A new car with which Renault starts to conquer the Russian market has been officially presented. Captur has become Kaptur, it is slighlty larger compared to the original version but there aren’t too many changes compared to the appearance of the European version. Compared to the European Captur, new Renault Kaptur is 233 milimetres longer, 47 milimetres higher and 35 milimetres wider, therefore its dimensions are 4.33 meters in length, 1.61 in height and 1.81 in width. Front part of the vehicle has been slightly changed where an enlarged logo and front bumper stand out and Russian Kaptur has daytime C-shaped LED lights that nicely follow the line of its appearance and emphasize it.

AD Plastik Group produces headliners, carpets, trunk carpets, shelves, air ducts and bumpers for the new Kaptur in its factories in Russia.

Apart from the Russian market, new Kaptur will try to conquer some other markets too, among which the Indian market stands out. Therеfore wheelbase has been increased by 72 milimetres in order to conquer the Indian market because it offers more space in the passenger compartment compared to the European Captur. Kaptur produced for Russia has five seats, but it has been mentioned that the model designed for the Indian market will have even seven seats.

The 387 liters fuel tank volume could be increased to 1200 liters by complete lowering the rear seats. Modern car equipment, such as keyless entry is a part of each car version that can be further upgraded. It is also interesting to point out a seven-inch touchscreen display, Bluetooth-connection for conversations while driving, possibility of seat and front window heating and other attractive features that will certainly not leave customers indifferent.

Renualt has great expectations from the sale of this vehicle in the weakened Russian market and the official start of sales has been announced for the end of May this year. It is expected that the Russian Kaptur will be significantly more favorable than its European version regarding price, therefore it’s no wonder that the planned annual sales amount to at least 30,000 vehicles. We have unofficially learned that this vehicle should become hit in the Russian market and thus take primacy over Duster that is currently producing 80,000 vehicles per year in Russia. We can only believe that the above-mentioned forecasts will come true.

Ambassador of the Russian Federation Anvar Azimov, accompanied by the first honorary consul in Split Josip Eterović, has visited AD Plastik plant in Solin. The ambassador was welcomed by the President of the Management Board Marinko Došen with his colleagues. During his official visit to the City of Split, ambassador Azimov wanted to visit companies that cooperate with Russia and invest in the Russian market, therefore AD Plastik as one of the largest Croatian investors in the Russian market was the first choice.

„We believe in the development of the Russian market today as well as twenty years ago and we hope for the soon economic recovery of Russia. Cooperation with Russia is extremely important to us which is why we have three factories in that area. Visit of the ambassador Azimov is an exceptional honor for us because it means that we have been  recognized as an important economic entity in Russian-Croatian relations,“ said the President of the Management Board Marinko Došen.

During the visit the ambassador of the Russian Federation got acquainted briefly with the work of the company and he took a look around production site in Solin and was very satisfied with it. He was very pleased to find out that AD Plastik continues its operations and expansion in Russia and he expressed willingness to cooperate and help in our future business activities.

At the 19th Assembly of HR BCSD, AD Plastik has become its full member. Assembly was attended by over 60 members, associates and partners who had the opportunity to hear everything about the past and future activities of HR BCSD. Considering that the Assembly was held at the premises of HEP, President of the Management Board Perica Jukić introduced the members to their sustainability report. Director of HR BCSD Mirjana Matešić informed the attendants about the work of the Governing Council and the office and introduced them to the Work Program for 2016. Apart from AD Plastik, four more members introduced themselves at the Assembly, namely PricewaterhouseCoopers, Lidl Croatia, Schneider Electric and Valamar Riviera.

The presentation and introduction of the company were held by occupational safety and general affairs director Jadranka Konta.

19 Russian Automotive Forum, one of the most famous Adam Smith conferences which represents the leading events from the automotive industry in Russia, was held in Moscow. The forum regularly gathers key people from the automotive world and competent institutions.

One of the speakers at this year’s Forum was AD Plastik Group’s President of the Management Board Marinko Došen. He held a presentation at the panel discussion „Suppliers’ strategy: To succeed in the Russian automotive industry“ and he was also one of the participants in the round table „Debate of the automotive parts producers“.

„The forum was a great opportunity to renew existing and establish new business contacts and opportunities because it gathers all the important people from the automotive world in Russia,“ said Marinko Došen on that occasion.

The main message sent to the participants of the Russian Automotive Forum was that economic crisis is also a challenge at the same time. The necessity of partner cooperation between suppliers and car producers as well as localization of production in Russia by means of which negative consequences of crisis can be mitigated was emphasized.

Representatives of the Government of the Russian Federation at the Forum have specifically emphasized their decision to provide a package of measures in 2016 in order to help the industry and stimulate car purchase in Russia.

