2020 FIRST HALF SALES: COIL CONFIRMS ITS RESILIENCE IN A VERY CHALLENGING MARKET

2020 FIRST HALF SALES:
COIL CONFIRMS ITS RESILIENCE IN A VERY CHALLENGING MARKET

COIL, world leader in aluminium anodising, announces sales of €11.7 million for the first half of 2020, a limited decrease of 3% compared to the first half of 2019. The development of Package Sales (+97%), where the Company supplies continuous anodised aluminium directly to the end customer, offset the fall in Tolling Services (-19%) as a direct result of the COVID-19 health crisis.

v  Sales evolution by quarter and by activity

v  Contraction of tolling activities in a deteriorating economic environment

Sales of tolling services were affected by the health crisis linked to the Covid-19 pandemic, which led to a deterioration in the rolling mill and distribution market with business interruptions, destocking and a downward revision of short-term forecasts. In this context, tolling sales over the first half of the year (€8.52 million) were down by 19% compared to the first half of 2019 representing 72.9% of half-year sales, compared with 86.7% in the same period in 2019. The company responded rapidly by in demand by restructuring its production capacity in Belgium and Germany in order to make its costs as variable as possible. The company has continued to operate throughout the crisis.

v  Ongoing strong growth in Package Sales and sales diversification

Package Sales confirm the dynamic growth of the Company's direct sales to a worldwide customer base under the ALOXIDE^® brand. With nearly 550 tons of anodised aluminium delivered during the first half, sales of these products amounted to €3.2 million, up 97% compared to the first half 2019, and represented 27.1% of the half-year sales, compared to 13.3% in the same period in 2019. These developments will strengthen the Company's position in new high-end markets in Europe and Asia; the company continues to record high order intake on the back of a comprehensive sales plan and ambitious marketing initiatives.

v  Outlook

Business in the first half of 2020 has confirmed the strategy pursued by the Company in recent years to diversify its end-markets and introduce new products. In a highly uncertain global economic environment, it remains very difficult to forecast business trends for the rest of the year. Despite these uncertainties, the Company is confident in its long-term development prospects thanks to a unique range of premium anodised products, an optimised industrial structure and a growing global commercial presence.

v  Agenda

About COIL

COIL is the world's leading anodiser in the building and industrial sectors and trades under the ALOXIDEÒ brand name.

Anodising is an electrochemical process which develops a natural, protective oxide layer on the surface of aluminium and can be coloured in a range of UV-proof finishes. It gives the metal excellent resistance to corrosion and/or reinforces its functional qualities. Anodising preserves all the natural and ecological properties of aluminium; it retains its high rigidity and excellent strength-to-weight ratio, its non-magnetic properties, its exceptional resistance to corrosion. The metal remains totally and repeatedly recyclable through simple re-melting. Anodised aluminium is used in a wide variety of industries and applications: architecture, design, manufacturing and the automotive sector.
  
COIL deploys an industrial model that creates value by leveraging its unique know-how, its operational excellence, the quality of its investments and the expertise of its people. COIL has around 130 employees in Belgium and Germany and generated a turnover of around €30 million in 2019.

Listed on Euronext Growth Paris | Isin: BE0160342011 | Reuters: ALCOI.PA | Bloomberg: ALCOI: FP

For more information, please visit www.aloxide.com

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¹ Anodisation and metal included

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