Masterplast Posts Excellent Sales Figures

The building industry insulation materials company Masterplast increased its sales by 108% in the second quarter relying on its strong supply chain, high inventories and market position, according to its half-year report published on the website of the Budapest Stock Exchange.

The sales increase came as the coronavirus situation improved, global construction demand strengthened significantly, while serving the market was hampered by raw material supply problems and price increases, the report says.

The turnover of the new German manufacturing company and the sales of protective clothing started last December contributed to the jump, but the turnover in the core business also increased significantly compared to the low base. The trade margin of the Group increased by higher rate than the turnover growth, thanks to the stable performance of the construction segment, the growing sales of protective clothing and the outstanding profitability of health care textile production in Germany.

The profitability of subsidiaries increased, the capacity utilization of the company's production units and production efficiency also improved. Due to all this, the Company's EBITDA was EUR 8,505 thousand (14,9%), which is more than three times the same period last year, while profit after tax was EUR 6,349 thousand, which was almost 250% higher than the previous year’s base.

After the first half of the year, the Company’s after-tax profit exceeded its full-year 2020 result by more than 40%. For the rest of the year, the company also expects a turbulent raw materials market and favorable insulation industrial environment as a result of the incentives, where the Company - relying on its strong supply chain - forecasts significantly higher earnings than in the previous year's base for the following quarters as well, the report adds.