AD Plastik has sealed an additional deal on the Edison project, namely production of the central console for the vehicles Smartforfour (S4S) and Smartfortwo (S2S). This means transfer of the production that has been carried out by Reydel factory in Rougegoutte in France so far. According to the plan, the transfer includes a total of 19 tools and realization will consist of three phases until the winter shut-down. Aforementioned consoles will be produced in AD Plastik factories in Zagreb and Solin and deliveries should start at the beginning of 2017. Revenue received from the sealed deal are estimated at EUR three million per year until the end of the Edison project.

Share sale and purchase agreement of the company Faurecia ADP Holding has been signed, according to which AD Plastik sold 40 percent of its share to Faurecia Automotive Holdings. In that manner Faurecia has become the sole owner of Faurecia ADP Holding, that is the Russian factory FADP in Luga.

Exiting FADP has been planned and included in the business plans of AD Plastik Group for 2017 and cooperation with Faurecia successfully continues. AD Plastik and Faurecia have joint venture company EuroAPS also in Romania, where they have an equal share.

„AD Plastik Group plans to develop and expand in the Russian market in the long term, but from a strategic point of view we want to have shares in companies in which we are majority owners. We want to preserve and strengthen our positions in the Russian market. Currently AD Plastik Group is competing for several new projects in the Russian market, the market has gradually been stabilizing, the ruble course has been recovering and new deals with Ford have been sealed. In any case we see the Russian market as an opportunity for further business development,“ said Marinko Došen, President of the Management Board on that occasion.

Share with the highest price growth

At the awards ceremony of Zagreb Stock Exchange, AD Plastik was awarded with this award for the first time, namely in the category Share with the highest price growth.

„It is an extreme honor to receive this award because it confirms our values and the trust of investors who invest in AD Plastik’s shares. In these challenging times in which we conduct business, the trust of our shareholders is one of the company’s top priorities. We will continue to achieve set business plans, increase operating efficiency and profitability and develop the quality of business reporting as well as improve high transparency standards. This is an additional incentive and responsibility for further development and creation of added value of the company that are based on the harmonious relationship of all our stakeholders,“ said President of the AD Plastik Group’s Management Board Marinko Došen, thanking for the award.

In 2012 Zagreb Stock Exchange founded the Zagreb Stock Exchange Awards with the aim of strengthening the recognizability of the capital market and its active participants among the financial and general public. Considering that excellence certainly deserves recognition, rewarding by recognizing and supporting the best ones has become a tradition. Award Committee of the Zagreb Stock Exchange has decided on awards in seven categories, considering objective and statistical criteria as well as the overall contribution to education and development of the domestic capital market.

The jubilee fifth ceremony of Zagreb Stock Exchange Awards attracted a record number of guests and President of the Management Board of the Zagreb Stock Exchange Ivana Gažić said on that occasion: „Our wish is to continuously identify and reward what is good in our market. We don’t want to look back but ahead of us and to be led by good examples. We are glad that our award has been recognized as an acknowledgement of excellence and the winners often proudly point it out.“

In the category Share with the highest turnover award was given to Hrvatski telekom while Atlantska plovidba share achieved the highest turnover increase. InterCapital Securities won the award for the Member of the year and the award for outstanding contribution to development of capital market was given to the European Bank for Reconstruction and Development. The title Share of the year was given to the share of Valamar Rivijera d.d. acording to votes of the public and the award of the Zagreb Stock Exchange Academy for a remarkable contibution to the education on the capital market was given to the mathematician and educator Toni Milun.

AD Plastik was awarded the National Winner Certificate for Croatia at the ceremony European Business Awards 2016/2017 in the import and export category. European Business Awards is one of the largest European competitions that promotes and rewards excellence and best business practices within the European business community. This certificate is popularly referred to as Business Oscar and AD Plastik was selected in the first phase of selection by an independent jury among 33,000 applied companies from 34 countries, thus having entered the second phase of this prestigious competition.

