2018 Full Year Results RHI Magnesita
Tuesday, May 21, 2019
RHI Magnesita gave end of March its 2018 full year results for the year ended 31 December 2018.
A strong revenue growth of 21 % to EUR 3081 million reflecting increased volumes and commercial and raw material pricing gains (Steel Division revenues up 15 %; Industrial Division revenues up 33 %; and a significant growth in China and India, with revenues up 36 % and 21 % respectively) was achieved. An adjusted EBITA up 81 % to EUR 428 million, representing an adjusted EBITA margin of 13,9 %, 460 bps higher than in 2017: the continued successful integration with synergies of EUR 70 million, exceeding the previously increased target. Benefits of volume and price increases retained through integrated model; and improved efficiency and network optimisation, partially offset by short term operational issues at certain plants and some supply chain challenges during H2.
Chief Executive Officer Stefan Borgas said: “Underpinned by the strength of the markets in which we operate, we have reported very strong financial results, successfully delivered on our integration plans and benefitted from the synergies of the combination. Whilst some uncertainties exist in the macroeconomic outlook for 2019, robust customer markets in the medium term and positive trends in raw material pricing support our expectation to deliver modest organic revenue growth, with improved operating margins from 2018 levels, driven by continued synergy generation and further optimisation initiatives, in addition to further growth potential from