Home » Klockner Pentaplast Announces Sixth Consecutive Year of Revenue Growth
The Klöckner Pentaplast Group has announced a successful operational and financial performance in the financial year 2013-2014.
Klöckner Pentaplast reported an improvement in all key financials despite a tenser economic environment in some of the company’s core markets. Net Sales increased slightly from $1.46 million to $1.48 million. In the same period, Adjusted EBITDA improved by 6 percent from $215 million to $225 million, clearly depicting that also in its third year of implementation, Klöckner Pentaplast’s strategy continued to pay off.
The company also increased its cash flow from operating activities to $175 million (previous year: $171 million). Klöckner Pentaplast’s supreme operative performance and associated high free cash flow generation allowed the company to continuously deleverage its balance sheet, resulting in an even healthier financial profile. Net debt decreased by $26 million to $503 millions (previous year: $529 millions).
Christian Holtmann, CEO of Klöckner Pentaplast Group says, "The fact that we increase our profitability year by year – even in times of a more challenging economic environment – does not only reflect that we have the right strategy in place, but also that our business model is resilient through economic cycles.”
Klöckner Pentaplast’s strategy “grow the core, extend the reach, expand the breadth” was launched in 2011 and has been a guarantor of Klöckner Pentaplast’s growth ever since. As a part of this strategy, Klöckner Pentaplast has continuously implemented several initiatives to further enhance the company’s operational excellence, market leadership, brand promise, and relationship with high-value customers. The second phase of the strategy was started in May 2014. Particular focus is on shaping a more global and customer centric organization that is governed by the company’s customer industry segments. The strategic realignment aims at further strengthening Klöckner Pentaplast’s effectiveness, flexibility, and ability to anticipate and meet customer needs. The establishment of one
management team with global responsibilities is one of the most important milestones that have already been achieved.
Klöckner Pentaplast’s strategy is backed by significant investments in growing and attractive markets, resulting in a Capex of $50 million in the fiscal year 2013-2014. Inter alia, the company has further expanded its capacities in Cotia, Brazil and Newport/Crumlin, Great Britain.
Klöckner Pentaplast’s development is further fueled by the continuous attraction of new and highly skilled talent. In the financial year 2013/2014, the number of employees rose by 113 to 3,215 (previous year 3,103).
"Over the past year we once again deleveraged our balance sheet without neglecting the vital investments for the company’s future growth. I am convinced that we managed to strike a very healthy balance," says Markus Hölzl, CFO of the Klöckner Pentaplast Group.
Christian Holtmann, CEO of Klöckner Pentaplast Group, says: “In the future we will continue to execute against our successful strategy which is fully supported by our long term oriented owners led by SVP. In the next year, we will put a particular focus on putting our customers at the very center of our business activities. We will further intensify the cooperation, e.g. by implementing further initiatives to enhance our customer management and by conducting joint innovation projects. At the same time, we will continue to expand our operations in attractive markets and business fields.”
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