Ljubljana, Friday, 28 September 2018 – Publication of unaudited business results of the Metallurgy and Poultry Division of the SIJ Group for the first half of 2018.According to unaudited business results of the SIJ Group for the first half of 2018, the Metallurgy and Poultry Division (Perutnina Ptuj Group) have generated EUR 557.8 million sales revenues, resulting in 9 percent growth compared to the first half of 2017. In total, both divisions have preserved the profitability of operations since earnings before interest, taxes, depreciation and amortisation (EBITDA) amounted EUR 57.4 million, remaining stable and approximately at the same level as in the first half of 2017. Total net profit in the first half of this year has reached EUR 13.6 million.
The Metallurgy Division has generated EUR 426.2 million net sales revenue or 10 percent more than in the same period of last year. We have generated more than EUR 37 million higher revenues on foreign and domestic markets. The EBITDA has remained comparable to the same period last year, and is the result of successful management and transfer of strategic material cost to sales prices. EBITDA amounts to EUR 43.8 million despite more than 20 percent growth of strategic material costs in the first half of the year. The costs of material have also increased due to the fact that, in the first half of the year, we have produced the maximum quantities of steel so far – we have cast 260,709 tonnes of steel or 18 percent more than in the same period of last year and produced 204,342 tonnes of finished products or 15 percent more compared to the same period last year. Additionally, we effectively exploit strategic investments for the Metallurgy Division to increase production capacities that were completed in 2017. The NFD/EBITDA indicator also improved simultaneously with the investment cycle slowdown, since in the first half of the year it has amounted to 3.5 and is lower compared to 3.7 of the same period last year.
Poultry Division (Perutnina Ptuj Group) has generated EUR 131.7 million sales revenues in the first half of 2018 or 7 percent more than in the same period of last year, and EBITDA amounted to EUR 13.7 million.
The operation of both divisions in the first half of 2018 have been strongly affected by positive economic environment. Revenues in both activities has been generated on foreign markets, thus preserving our position among the largest Slovenian exporters. Export value has reached EUR 448.5 million or 80.4 percent of total sales revenues. The Metallurgy Division has generated EUR 359.8 million sales revenues or 84.4 percent share of export of total sales, i.e. EUR 23 million more than in the same period last year. Germany, Italy and other European Union countries continue to be our main export markets. Despite the introduction of tariffs on steel import in the United States, one of our key markets, has maintained a stable 9.1 percent share in export. Former Yugoslavian markets are of key importance for the Poultry Division, generating EUR 88.7 million on foreign markets or 67 percent of export. Poultry Division has been strengthening international operations according to our strategy – increasing export to European markets, especially the Austrian and Swiss markets. It also entered to several Middle East countries and there are plans penetrate to the Russian and US market.
SIJ – Slovenska industrija jekla, d.d.
mag. Sara Wagner, Head of Corporate Communications
Phone: +386 1 242 98 27
Mobile phone: +386 41 313 532