TUBACEX sales rise 40.3% to reach €519.9 million
Published by Robyn Wainwright,
Sales in the 3Q18 amounted to €519.9 million, representing a 40.3% increase in relation to the same period in 2017; while EBITDA stood at €55.3 million, 128.5% higher.
TUBACEX continues to have improvements in profits, after the oil and gas sector has recovered from the worst crisis in its history. In the first nine months of the year, the company's sales have increased by 40.3%, amounting to €519.9 million, and EBITDA has stood at €55.3 million, up 128.5% on the same period in 2017. These figures highlight the success of the Group’s strategy of betting on premium high-tech products coupled with operational and commercial improvements. The said strategy has allowed it to obtain a pre-tax profit of €17 million from January to September 2018.
According to Jesús Esmorís, TUBACEX CEO, “despite the macroeconomic uncertainty, there is a progressive revitalisation of our activity. Therefore, short term prospects in the sector are very positive with a large number of projects in the award pipeline, which envisage a recovery for 2019 and project a strong expansion in the sector at least by 2020 and 2021”.
In the first nine months of the year, TUBACEX working capital amounted to €231 million, meaning an increase of €38 million with respect to the end of 2017. This working capital is directly related to multi-annual projects currently at the manufacturing stage, mostly tubes for gas extraction and production (OCTG) and Umbilicals.
TUBACEX sales strategy focuses and translates into multi-annual large-scale projects involving local production and technological development in collaboration with first-class companies in destination countries. Esmorís confirms that “the proof of our success in this strategy is the recent Letter of Intent (LOI) signed with the Egyptian Government to develop nuclear power”.
“Our positioning makes it possible to anticipate TUBACEX active role as a first-class player in the most relevant projects to be developed worldwide in the upstream, conventional electric power and nuclear generation sectors within the forthcoming years”, Esmorís says.
Read the article online at: https://www.worldfertilizer.com/special-reports/05112018/tubacex-sales-rise-403-to-reach-5199-million/
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