RadiciGroup results: 2015 sales revenue EUR 1,011 million. 2016 first half positive.
RadiciGroup, in 2015 recorded consolidated sales revenue of EUR 1,011 million, slightly less (-1.37%) than in 2014. Sales volume increased (+3% over 2014), as did gross operating margin, which was EUR 103 million (+37% compared to 2014). Group financial and capital soundness also showed further improvement: debt decreased to EUR 183 million (against EUR 231 million in 2014). First half 2016 was positive and saw RadiciGroup attain a gross operating margin of EUR 60 million.
For the year 2015, RadiciGroup’s three business areas reported consolidated sales, as follows:
- SPECIALTY CHEMICALS, EUR 370 million
- PERFORMANCE PLASTICS, EUR 277 million
- SYNTHETIC FIBRES & NONWOVENS, EUR 458 million.
“Our 2015 income statement results were good,” Angelo Radici, president of RadiciGroup, commented. “We closed the year with total sales revenue slightly lower than in 2014, which was basically due to the decrease in raw materials costs. However, our gross operating margin and volume rose by 37% and 3%, respectively. Italy and the rest of Europe continued to be our main target markets. Indeed, these geographical areas contributed 73% of our sales revenue. Good performance trends were recorded, first of all, in the automotive industry and also in electrical / electronics, furnishings and apparel, which are among our key outlet markets. Our Performance Plastics business area performed particularly well in terms of both volumes and margins and achieved an upturn in 2015 sales revenue of about 9% compared to the prior financial year. After the acquisition of the polyamide engineering polymers division of Resinas TB in Mexico, the business area’s global organization and potential has led us to consider a possible further expansion.”
“Despite problems upstream during the first few months of 2016, our margins for the first half are positive,” Mr. Radici continued. "We achieved a gross operating margin of about EUR 60 million, exceeding our expectations. Given the uncertainty of the current international scenario, forecasting is hard, but we expect to close the year with margins in line with those of 2015.”
The Group’s financial soundness continues to improve. “In 2015, net financial debt ended the year at EUR 183 million, of which over 60% was medium-long term,” Alessandro Manzoni, CFO of RadiciGroup, noted. “The debt to equity ratio was 0.50. Our steps to strengthen capital over the past few years reduced debt by EUR 153 million from 2010 to 2015, allowing us to gradually achieve an increasingly sounder position. That course of action required substantial effort and during that period the backing of our banks was essential. Their support and our mutual trust during the years enabled us to work with peace of mind on the industrial management of our Group.”
In 2016 RadiciGroup investments: EUR 40 million (in 2015 investments amounted to EUR 30 million).
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