in 2016 , Orzeł Biały Group increased its profitability in the area of core operations from 2.8% to 5.2% y-o-y, mainly due to increased efficiency of production processes, a cost-effective structure of the inputs as well as consistent focus on recycling activities and the production of refined lead.
- Orzeł Biały Group generated revenues of PLN 537.3 million, up 5.7% y-o-y.
- EBITDA of the Group (result on operating activities plus depreciation & amortisation), before adjusting for goodwill and shares in affiliates in the total amount of 9 million, amounted to PLN 28 million, while in 2015 it was PLN 25.4 million.
- In the area of operations, the volume of lead sold in 2016 amounted to 65.7 thousand metric tonnes, up 5.5% y-o-y, while the share of more technologically advanced alloys increased in the entire sales structure.
In 2016, Orzeł Biały Group recorded an increase in revenues to PLN 537.3 million, mainly due to the increase in the volume of lead alloys sold at 5.5% and to the increased LME lead prices. The change in the structure of sold products towards increasing the share of advanced lead alloys also contributed to the increase in revenues. Revenues from sales are adjusted by the result on hedging transactions, whose balance in 2016 affected revenues down by PLN 17.1 million, while in 2015 it increased by PLN 11.7 million.
The volumes of sold lead was on a record level and amounted to 65.7 thousand metric tonnes. Orzeł Biały Group systematically increases the share of technologically advanced lead alloys in its sales structure. The activities of the Research and Development Centre of the Company contributes to the development of research on new lead alloys and modification of existing ones.
“2016 can be summarised as a good year for our Group, the basic stated objectives have been met, key indicators achieved, and the core business of the Group is steadily growing. We have done a lot in order to reorganise the structure of the Group, increase quality and efficiency, which translates into an increase in our competitiveness.
However, it is too early to talk about full satisfaction, we have no influence on business fluctuations and volatility in our industry, which are substantial, so it will be a big challenge to maintain the achieved level of profitability, but I have the conviction that the right-sizing and focus on the core business of the Group will help it to be able to quickly and flexibly respond to changing market environment and better cope with external factors which in our sector may make or break our performance and results to be achieved by Orzeł Biały Group” – says Michael Rohde Pedersen, President of the Management Board of Orzeł Biały.