Shortly after Maserati introduced its concept car Kubang in 2011 at the Frankfurt Motor Show, rumours about the production version of the car have begun to circulate. It didn’t take long for Maserati to confirm its first SUV, symbolically named Levante. The name comes from the street Via Emilia Levante in Bologne where about one hundred years ago the Maserati brothers dreamt about the company that still wears their name.

For Maserati this year has been marked with Levante that will be introduced at Geneva Motor Show. In that way Maserati enters competitive, but profitable luxury SUV market. Air ducts for the first Maserati SUV will be produced namely at AD Plastik’s factories. After a successful development project on grab handles with FCA Group, this time AD Plastik has a role of development partner on the luxury Levante air duct project.

„Above all, mentioned projects mean an increase in realization, that is revenue increase for AD Plastik. Cooperation with Maserati opens up a new business area because, apart from the fact that this is our first joint development project, Levante belongs to the luxury car category with which we haven’t cooperated often so far. This is a proof that we have the knowledge, capacity and the required quality to meet the challenges of the most demanding customers and models in the automotive market,“ said Marinko Došen, President of AD Plastik’s Management Board.

The story with Levante began in the fall of 2014 when request for quotation from Maserati was received and shortly after a cooperation was realized. At the customer’s request, AD Plastik’s constructor Uroš Pavlović last year briefly joined the Maserati’s fluid mechanics experts in Modena. Front air ducts were jointly modeled there with a total of nine components. AD Plastik was responsible for production of air ducts which conduct air for heating/cooling passenger compartment from instrument panel to the rear part of the vehicle. This refers to seven components that will be produced at the Mladenovac factory using blow moulding technology and five injection moulded components that will be produced in Solin. The project is in the final phase, customer’s audits have recently been successfully finished at both factories and start of serial production is planned at the end of February.

A great business opportunity is ahead of Maserati and another more gorgeous SUV – luxury Levante awaits all car nuts.

AD Plastik Group has published temporary and unaudited annual report that confirms the continuation of the positive growth trend of the company’s business results.

In 2015 AD Plastik Group achieved a 15 percent increase of total operating revenue and sales revenue grew by 16 percent compared to the last year and it amounted to more than HRK 1 billion. A 121 percent EBITDA growth was achieved compared to the same period last year and it amounted to HRK 122.4 million. Group’s net profit amounted to HRK 44.3 million, representing a growth of 800 percent compared to the previous year. The parent company in Croatia achieved sales revenue amounting to HRK 753.8 million, representing a growth of 26 percent compared to 2014.

“We made a significant turnoabout in AD Plastik’s business in the last year and business results achieved confirm the correctness of the direction we have started with. That is also supported by the fact that we have increased business revenue of AD Plastik Group by 15 percent despite the complex and demanding situation in Russia, with growth of expenses just by 9 percent. Our main goal for 2016 is further sales revenue growth, increment of EBITDA margin to 12 percent and continuation of reduction in debt obligations according to business plan. In order to improve the profitability and achieve planned business results, our key goals are growth in existing markets, efficiency improvement and strengthening financial stability, opening new business markets and increasing share value to the satisfaction of all our shareholders,” said President of the Management Board Marinko Došen.

Compared to 2014, revenue growth amounting to 37.8 percent was achieved in the EU and Serbian markets. It is a result of a further increase in the utilization of production capacities in Croatia and Serbia. Apart from the Edison project, projects related to the customers PSA and Ford contributed to capacity occupancy.

Although Russian automotive market continues to decline significantly, decrease in sales revenue in Russia has not affected significantly the Group’s planned operating revenue. Factories in Russia have begun production of new projects in the past year – Renault Duster phase 2, new Qashqai and Lada Vesta and it is important to mention winning the nominations for production of new components for Ford. AD Plastik Group  recorded a revenue drop of 21.8 percent in the Russian market, which is considerably less than the overall sales drop of 35.7 percent in the Russian automotive market.

Significant turnabout in operating business management made last year has resulted in realization of planned profitability improvement and in satisfactory financial results that confirm realization of goals set by the Management Board.

AD Plastik is a member of Association of Plastics and Rubber Industries, members of which are most significant Croatian companies from the mentioned sector. Member of the AD Plastik’s Management Board for research, development and sales was elected Vice President at the Electoral Assembly of Association for a term of three years.

President of the Association is Josip Grilec from the company Stražaplastik and 16 members of the Council of the Association have been elected at the Assembly. In accordance with the work plan for the next four years, Association will, among other things, continue with activities related to representing interests of all members, strengthening the sector’s competitiveness and creating new value-added by organizing educational workshops and other activities aimed at educating and informing its members. It will promote the industry and Association members in order to create a positive perception of plastics and rubber industry and will continue to cooperate with national institutions and associations as well as with EU institutions and associations.

Plastics and rubber industry has 654 companies registered or 5.6 percent of total registered companies in the processing industry. 88 percent of companies thereof are engaged in processing of plastics and others are engaged in rubber processing. Production of rubber and plastic products in 2014 participated with three percent in the total revenue of the Croatian processing industry.

