Frigoglass to Close Turkish Plant, Shift Production to Romania
Jul 18 14
Frigoglass decided to consolidate its European operations by closing its Turkish plant and relocating production to its plant in Romania. With this step Frigoglass is downsizing its manufacturing capacity to the lower level of demand in Europe over the past few years. The Turkish manufacturing plant of Frigoglass, based in Silivri, in Istanbul province, will cease operations by the end of the current year. The commercial and customer service activities in Turkey will be continued dring the integration period and beyond. The plant in Romania has sufficient capacity to absorb the volume from Turkey and meet any potential future
demand it will maintain its innovation commitment and invest in additional product development resources in Romania.
Frigoglass SAIC Announces Unaudited Consolidated Earnings Results for the First Quarter Ended March 31, 2014; Provides Financial Guidance for the Remainder of the Year 2014
May 8 14
Frigoglass SAIC announced unaudited consolidated earnings results for the first quarter ended March 31, 2014. For the quarter, the company reported net sales revenue was €124,247,000 compared to €140,619,000 for the same period a year ago. Operating profit was €7,891,000 compared to €11,853,000 for the same period a year ago. Loss before tax was €1,465,000 compared to profit before tax of €7,310,000 for the same period a year ago. Loss attributable to equity holders of the company was €3,403,000 or €0.0671 per diluted share compared to profit attributable to equity holders of the company of €3,626,000 or €0.0742 per diluted share for the same period a year ago. EBITDA was €16,078,000 compared to €20,268,000 for the same period a year ago. Net cash used in operating activities was €31,954,000 compared to €66,720,000 for the same period a year ago. Purchase of property, plant and equipment was €1,703,000 compared to €1,686,000 for the same period a year ago. Purchase of intangible assets was €999,000 compared to €686,000 for the same period a year ago. EBITDA in the quarter declined by 20.7% with the respective margin down 150 basis points year-on-year to 12.9%. Adverse currency movements negatively impacted EBITDA in the quarter. Excluding the currency translation impact, EBITDA would have been down 18% year-on-year. The performance of some entities continued to dilute EBITDA margin in this highly volatile global market environment.
For the remainder of the year, the company anticipates lower investments by customers in the emerging markets as trading conditions remain volatile. In Europe, while the overall market environment continues to be challenging, additional risks have emerged following increased macroeconomic uncertainty about Russia. In addition, the recent fire incident in plant in India has resulted in a temporary suspension of the production process, which will lead to significantly lower sales this year. The company will resume supply to customers as soon as possible and build on strengthened relationships to grow presence in India. In Europe, the company addressing the current market challenges by offering customers an innovative, value creating new service offering for which currently running a pilot implementation. In Africa, the company making good progress in the implementation of unique value proposition, combining Cooler and Glass bottle businesses and leveraging strong local manufacturing base in the continent with the projected future growth rates. Prudent capital spending, continued inventory reduction as well as the further execution of cost reduction programs will help to improve Cash Flows and cushion the impact of current market weakness.
Frigoglass SAIC, Annual General Meeting, May 27, 2014
May 7 14
Frigoglass SAIC, Annual General Meeting, May 27, 2014., at 10:00 E. Europe Standard Time. Location: Amphitheatre of GAIA centre at the Museum of Natural History. Agenda: To submit management report by the Board of Directors and of the audit certificate of the company's chartered auditor-accountant on financial statements and activities for the fiscal year 2013; to approve annual financial statements for the year 2013, including Board of Directors report and the audit certificate of the company's chartered auditor-accountant; to discharge Directors and auditors from any liability for their activity during the year 2013; to approve remuneration of Directors for their participation in the meetings of the Board of Directors and their services to the company for the year 2013 and pre-approval of their remuneration for the year 2014; to elect auditors for the year 2014 and determine remuneration; to elect directors; to introduce stock option plan for the Board members and the employees and of its affiliates and granting of respective authorizations to the Board of Directors.