Market stabilization has a positive impact on results
The published results of AD Plastik Group’s business operations for the first six months of 2023 indicate slight positive effects of the stabilization of supply chains and the supply of semiconductors. The Group’s operating revenue amounted to EUR 66.04 million and was higher by 14.9 percent compared to the comparative period. The operating revenue of the parent company increased by 17.8 percent and amounted to EUR 49.59 million, while the Group’s revenue in the markets of the European Union and Serbia increased by 26.1 percent.
Earnings before Interest, Taxes, Depreciation and Amortization (EBITDA) at the Group level amounted to EUR 5.28 million and were higher by 114 percent, compared to the same period last year when the achieved EBITDA were normalized for the value adjustment of the assets of the Russian companies. The achieved net profit of the Group for the first six months amounted to EUR 1.27 million, while the net profit of the parent company amounted to EUR 2 million.
“The company’s sales activities are entirely focused on the European market, and new deals worth more than EUR 95 million were sealed in total in the observed period. Our focus is currently on quality preparation and industrialization of projects sealed in the last year and a half. The start of their serial production is planned for the most part during the next year, and our primary task is to ensure all the prerequisites for the smooth realization,“ said the President of the Management Board of AD Plastik Group, Marinko Došen.
Despite further uncertainties in the market, the positive effects of the normalization of supply chains and procurement of semiconductors, as well as the growth of customer orders are evident in the Group’s revenue. The drop in the prices of raw materials and energy sources compared to the comparative period, along with the adjustment of sales prices and better capacity utilization, had a positive impact on profitability and margin trends.
„Due to the geopolitical situation and further uncertainties in the market, there is no room for relaxation, so our commercial activities are focused on finding new projects and production capacity utilization in the following years. The growth of efficiency and profitability are our primary goals in this period, along with the improvement and constant advancement of our development capacities, with which we will adapt our product list to the requirements of car manufacturers and the new vehicles of the future,“ said Marinko Došen.
