February 26 (SeeNews) - Romanian plastic products manufacturer Teraplast Group [BSE:TRP] said on Tuesday its consolidated net profit rose by 24% on the year to 23.1 million lei ($5.5 million/4.9 million euro) in 2018.
The company's consolidated operating result for 2018 stood at 35.4 million lei, up from 24.2 million lei in the previous year, Teraplast said in a financial statement.
Teraplast's turnover amounted to 805 million lei in 2018, surging 91% year-on-year, due to the accelerated development of the steel division, supported by expansion on the Serbian market and the consolidation of Depaco.
In January 2018, Teraplast took control of local roof tiles producer Depaco by increasing its stake in the company to 67% and said it targeted 100% ownership.
In 2017 the group opened its TeraSteel sandwich panels factory in Serbia, and received the approval of Romania's anti-trust regulator for the takeover of plastic products manufacturer Politub.
Consolidated EBITDA increased by an annual 55%, to 65 million lei.
The achievements are the result of the integration of new businesses, of product portfolio development, as well as constant investments in the production lines.
"We’ve managed, through sustained investments, to strengthen our position on the regional markets, developing all our business segments. Both Steel and Plastics divisions registered two-figures growth indicators. In 2018 we completed the investment in the rigid PVC recycling unit, which places our company on the first place in Romania and among the top 10 rigid PVC recyclers in Europe, by processing capacity," Teraplast Group CEO Ioana Birta said.
In November, TeraPlast received government financing in the amount of 6.8 million euro ($7.6 million) for three investment projects worth a total of 15 million euro.
Teraplast shares traded 2.28% lower at 0.2570 lei on the BVB by 1514 CET on Tuesday.
(1 euro=4.7617 lei)