To put things into perspective, the deals make up for 6% of the company’s 2018 operating consolidated revenues. Although contracts have a multi-year duration, in our view an increase in contract backlog further fosters the stability and growth prospects of the company.

AD Plastik published an announcement stating that they have concluded new deals for the European market, including also the first deal for the Hungarian market since the acquisition of the company Tisza Automotive.

The value of the deals amounts to EUR 10.2m which, to put things into perspective, makes up for 6% of the company’s 2018 operating consolidated revenues.

Of that, deal on production of radar brackets for the vehicle Renault Traffic has been concluded with the total project value of EUR 1.5m. The start production is planned in 2020 with a projected duration of 7 years. Next, deals on the production of light housing have also been concluded with the customer Hella for the vehicles Nissan Navara and Volvo V40 with a value of EUR 5.1m. The start of production is planned in 2019 with a projected duration of 3 years.

Finally, deals for the vehicles Suzuki Vitara and S Cross, Audi A3 and Audi A3 CC and BMW 3 were agreed for the Hungarian market. The value of the deals amounts to EUR 3.6m.

Although contracts have a multi-year duration, in our view an increase in contract backlog further fosters the stability and growth prospects of the company.