SETTING OUT FOR GROWTH FOUNDATIONS
Strategic Plan Review
TUBACEX closes 2014 successfully overcoming the first phase of its Strategic Plan and in a healthy financial position which enables the company to face the current market situation with strength.
These 1Q 2015 results reflect the progress made by the Group since the launching of the new Strategic Plan. Despite an unfavorable context and significant demand reduction which have defined the beginning of the year, TUBACEX demonstrated higher growth levels than in the same period last year.
Sales increased by 13.9% to the tune of 159.8 million Euros; EBITDA grew 5.7% up to 17.5 million Euros with an EBITDA margin of 10.9% and an EBT amounting to 9.4 million Euros which is 22.8% higher than that of the first quarter of 2014.
At the Shareholders' General Meeting held on May 27th in Llodio, the company took stock of its 2014 performance and the measures implemented in the four axes of the management focus which are the basis of the corporate Strategic Plan.
As for business strategy, the aim of TUBACEX was to gradually increase the weight of Premium products. Secondly, the company has continued to progress in the main focus of its operational strategy based on excellence and continuous improvement as key foundations. On the other hand with the aim of positioning the company as a leading supplier of tubular solutions in the energy sector, TUBACEX acquired the Italian company IBF within the strategic growth focus framework.
TUBACEX invested 23.90 million Euros in 2014 in technical installations and machinery with the aim of reinforcing the strategic development of production capacities at higher expertise level and added value segments.
This operation, along with the integration of Prakash Steelage in Asia announced in February 2015, achieved the Group product range completion and a reinforced presence of the company on key markets. On the other hand, the corporate commitment to organic growth with the creation of TUBACEX Services, a Greenfield project based in Cantabria (Spain), to develop the global offer concept and add on new services for customers.
TUBACEX commitment to improving the company position on the market helped to cover the realm of the strategic plan from a reinforced position. In spite of this, the company was not immune to the oil crisis impact. Aware of this situation which will be maintained in forthcoming months with high levels of uncertainty, TUBACEX continues to trust its solid growth project to achieve a more competitive position.