Romanian plastic products manufacturer TeraPlast Group [BSE:TRP] expects its first-half EBITDA to rise by 32% year-on-year to 40 million lei ($9 million/8.3 million euro).
TeraPlast Group estimates that it will record a turnover of 478 million lei during January-June, up 15% compared to the first half of 2019, it said in a press release.
The projected revenue does not include sales among the seven companies within the group.
"The group’s management has implemented the needed measures to ensure an adequate liquidity and has reduced operating costs where necessary. It is important to focus on restarting the economy and the opportunities that will arise during the following period," TeraPlast Group CFO Ioana Birta said.
Part of these measures is the temporary cut in the salaries of managerial staff by 25%-50%.
The group's EBITDA rose by an annual 32% to 17.4 million lei in the first quarter of 2020, while turnover increased 20% year-on-year to 208.9 million lei, with the units TeraPlast and TeraSteel Serbia the main contributors.
The TeraPlast Group product portfolio comprises several business lines: installation, PVC joinery profiles, compounds, thermal insulating panels, windows, doors and metallic tiles. The group's seven companies are TeraPlast SA, TeraSteel Romania and Serbia, Wetterbest, TeraGlass, TeraPlast Recycling and TeraPlast Hungary.
TeraPlast SA shares traded 1.30% higher at 0.3120 lei as at 1109 CET on Tuesday on the Bucharest Stock Exchange.
(1 euro=4.8396 lei)