„We have been recognized as one of the best companies in the import and export category among 34 countries and 33,000 applied companies. This is an additional motive for us to continue successful business,“ said President of the Management Board of AD Plastik Marinko Došen.

As part of the 8th Conference on corporate social responsibility, organized by the Croatian Business Council for Sustainable Development, CSR Index awards were presented. AD Plastik was awarded with the highest progress award and President of the Management Board Marinko Došen took the award on behalf of the company.

„It is my great pleasure to receive this award because it is a confirmation of the successful implementation of socially responsible practices in our company. This award is also a great responsibility and an incentive to be even better in the future. We are aware of the responsibility towards the community and the environment in which we operate, and just as every individual should strive to live in harmony with nature, so every company should work in harmony with its environment. And that’s what we’re aiming for. We have set very high standards of quality and innovation in our business, but we have also set very high and ambitious goals for corporate social responsibility. Corporate social responsibility is a part of our corporate governance, and in the future we will strive to be even better partners to the nature and community we work in,” said Marinko Došen.

The CSR Index is a methodology for assessing responsible practices in business of Croatian companies, created in accordance with similar global methodologies, in the first place Business in the Community CR Index. It has been remodeled as a questionnaire consisting of 119 questions from six core areas of corporate social responsibility. This assessment method enables an objective assessment of corporate social responsibility of companies and a comparison with practices of other companies.

Based on the results obtained by completing the questionnaire, Croatian Chamber of Economy and HR BCSD once a year give the award CSR Index for the successful implementation of corporate social responsibility in the category of small, medium, large and public companies.

AD Plastik Group has published third Sustainability Report for the year 2015 on its website and in such a manner it began reporting according to GRI G4 guidelines. Since this year, AD Plastik has begun to report in one-year cycles, as opposed to the former two-year cycles. For the first time, verification of content from an external specialized agency was requested, Commission of the Croatian Business Council for Sustainable Development gave more accurate opinion about the content of the Report.

„With its contemporary approach and design, third Sustainability Report of AD Plastik Group has met the purpose of non-financial reporting, which is to understand the needs and expectations of stakeholders regarding information and to present the non-financial impact of companies in accordance with their needs,“ says HR BCSD Commission opinion expert.

Corporate social responsibility is an integral part of corporate business and behavior in the AD Plastik Group, but it is also a tool that helps manage risks and assess the business environment in a better way. Experiences of the companies that apply corporate social responsibilityy show that they are more successful. They have more satisfied employees, business partners and the social community, and by taking care of the environment and people’s health they reduce the risks of possible crisis situations, provide better ratings in the business and social community and so on. The importance of corporate social responsibility has been recognized all over the world and the EU has also introduced a legal obligation for large companies to publish non-financial reports from the beginning of next year – for the AD Plastik Group it will be just a continuation of the ongoing reporting.

AD Plastik has won the award 100% Lider Invest in the category of the best medium investment, which relates to investment in a new painting line amounting to HRK 141 million.

Lider Invest is a new project for the selection of the best manufacturing investments in Croatia which has been launched with the aim of giving credited social recognition to entrepreneurs who have dared to invest in manufacturing. The goal is to encourage entrepreneurs who are thinking about investment, but also to emphasize the importance of production in the Croatian economy.

„Given that we are working in a highly competitive industry on the global market, such awards make us extremely proud because we have won nominations for new deals that are realized in Croatia thanks to the investment in painting line. By 2020 more than EUR 100 million is planned to be realized and thanks to the investment, we have hired more than 120 new employees. In the period from 2012 to 2014 we realized a large investment cycle in order to increase production capacities regarding existing technologies and to improve process. Such investments are justified by long-term business agreements and realization growth. The Edison project that has had the greatest impact on the increase in production over the past year certainly is a confirmation of AD Plastik’s capability and a good platform for realization of new deals in the future,“ said director of Zagreb production site Zlatko Bogadi when receiving the award.

