Technological watch

Positive trend of Piovan goes on

The Board of Directors of Piovan reviewed and approved the Periodic Financial Information as of September 30, 2021. “The results obtained in these first nine months of 2021 confirm a strong growth in sales volumes in line with the excellent trends of the previous months, with a substantial increase in margins resulting in a positive cash generation, a fundamental condition for considering any processes of future aggregation”, declared Nicola Piovan (picture in the centre), Executive Chairman. “We are proud of these results, obtained with the continuous commitment of Piovan Group in the field of sustainability and circular economy, as also certified by the issuance of the ESG rating obtained from Sustainalytics. In addition, the Group has the ambition to be among the leading companies, on a global scale, in the conversion towards a sustainable production and circular economy in the field of products made out of plastic polymers”, added Filippo Zuppichin, Chief Executive Officer.

Consolidated revenue and other income

Piovan Group reported revenue and other income of 210.9 million euros in the first nine months of 2021, increasing by 38.5% from 152.3 million euros in the first nine months of 2020. Excluding revenues recognized by Doteco Group and Studio Ponte, consolidated from October 1, 2020, total revenues and other income in the first nine months of 2021 amounted to 195.1 million euros, up 28.1% on the same period of 2020.

Other revenue and income, which was up 67.6% on the first nine months of 2020, include non-recurring revenue related to the 1.6 million euros grant that Unadyn received from the US government under the Paycheck Protection Program launched in 2020 in response to the pandemic. Excluding these non-recurring revenues, total revenues and other income amounted to 209.3 million euros, with an increase of 37.5% compared to the same period of 2020.

In the first nine months of 2021, Piovan Group core revenue alone amounted to 206.1 million euros, increasing by 37.9% on 149.4 million euros in the first nine months of 2020. Revenue calculated on a like-for-like basis (i.e. at the first nine months of 2020 average exchange rate) would have been 2.9 million euros higher at 209 million euros and an increase of 39.9% on the first nine months of 2020. Revenue was in fact mainly impacted by a negative effect from US Dollar and Brazilian Real movements.

The revenue by market indicates that Plastic Systems revenue increased by 36.6% compared to the same period of the previous year, which had been impacted by the Covid-19 travel restrictions, driven by marked growth in (traditional and recycled) packaging and in consumer goods.

Revenue by region

Revenues in the Emea area posted record growth of 43.4% over the first nine months of 2020, benefiting from the strong performance of the Plastic segment and excellent growth in the Food and Non-plastic market (+48% for the first nine months of 2021 compared to the same period of 2020).

Asia and North America grew by 28.0% and 26.8%, respectively, in 2021 on 2020, with revenues increasing in both the Plastic and Services markets. North America posted growth in all sectors, with the exception of automotive, on the strength of Food and Non-plastic, where revenues accounted for more than 7% of the area total (vs. 0.2% for the same period of 2020). In Asia, growth was spotty, with the regions of southeast Asia

continuing to feel the effects of the Covid-19 pandemic and China showing a slower-than-expected recovery. Within this context of greater uncertainty than in other regions, the Group is increasing market share compared to the leading competitors.

South American market also posted a strong performance (+36.6% in revenues compared to the first nine months of 2020) thanks, above all, to revenues in Food and Non-plastic (+126%) and in Services (+34%).

Consolidated operating and net results

In the first nine months of 2021, Ebitda improved both in absolute value and in terms of profitability, totaling 30.9 million euros, an increase of 54.5% compared to 20 million euros in the same period of the previous year, with a percentage incidence on revenues and other income equal to 14.7% compared to 13.1% in the same period of the financial year 2020. On a like-for-like basis of consolidation and excluding non-recurring revenues, the gross operating margin (Ebitda) amounts to 26.5 million euros, with an increase in this case of 32.4%.

Ebitda profitability increased from 13.1% for the first nine months of 2020 to 14.7% in the first nine months of 2021, having benefited from the increase in sales volumes and the grant received as mentioned above. Without this grant, the Ebitda is equal to 29.4 million euros, with a percentage incidence on revenues and other income equal to 14% compared to 13.1% in the same period of the financial year 2020.

In the first nine months of 2021, operating profit was 25.7 million euros, improving by 61.1% on 15.9 million euros in the same period of the previous year, with a profitability over revenue and other income of 12.2% (10.5% in the same period of 2020). On a like-for-like basis of consolidation and excluding non-recurring revenues, the operating result amounts to 21.7 million euros, up by 36% in this case.

In the first nine months of 2021, net profit was 18.4 million euros, with a revenue and other income margin of 8.7%, up by 75.4% from the 10.5 million euros in the same period of the previous year. On a like-for-like basis of consolidation and excluding non-recurring revenues, the profit for the year amounts to 15 million euros, increasing in this case by 43.3%.

The consolidated net financial position at September 30, 2021 was positive and equal to 3.7 million euros, compared to positive 4 million euros at December 31, 2020 and to 2.6 million euros at September 30, 2020. The consolidated net financial position at September 30, 2021 would amount to 14.1 million euros (compared to 14.4 million euros at December 31, 2020).



Publication date: 17/11/2021

Macplas

This project has been co-funded with the support of the LIFE financial instrument of the European Union [LIFE17 ENV/ES/000438] Life programme

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Last update: 2020-07-14