(Alliance News) - Valtecne Spa announced Thursday that its board of directors approved the half-year report as of June 30, reporting a profit of EUR2.4 million, up 46 percent from the first half of 2022, when the result was EUR1.6 million.

Sales revenue amounted to EUR17.0 million, up 25 percent from EUR13.6 million in the same period of 2022. The growth is mainly attributable to the Medical business line, whose revenues increased by 48.% compared to the first half of 2022, while revenues from the Industrial business line were in line with the same period last year.

Value of production is EUR17.1 million up from EUR13.9 million in H1 2022, an increase of 23 percent.

Ebitda amounted to EUR4.0 million, up from EUR2.8 million in the same period of 2022, "thanks to the optimization of the mix in favor of the medical business line and cost control," the company points out. Ebitda margin, calculated on the value of production, rises from 19.8 percent to 23.2 percent. Adjusted Ebitda is EUR4.6 million up from EUR3.1 million in the first half of 2022.

Ebit is EUR3.3 million up 47 percent from EUR2.2 million in the same period of 2022.

Net financial debt is EUR400,000 cash positive compared to EUR5.0 million as of December 31, 2022. "A large part of this very significant improvement is attributable to the resources raised in capital increase at the IPO on the Euronext Growth Milan market," the company points out.

As for the rest of the year, "the revenue trend could show some seasonality due to the stock production contracts in place with some customers," the company note reads, "This could result in the postponement of the invoicing of part of the production volumes realized in the final months of 2023, in line with the orders in the portfolio, in the following year. For the company, the second half of the year is in any case structurally less productive than the first because it includes fewer working days."

After a period of substantial volume stability that lasted from the post-Covid recovery that began in the last months of 2020, the Industrial business line began to show some small signs of shrinking order backlog in the more traditional supply chains. "In management's opinion, the phenomenon-assuming, and not granted, that it finds confirmation in the latter part of the year-is not a cause for concern, since it does not have a structural character and affects a limited part of the product portfolio," the company points out.

Valtecne's stock trades up 2.8 percent at EUR4.48 per share.

By Chiara Bruschi, Alliance News reporter

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