SAPEC As regards the Group's overall operation, Agro Business has continued to grow, recording a strong increase in 2015 in its earnings before taxes. In Portugal, logistics and distribution of chemical products improved their operating results, the former due to an improved business momentum and the latter due to restructuring implemented. Our interest in the environmental sector in Portugal was subject to a strategic assessment, we sold our stake in Ecosourcing to our partner Carmona and adjusted the value of our stake in CITRI, as a result of the offer under discussion.
In Spain, Interpec Iberica has continued to focus on Argentinean soybean products, closing the year with a significant improvement compared to 2014.
The consolidated EBITDA for the entire Group amounts to 31,576 k€ at the end of 2015 compared to 28,515 k€ at the end of 2014 (recurring EBITDA increasing from 31,622 k€ in 2014 to 35,470 k€ in 2015, i.e., +12%) and the result of the period dropped from -232 k€ in 2014 to -1,731 k€ in 2015, as a result of the -5,486 k€ impairment recorded in the stake in the environmental sector.
In 2015, Agro Business, which covers the crop protection and crop nutrition activities, recorded an increase in its recurring results, significantly reducing its working capital and increasing its net income thanks to a sharp decrease in financial charges. The crop nutrition sector was able to offset the loss of a major national client in Italy by increasing its market share in Spain, despite the adverse weather conditions caused by a long drought, and by the improvement of its French subsidiary. The progressive utilization of non-recourse factoring reduced working capital needs and the interest expenses incurred by the sector. Crop nutrition results, in Spain and abroad, rose significantly compared to 2014. A positive trend of sales and average gross margins was noted in almost all regions. Despite significant exchange losses on the Brazilian Real and the impact of the stock buybacks in the first half-year in the Brazilian subsidiary, the sector's operating results improved considerably.
In the chemical distribution sector, market situation is still weak. Measures taken for the reorganisation and renewal of management allowed the sector to adapt to the new market context. Recurring operating results increased strongly compared to 2014. Prospects are good and there is potential for improving profitability in the short term.
Regarding the environment, we believe that the best option for the Group, taking into account market growth and existing strong competition, is to sell this asset. The sector is consolidating and others can take advantage, even better than us, of the synergies with CITRI. Talks are currently in progress with a prospective buyer and a "binding offer" is under discussion. A significant impairment on the value of our investment in this sector should be recorded.
In agro commodities distribution, the volume of business was further reduced in order to focus exclusively on soybean products. Results were up compared to 2014, a year still affected by the reorganization measures undertaken. Risks are under control and the sector has strongly reduced its working capital requirements. However, in 2015, we were still unable to sell our liquid bulk port terminal in Cadiz.
For the logistics sector, operating profits are still negative, but significantly improving compared to 2014. The "turnaround" of the inland terminal activity continues and this activity recorded sales growth throughout the year. Unfortunately, the port workers' strike in Lisbon from November 2015 and the strong slowdown of Portuguese exports to Angola, in particular, affected the end of the year. The port terminal and its two subsidiaries increased operating results compared to 2014.
(in k€) | 31-12-2015 | 31-12-2014 |
Revenue Operating profit (loss) of which: recurring non-recurring Gain (loss) on disposal of non current assets Gain (loss) on investments Operating profit (loss) after impact of disposal of non current assets and investments of which: recurring non-recurring Net financial result Share in net income of equity method investments Profit (loss) before income tax of which: recurring non-recurring Income Tax Net profit (loss) for the year from continuing operations Net profit (loss) for the year from discontinued operations Net profit (loss) for the year including discontinued operations Attributable to non-controlling interests Attributable to the shareholders of parent company | 392,078 20,429 24,770 -4,341 385 62 20,876 24,770 -3,894 -12,804 105 8,177 12,071 -3,894 -4,101 4,076 -5,807 -1,731 -96 -1,827 | 441,877 17,664 21,443 -6,779 672 - 18,337 21,443 -3,106 -17,307 94 1,124 4,230 -3,106 1,575 2,699 -2,931 -232 4 -228 |
EBITDA of which: recurring non-recurring | 31,896 35,790 -3,894 | 28,515 31,621 -3,106 |
Per share data (EUR) Number of shares Earnings per share | 1,355,000 -1.35 | 1,355,000 -0.17 |
EBITDA per share | 23.65 | 21.14 |
Definition of terms used in this document:
GROSS MARGIN: industrial value added.
NET MARGIN: industrial value added less costs of commercial structures. EBITDA: earnings before depreciation and amortisation, financial charges and taxes.
REBITDA: earnings before depreciation and amortisation, financial charges and taxes, before non-recurring items. CASH FLOW: consolidated net result plus depreciation and amortisation.
NET DEBT: financial debt less cash and cash equivalents.
Sapec SA issued this content on 31 March 2016 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 07 April 2016 12:09:11 UTC
Original Document: http://www.sapec.be/images/2016/Extrait-du-rapport-de-Gestion-31032016_EN-última-versão.pdf
