Fieratex: Increase in sales and return to positive EBITDA in the nine months

Sales growth and return to positive EBITDA in the nine months, on an annual basis, recorded Fieratex.

Specifically, in the third quarter:

The significantly increasing trend of the Turnover was maintained, which amounted to euro 5,204 thousand compared to euro 4,587 thousand in the corresponding period of 2020, recording an increase of 13%.

Profitability was maintained both at the level of earnings before taxes, interest and depreciation EBITDA (euro 521 thousand against euro 181 thousand) and profits before taxes and interest EBIT (euro 355 thousand against euro 24 thousand).

The level of net debt was maintained (euro 5,385 thousand against euro 5,347 thousand and decreased by 921 thousand compared to December 2020. Regarding the first nine months of the year, the company’s turnover amounted to 18,844 thousand euros or 26% higher compared to the corresponding period of 2020.

Earnings before interest, taxes, depreciation and amortization (EBITDA) amounted to Euro 1,802 thousand from losses of Euro 234 thousand last year, while the results before taxes and interest (EBIT) amounted to profits of Euro 1,126 thousand from losses of Euro 1,003 thousand in the corresponding last year. Regarding the net debt of the company on 30/09/2021, it decreased by euro 921 thousand compared to 31/12/2020 while it increased by euro 38 thousand compared to 30/06/2021. Finally, the Company’s Equity improved by 370 thousand euros compared to 30/06/2021, and amounted to 11,319 thousand euros. Regarding the uncertainty and risks of Covid-19, the fourth wave of the pandemic would be possible. to affect the short-term growth prospects of the Greek economy, with a negative impact on the company’s financial figures, however such a development does not seem to be included in the basic scenarios of the forecasts of financial agents and analysts.

In addition, the experience of 2020 shows us that the demand for textiles can be affected only under conditions of general lockdown, and the taking of such a measure has been categorically ruled out by the Government. We estimate that the growth rate of our economy is more likely to slow down due to rising energy costs and the general inflationary pressures exerted on the global economy by the disruption of supply chains due to COVID-19 and the climate crisis. Finally, we point out the expected correction in gross profit margins as more expensive raw materials enter our warehouses and more expensive energy is used in production, increasing the average cost of acquiring stocks. None of the above factors, however, seem capable of substantially differentiating by the end of the year the general picture of the fundamentals of the company that was formed in the nine months.