The Board of Director of Comer Industries approves the financial report as at 30 June 2020
The Board of Directors of Comer Industries was held today to examine and approve the interim financial report as at 30 June 2020 relating to the Group consolidated results.
“With its unprecedented scale, the lockdown hit businesses as never before, making the evolution of the market even more unpredictable – points out Matteo Storchi, the president and CEO of Comer Industries. In this scenario, which has led to a significant drop in revenues, the company has nevertheless been able to take advantage of the considerable efforts undertaken in recent years in order to make our entire production ecosystem as efficient as possible. The fact that the margins, in relation to turnover, have remained substantially the same, moreover with double digit percentages, proves the quality and foresight of these efforts”.
ANALYSES OF FIRST SEMESTER 2020 CONSOLIDATED ECONOMIC AND FINANCIAL RESULTS
Comer Industries ended the half year with a 13.2% decrease in consolidated turnover compared to the same period of 2019. This decrease was mitigated by the increase in sales on the Asian market due to the acquisition of greater market shares in the industrial and wind power sectors. Despite the measures to counter the spread of Covid-19, the new manufacturing site of Comer Industries Jiaxing Co. Ltd., compared to the same period in 2019, has increased its production for the local market, while volumes have fallen double-digit on the Italian and Indian plants, which have been most affected by the lockdowns required by the relevant local governments and the general macroeconomic situation.
With reference to the operative costs, during the semester the Group proved its resilience and flexibility continuing to focus its efforts on controlling overheads. Taking advantage by the efficiency gains achieved through continuous improvements in business processes, in the first half of the year the Group was able to reach operating profitability, as a percentage of turnover, in line with the previous period.
EBITDA [adjusted] stands at 22.2 million €, equal to 11.6% of sales, compared to 11.5% in the same period of the previous year, decreasing by 12.8% in absolute terms, which is less than proportional to the decrease in turnover.
EBITDA [adjusted] has been adjusted for the impacts of the accounting treatment of property rentals and other, according to IFRS 16 (Leases), and the accounting treatment of the relevant amount for the period of the planned “stock grant” according to IFRS 2.
EBITDA therefore consolidated at 21.4 million €, equal to 11.2% compared to 12.2% in the first half of 2019.
Net financial debt [adjusted], corresponding to exposure to the financial system, shows a positive balance of 6.2 million €, improving by 9.1 million € compared to 31 December 2019. It was generated through an operating cash flow of around 18.9 million € in the half year, net of the dividend on the 2019 result for 7.2 million € (paid on 29 April 2020).
Net profit stands at 8.8 million € compared to 11.5 million € as at 30 June 2019, corresponding to 4.6% of turnover.
Download the press release here: https://www.comerindustries.com/comunicati-stampa-price-sensitive