In Q1-Q3 2019, Boryszew Group generated PLN 4.8 billion in consolidated revenues, with PLN 321 million in consolidated EBITDA and PLN 79 million in net profit. The Company’s Q3 2019 consolidated revenues and EBITDA grew y/y by 10% and 15%, respectively. Moreover, Boryszew also maintained the dynamics of improvement in the efficiency of working capital management.
In the reported period, Boryszew’s consolidated revenues grew by PLN 140 million, while the consolidated EBITDA rose by nearly PLN 12 million. Despite challenging market conditions resulting mainly from the economic slowdown in Europe, the Group’s performance was positively impacted by the robust results recorded in the Automotive Segment.
In Maflow Group, we have markedly improved management of our production processes and increased the profitability of the Group plants. As a globally operating entity, Maflow is much more resilient to the ongoing crisis in the automotive sector. What’s more, the Group’s portfolio of clients is much more diversified, which is what we are aiming for in the Boryszew Automotive Plastic (BAP) Group as well. At BAP, the sale of tools rose by PLN 42 million in Q3 2019, while the sale of parts remained lower y/y – said Piotr Lisiecki, President of the Management Board and CEO of Boryszew S.A.
In Q3 2019, Boryszew continued to improve significantly its efficiency ratios.
Our net working capital decreased by nearly 28% compared to Q3 2018. In this period, we reduced our inventories by 8% and shortened the receivables turnover by 5 days – Piotr Lisiecki added.
On 28 November 2019, the Group announced the conclusion of a preliminary conditional agreement for the sale of Impexmetal S.A. This was the effect of negotiations which commenced earlier this year as part of the review of strategic options, of which Boryszew informed in its current report dated 28 May 2019.
The offer from the Swedish company Gränges was very attractive indeed. After detailed analysis, we decided that the sale is the most advantageous scenario from the point of view of the Group’s value growth. Boryszew Group will remain the largest producer of non-ferrous metals in Poland. In the area of aluminium products alone, after the sale of our assets in Konin, our production capacity will total 70,000 tonnes (NPA Skawina) – Boryszew CEO Piotr Lisiecki said.
Boryszew Group’s overall production capacity in the Non-Ferrous Metals Segment (aluminium, lead, copper, zinc) currently stands at 350,000 tonnes. Upon completion of the transaction, it will reach the level of 250,000 tonnes.