Nov. 21, 2019 - Nabaltec AG once again reported growth in revenues and earnings in the first nine months of 2019. Consolidated revenues came to EUR 141.3 million in the reporting period, up from EUR 135.3 million last year (for a gain of 4.4%). Quarterly revenues were EUR 43.9 million, up 0.9% from the same quarter of last year.
EBIT reached EUR 17.3 million in the first nine months of 2019, 1.2% higher than the preliminary figure of EUR 17.1 million and up 23.6% from the year before (EUR 14.0 million), for an EBIT margin of 12.3% in the reporting period (EBIT as a percentage of total performance). The company reported EBITDA of EUR 27.4 million, compared to EUR 23.0 million in the same period of last year (up 19.1%).
"Despite revenues and earnings which represent the highest ever for a third quarter, results have fallen short of our expectations. In particular, revenues in the 'Specialty Alumina' product segment were down sharply in the past quarter, while demand in the 'Functional Fillers' product segment has been largely stable. The trend in the boehmite product range has been especially positive, with revenues up 63.2% in the third quarter," said Johannes Heckmann, CEO of Nabaltec AG.
Revenues in the "Functional Fillers" product segment were up 7.2% in the third quarter, climbing to EUR 29.9 million from EUR 27.9 million in the same period of last year. Over the first nine months of 2019, revenues in this product segment therefore amounted to EUR 96.2 million, compared to EUR 87.9 million in the same period of last year (up 9.4%). Revenues in the "Specialty Alumina" product segment amounted to EUR 14.0 million in the third quarter, down 10.3% from the same quarter of last year (EUR 15.6 million). Over the first nine months of 2019, revenues in this product segment amounted to EUR 45.1 million, compared to EUR 47.3 million in the same period of last year (down 4.7%).
"The weakening in the refractory industry as a result of the downturn in the European steel industry has not left us entirely unscathed," Johannes Heckmann continued. "The market environment is becoming more difficult, particularly in Europe. In addition, production at our subsidiary Nashtec has yet to reach expected levels due to technical problems. Additional measures will be implemented in the fourth quarter of 2019 in order to normalize production as of 2020. These developments induced us to revise our 2019 revenue estimate in October. If revenues fall within the new range, EUR 181 million to EUR 184 million, they would once again exceed last year's revenues of EUR 176.7 million, despite recent developments." The earnings estimate for 2019 as a whole, calling for an EBIT margin in a range from 10.0% to 12.0%, was confirmed. The EBIT margin in 2018 was 10.4%.