Titan FY16 results bring net profits of EUR278.6m

Titan Group's 2016 financial results recorded a significant improvement in profitability, thanks to the continuing growth of the US market and the recovery of results in Egypt. Consolidated turnover reached EUR1509m, posting an eight per cent increase compared to 2015. EBITDA increased by 28.7 per cent to EUR278.6m while net profit after minority interests and tax provision, stood at EUR127.4m, compared to EUR33.8m in 2015.

In the fourth quarter of 2016, the group maintained the strong momentum prevailing during the year, owing to the contribution of the US and the improved results of its Egyptian operations. Group turnover increased by 4.5 per cent to EUR384.9m, while group EBITDA increased by 43.6 per cent, reaching EUR73.6m Net profit after minority interests and the provision for taxes, stood at EUR5.5m, versus a loss of EUR2.4m in the fourth quarter of 2015.

Total turnover in the US for 2016 advanced by 16.9 per cent at EUR794.4m, while EBITDA rose by 44 per cent to EUR145.2m. The US accounted for 52 per cent of group sales in 2016.

The Greek market accounted for six per cent of total group cement sales with the construction sector hitting 50-year lows. Most of the Greek cement production was exported. Total turnover from Greece and western Europe operations in 2016 was EUR261.3m, 2.8 per cent down on 2015. EBITDA reached EUR36.4m, versus EUR44.8m in 2015.

Group turnover in southeastern Europe posted a decline of two per cent and reached EUR204.3m, while EBITDA rose to EUR56.2m.

Egyptian cement sales grew by five per cent, although the devaluation of the Egyptian pound had a negative impact. Still, turnover improved by 3.5 per cent in Euro-terms to EUR249.2m. EBITDA reached EUR40.8m compared to EUR15m in 2015.

In Turkey, Adocim in which Titan has a 50 per cent share, net profits stood as EUR3.6m - a decline of 14 per cent on 2015.

In addition to the EUR99.1m investment in Cimento Apodi in Brazil in 3Q16, group capital expenditure stood at EUR151m compared to EUR173m in 2015. Group net debt stood at EUR661m, EUR39m higher than at the end of 2015.