13.8% increase in Sales and EBITDA increase of 2.1% for Continuing Operations
S&B Industrial Minerals reported consolidated sales growth of 13.8% for its Continuing Operations in the nine months of 2008, reaching euro 355.8 million, a significant performance on the back of a 17.8% growth in the same period of 2007. For the first time this year, EBITDA outpaced last year's performance, growing by 2.1% to euro 54.7 million, due to the third quarter's performance which reflects anticipated profitability improvements. Operating Profits were ahead of last year, higher by 2.8% at euro 34.4 million, while Net Profits after tax amounted to euro 16 million and were behind last year by 17.5%, however, showing positive progression from the 2008 half year period.
Including the results of its Discontinued Operations, namely Motodynamics and Ergotrak, the Group's revenue declined by 8.6% to euro 367.8 million, Operating Profits declined by 12.2% to euro 34.9 million while Net Profits after tax stood at euro 17.4 million, 26.8% lower than last year's same nine month period. As it has previously been communicated, the 2007 base includes the Discontinued Operations of both commercial subsidiaries, while the nine month period of 2008 includes only Ergotrak for the first six months.
9 Months 2008 9 Months 2007
Sales euro 367,8 million euro 402,6 million
Gross Profit euro 86,6 million euro 103,6 million
EBITDA euro 55,3 million euro 60,4 million
Profit before tax euro 27,9 million euro 33,8 million
Net profit euro 17,4 million euro 23,7 million
Profit after tax and minorities euro 17,2 million euro 22,1 million
The third quarter of this year marks the first period, where S&B results reflect its exclusive focus on industrial mineral activities, fully in line with its announced strategy. S&B has continued to perform well by leveraging both its organic and acquired operations, despite the adverse economic developments impacting the world economy that became particularly acute towards the end of the third quarter.
Commenting on the results for the nine months of 2008, S&B's CEO Efthimios O. Vidalis stated: "In the course of this year, we have acted on our strategy to focus our business on natural resources. The solid operational performance of the third quarter demonstrates the resulting value of our focus. So far, we have been able to offset unprecedented cost volatility and to maintain our leadership positions in the market. As we look to the future for the fourth quarter and 2009, we are proactively preparing to benefit from cost changes and engaging with our customers, in order to adjust to the uncertain environment that is emerging in many of our key markets".
The financial statements will be published in the press on Tuesday, November 18th, 2008 and on the Company's website at www.sandb.com
Investor Relations Department
17 November, 2008
S&B Industrial Minerals S.A. is a multinational Group of companies, its purpose being to provide innovative industrial solutions by developing and transforming natural resources into value creating products. Utilizing the multiple properties of industrial minerals, S&B offers a portfolio of customized solutions for a broad range of applications (including foundry, steel-making, construction & building materials, metallurgy and horticulture), operating responsibly and adhering to the sustainable development principles of the triangle: economy - society - environment. It holds leading positions in its main sectors (bentonite, perlite, bauxite and casting fluxes). S&B was established in Greece in 1934, is listed on the Athens Stock Exchange, is active in 23 countries across 5 continents, it has a Group turnover of over Euro 450 million, and employs around 2,050 people worldwide. For more information, please visit S&B's website at the address www.sandb.com