Mytilineos: We continue our investment plan

“The unprecedented conditions brought about by the Covid-19 have had a serious impact on economic activity, creating an unstable environment globally, affecting almost every sector of the economy. In this context of uncertainty, MYTILINEOS, underpinned by its structural strategic advantages, manages not only to effectively mitigate the shock and turbulence caused by this unexpected crisis, but also to lay the foundations for further growth and better performance in the future. These structural advantages are a result of the synergies between the company’s Business Units, the continuous and successful effort to monitor and reduce costs, the significant available liquidity and the prompt actions in order to cope with the pandemic and its effect. We strongly believe that the country, having managed to effectively handle the first pandemic wave, will broadly rise to the challenges and will also overcome this predicament. MYTILINEOS is firmly working to this direction, continuing on its investment plan, focusing on digital transformation, climate neutrality and the revival of the Greek industry, which constitute the pillars of the national effort for economic recovery. We are confident that by working all together we will succeed,” Evangelos Mytilineos, chairman and CEO of MYTILINEOS said on Wednesday, commenting on the first half results.

Total liquidity exceeds 1.3 billion euros with the Leverage Ratio (Net Debt / EBITDA) remaining significantly below 2x (1.69), despite the company’s ongoing investment program, which is in full deployment.

Turnover fell 6.5 pct to 926.7 million euros from 990.8 million in 2019, EBITDA dropped to 145.1 million euros from 175.3 million in 2019 and net after tax and minorities earnings eased to 69.3 million euros from 81.6 million in 2019. Net borrowing fell to 477 million euros compared with the first quarter.

The electricity and natural gas sector reported higher EBITDA (71 million euros from 50.3 million in 2019). Electricity production was stable at 2.2TWh, with Protergia raising its market share to 7.7 pct in June or more than 250,000 customers.

The metallurgy sector reported a turnover of 241.5 million euros, down from 294.9 million in 2019, while EBITDA eased to 64.3 million euros from 91.6 million.

The renewable energy sources and energy storage sector reported a turnover of 179.1 million euros, up from 72.4 million 2019, while EBITDA jumped to 12.5 million euros from 2.7 million, respectively.

The construction and sustainable development infrastructure sector reported a turnover of 62.4 million euros, down from 163.3 million in 2019.

Economic activity, both in Greece and internationally, is expected to slow down significantly in 2020, due to the effects of the pandemic, with estimates bearing a high degree of uncertainty. On the other hand, significant fiscal support packages in the USA and the EU aim to offset the effects and support economic recovery. For the rest of the year, despite the current fluid environment, the strong recovery of Aluminium prices almost back to the levels prior to the pandemic outbreak, the gradual improvement of domestic electricity consumption and the acceleration of the execution of EPC projects in the Business Units of RSD & SES support optimism for an outstanding performance amidst the current recessionary phase of the global economy, MYTILINEOS said in an announcement.