonstrates the strong financial position of the Group, the quality of the customer base as well as the Group’s ability to continue implementing investments while keeping its Net Debt at a relatively low level. More specifically, the Group’s Net Debt amounted to €25.6 mil., almost unchanged compared to the previous months of the year, despite the higher sales and the seasonality, which under normal conditions tend to increase the working capital needs.

At the same time, as already mentioned, the Group's investment plan implementation, amounting to €30 mil. on a cash basis, progresses smoothly, by investing mainly in the Group's production facilities in Greece and abroad with regard to both business segments.   

The Bord of Directors decided the distribution of an interim dividend for the fiscal year 2024, of a total amount of €3 mil. (gross amount).

More specifically, the following table depicts the key financial figures of the Group during the nine-month period of 2024 compared to the corresponding period of 2023:

CONSOLIDATED FINANCIAL RESULTS (in € thous.)

30/09/2024

30/09/2023

Change (%)

Turnover

282,153

269,788

4.6%

Gross Profit

62,316

62,576

-0.4%

ΕΒΙΤ

16,914

19,684

-14.1%

EBITDA

36,034

37,024

-2.7%

EBT

16,372

20,229

-19.1%

Earnings after Taxes

11,953

15,409

-22.4%

Earnings after Taxes and Non-Controlling Interests

11,424

14,929

-23.5%

Basic Earnings per Share (in €)

0.2662

0.3474

-23.4%

 

Prospects of the Group

Approaching the year-end, both markets and economies during the second half of the year have been characterized by trends and conditions which are relatively comparable to the ones of the first half and overall with the previous 18 months. Inflation has shown signs of cautious deceleration but it remains at a stable level, interest rates are still high even though there have been interest rate cuts by Central Banks, whereas raw material prices are on a downtrend. However, the escalating tension in the Middle East and the absence of a ceasefire continues to create uncertainty and to put pressures on the markets. Finally, the US presidential elections and the change in the political leadership of the country implies the emergence of new geopolitical conditions on a global scale, with their ultimate positive or negative impact on the European and global economy not being especially discernible.   

The Management has estimated that the Group’s EBITDA profitability for the year 2024, on absolute figures, will remain at similar approximate levels, in comparison with the previous year, as a result of the factors that have been already analyzed, therefore considering that the relative negative variation at EBITDA level, compared to the previous year, could be limited in the coming months. The Group’s Management closely monitors the market developments and is always ready to take the necessary actions, if and whenever needed, in order to smoothly implement its strategic growth plan. In any case, the Group remains financially healthy and solid, being in a position to weather any negative market effects, to the best possible extent, and at the same time to effectively implement its long-term development strategy, while the Management remains optimistic regarding the Group's course in the coming months and overall, for the next year as a result of management actions and implemented investments.

For further clarifications or information regarding the present release, please refer to the Department of Investor Relations and Corporate Announcements, email [email protected], Tel.: + 30 210-9875081.