Unior FY 2019 Results

In the FY 2019, the company recorded an increase in sales of 3.9%, increase in EBITDA of 5.9% and a decrease in net profit of 14.2%.

As Unior Group published their FY 2019 report, we are bringing you key takes from it. According to the report, the company reported sales of EUR 256.0m, representing an increase of 3.9% YoY or EUR 9.5m.

On an unconsolidated level, Unior d.d. generated EUR 175.4m in net sales, representing an increase of 1.7% YoY. Unior operates in the forgings industry, which supplies its products almost exclusively to the automotive industry. During the year, Unior was facing slightly lower order status, with orders decreasing significantly at the end of the year, especially in December. Consequently, they produced 1% YoY less of forgings. The sales structure has changed as the share of connecting rods has increased and the proportion of forged gears sold has decreased, while the share of sales to the two largest customers, VW and ZF, has decreased. The largest increase in revenue was witnessed on the mechanical engineering segment, where this year the dynamics and value of sales were completely different from the last year, rising by 37% (5% higher than planned) and have amounted to EUR 22.8m.

When observing operating expenses on a Group level, they amounted to EUR 246.5m (+1.7% or EUR 4.1m). Such an increase could mostly be attributed to higher service costs by EUR 3.0m , higher amortization (+EUR 2.1m) and higher employee expenses by EUR 1.3m. Operating income of the company increased by EUR 4.6m and grew 1.8% YoY which has resulted in growth of operating profitability.

Going further down the P&L, EBITDA amounted to 32.0m representing a solid increase of 5.9%. As a result, EBITDA margin stood at 12.5% (+0.24 p.p. YoY). Operating profit amounted to EUR 15.6m, showing an increase of 3.8% YoY.

Despite the solid top-line growth, the company recorded a decrease in net profit of 14.2%, amounting to EUR 10.4m. Such a result puts the profit margin at 4.1% (-0.9 p.p. YoY). The decrease came on the back of a lower net financial result by EUR 2.7m. Lower financial result was due to lower payment of profits from associated companies than in 2018 and due to additional expense for a commercial dispute in the amount of EUR 1m.

Turning our attention to CAPEX, the Group recorded new investment in fixed assets of EUR 20.5m in the FY 2019. Out of which EUR 3.2m in intangible assets, EUR 17.4m in tangible fixed assets. Investments in the metal industry have amounted to EUR 18.5m, while those in the tourism sector have totaled EUR 2.1m.

Category : Flash News

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