All investments worth more than HRK 150 million have been nominated for the award 100% Lider Invest for the best large manufacturing investment, all investments worth between HRK 10 million and 150 million have been qualified for the best medium manufacturing investment and investments worth less than HRK 10 million have competed for the best small manufacturing investment.

The Lider Invest Expert Committee evaluated investments according to export orientation, share of domestic input, number of newly created job positions, technological level of investment, added value in the finished product and ecological acceptability.

Award for the best large manufacturing investment was given to the pharmaceutical company Jadran Galenski laboratorij (JGL) for the construction project of the complex Pharma Valley worth HRK 357 million, while award for the best small manufacturing investment was given to Kostel Promet from Pregrada and Sobočan interijeri from Mursko Središće.

AD Plastik Group will be producing painted front and rear bumpers for the vehicle Renault Clio, production of which begins in August 2017. Renault Clio will be produced in the factory Revoz in Slovenia with which AD Plastik has a long-term successful cooperation.

For this project AD Plastik will perform injection moulding, painting and assembly of the components and the expected revenue in the two-year period amounts to EUR 16.5 million.

Report by Management of AD Plastik Group for the first nine months of 2016 shows continued work on optimizing business efficiency. Operating revenue of the Group in the reported period amounted to HRK 736 million, which was 4.85 percent less than in the same period of previous year, largely due to the decline in sales in the Russian market. It is important to point out that the decline in Group revenue in the Russian market was lower than the decline in car sales in Russia for the first nine months.

„Sales in the European market were slightly lower due to lower orders from the customer Hella, but the revenue was almost at the level of last year’s. In the Russian market revenue decreased by 10.7 percent, but this is less than the total decline in car sales for the first nine months in Russia. Although car sales in the Russian market continue to decline, the market has gradually been stabilizing“, said the President of the Management Board Marinko Došen.

EBITDA at the Group level amounted to HRK 99.4 million, and compared with HRK 87.7 million realized in the same period of the previous year, it indicated a significant improvement in cost efficiency. Obligations towards suppliers and financial institutions in the first nine months decreased by HRK 53 million, which was a noticeable reduction in debt.

„Optimizing business efficiency, especially in the Russian Federation’s market, and reducing total liabilities are key targets this year. The new deals sealed over the past few months for Fiat and Volkswagen are a proof of the quality of the AD Plastik Group. Quality and compliance with set deadlines are exactly what makes the difference in today’s automotive world. New deals, realization of which is planned in the next year, are a very good foundation for planning further growth and development of our company,“ said Marinko Došen.

AD Plastik Group’s factory in Solin has sealed a new deal on production of grab handles for four Volkswagen vehicles, production of which is planned in the next year. The agreement signed with Volkswagen will generate revenue of about EUR 2.5 million per year over the next four years.

The complete project consists of two packages, namely two types of vehicles in which AD Plastik’s grab handles will be assembled. One package refers to vehicles VW Golf Sportsvan, Golf Variant (caravan) and Touran while the other part of package relates to VW Tiguan.

Golf Seven has been produced since 2013, second-generation Touran since 2015, while the second edition of Tiguan has been produced since the beginning of this year. It is interesting to point out that grab handles from Solin will be mainly delivered to Germany (Wolfsburg and Sachsen) but one part is intended for the US market, therefore they will be delivered to their factory in Puebla, Mexico.

Given the amounts Volkswagen produces, keeping up with Toyota which is top-ranked regarding number of vehicles sold, the expansion of this cooperation is significant for the company’s business. Apart from the revenue itself, this cooperation brings improvements in the organizational sense. Volkswagen is a customer that insists not only on product quality, but also on the efficiency of all production processes in the business. „It is a strategic buyer and product and we have knowledge and experience required for grab handles production and it is quite certain that this deal will have a positive impact on AD Plastik’s business in the long term,“ said Sales Manager for VW and BMW Kristijan Žaper.