DIAS S.A. 9month 2008 Consolidated Results Turnover: +30,64%, EBITDA -13,74%
The consolidated Turnover of DIAS Group amounted to EUR 71,6 Mn compared to EUR 54,8 Mn of 2007 presenting an increase of 30,6%. The significant increase in production capacity through acquisitions, the broadening of the client base and the expansion in new markets has further strengthened the turnover and the prospects of the Group.
This excellent performance was overshadowed by the worst circumstances that the sector faced since its birth regarding the sea bream price levels. The above mentioned adverse situation is the result of a distortion in the supply and demand balances caused by all European producers. This situation was further deteriorated by the liquidity problems that some producers faced in European level. Our Group being in a remarkable growth over the last 5 years and having created excellent relations and partnerships with key customers worldwide, achieving nearly zero provisions, ?supported? its outstanding infrastructure and its prospects. This strategy was based on the prediction that this situation is seasonal, as is already apparent.
Therefore, Earnings Before Interest Tax and Depreciation (EBITDA) posted a decrease of 13,7% reaching EUR 10,2 Mn versus EUR 11,8 Mn of the corresponding period of prior year.
Consolidated Pre Tax Profits (EBT) decreased to EUR 4,2 Mn recording a negative change of 49,8% from EUR 8,3 Mn of 2007. The EBT is clearly influenced by the increase in financial expenses and depreciation due to the increased needs in working capital by the significantly higher production and the constant investments in fixed assets but also mainly due to the increase in cost of funds.
Lastly, Earnings After Taxes and Minority Interests (EATAM) declined by 56,8% reaching EUR 2,6 Mn versus EUR 6,1 Mn for the nine month 2007.
Please note that in the Group?s consolidated figures in the nine month period of 2008, the figures of the companies POROS Fishfarming S.A. and SPARFISH S.A. are included for the first time.
Operating in a continuous uncertain and volatile global market environment, DIAS Group achieved to maintain its satisfactory growth rates. Having almost completed its investment plan in production facilities and infrastructures so as to reduce the production costs and being established amongst the top producers in Mediterranean aquaculture, the Group is ready to obtain the benefits of the excellent prospects of the sector. This optimism is mainly based in the real fact that sector' s products are of indisputable nutritional value at very competitive prices. The constant decrease of wild catches internationally combined with the increased consumers emphasis on healthier diet and the further consolidation of the industry at European level, will inevitably lead to increased demand and stabilization of the prices at levels that will ensure highly satisfactory yields.