Erste Bank has informed that their analysts have raised a one-year target price for AD Plastik share from HRK 105 to 121. Given that the expected yield amounts to approximately 30 percent, recommendation for AD Plastik share for investors has been raised from the level accumulate to the level buy.

They have stated that AD Plastik’s results for the nine months turned out to be better than expected, while profitability in subsidiaries has improved despite the poor situation of the Russian automotive market. For this year Erste analysts predict revenue growth of approximately 17 percent, along with doubling Earnings before Interest Tax Depreciation and Amortization (EBITDA) to approximately HRK 110 million. In the next year growth could slow down to just over three percent but with an additional EBITDA improvement of around eight percent.

Notification also states that, regarding completed investment cycle, capital investments in the next two years could be significantly lower than in previous years, which could release additional liquid assets. AD Plastik Group has already lowered the level of indebtedness in this year and along with expected solid cash flows it seems likely that the company could start pay dividends again and that could trigger a positive market reaction.

Despite the expected revenue drop in the Russian subsidiaries of about 17 percent in this year, analysts estimate that it will be significantly milder than in Russian automotive market for which about 30 percent lower production has been predicted. AD Plastik has succeeded in expanding projects and clients base in the Russian market and the normalization of production process and internal savings have resulted in margin stabilization.

An additional impulse to good results of AD Plastik was recovery of the European automotive market that has ensured full capacity utilization in the parent company. Further revenue growth in the parent company is expected in Erste Bank, although it will slow down compared to the years 2014 and 2015, given the already high base and capacity utilization. Erste Bank emphasized that growth in the parent company has been stimulated by project Edison that got more and more serious in the second half of 2014 and it included deliveries for the vehicles Renault Twingo and Smart 2S and 4S.

AD Plastik had been successfully delivering parts for Soviet car factories from Croatia for years, but after dissolution of the Soviet Union it became clear that the previous model of work will no longer be possible. It was then decided to launch production in Russia, namely as close as possible to the largest AvtoVAZ plant which was known in Croatia thanks to the car Lada. At that time Russia had almost no foreign manufacturers, so the launch of production in 1995 was a praiseworthy undertaking.

The factory was founded under the name PHR which was initially an abbreviation for „Croatian-Russian Plastics“ and then the name was changed over time by employees into „Croatian-Russian friendship“. The factory celebrates its 20 years of existence during which it has been growing and strenghtening and has become a significant chain of AD Plastik Group and today it uses almost all strategic technologies of the Group, including thermoforming, extrusion, injection moulding, non-woven textiles production. Customer portfolio has expanded from AvtoVAZ and GM AvtoVAZ to Ford, Renault, Nissan and PSA Group.

AD Plastik factory has been certified in accordance with ISO TS 16949 standard among the firsts in the Russian Federation and at the time received an award as the best Renault supplier in the Eurasia region.

The factory recently changed its name to AD Plastik and we have no choice but to wish many more successful anniversaries to Russian ADP employees.

Interim report by management of AD Plastik Group and joint stock company AD Plastik for the first nine months of 2015  has been published with continuation of positive sales revenue growth trend. In the first nine months the Group has received HRK 761.7 million sales revenue and has recorded growth of 25 percent compared to the same period last year. EBITDA for the first nine months amounted to HRK 87.7 million, representing a growth of 121 percent compared to the same reporting period last year. Group’s net profit amounted to HRK 32.3 million, representing a growth of 549 percent compared to the first nine months last year. 

The parent company in Croatia achieved revenue in the amount of HRK 569 million, that is a growth of 40 percent compared to the same reporting period last year. Sales revenue decrease in Russia amounting to 17 percent has not had a significant impact on the Group’s revenue stream.

One of the key reasons for the sales growth, compared to the last year, is the full utilization of production capacities in Croatia thanks to the project Edison and projects of PSA Group and Ford. Product portfolio in Serbia has been expanded and delivery of grab handles and blow-moulded products for new destinations has begun.

The Group’s operating revenue with consolidated corresponding ownership share in Euro APS and FADP has recorded a growth of 12 percent in the reporting period compared to the same period last year. EBITDA has recorded a growth of 48 percent compared to the same period last year and amounted to HRK 127.69 million in total. 

During 2015 a significant turnabout has been made regarding operating business management which resulted in realization of determined improvement in profitability and in satisfactory finacial results. Financial results for the first nine months indicate achievement of goals set for current year, more precisely revenue growth at the Group level of at least 12 percent and more than 25 percent in Croatia.“Afore-mentioned results give us grounds for optimism, regardless of the complex situation in Russia. We will continue to focus our business on growth in existing markets and on operational and financial risk management, business optimization, liquidity maintenance and financial liability management. I am sure that in such a manner we will achieve goals set in this year but also create the prerequisites for further growth and development of AD Plastik Group”, said the President of the Management Board Marinko Došen.