During the first semester 2016 the Campine Group achieved a revenue of 85,864 K€, which is almost identical to the one of last year (2015: 86,250 K€).
The operational result reached 1,988 K€, compared to 3,845 K€ in 2015 (-48 %). The actual result of closed hedge transactions amounted to a profit of 573 K€ (2015: -964 K€). The sum of these two items gives a result on 30 June 2016 almost similar to the one of 2015.
Including the change in the fair value on the open position of the lead hedging on 30 June 2016 (required by IFRS standards), the total impact of the lead hedging resulted in a profit of 317 K€ (2015: loss of -421 K€).
The remaining part of the net financial result amounted to a loss of -222 K€ compared to a loss of -299 K€ in 2015.
Profit after taxes amounted to 1,352 K€, compared with a profit of 2,199 K€ in 2015 (-39 %).
Results per business unit:
Lead: Turnover increased to 53,097 K€ (49,747 K€ in 2015) (+7 %). Our volume increased significantly to 30,141 mT (27,297 mT in 2015) (+10 %).
The LME lead prices, which are the basis of our sales prices, moved between 1.468 €/mT and 1.731 €/mT in the first semester starting from 1.615 €/mT at the beginning of January to end June at 1.602 €/mT with a high around 1.731 €/mT at the beginning of March.
Antimony: Although the sales volume improved steeply to 5,843 mT (4,575 mT in 2015)
(+28 %), turnover declined significantly to 25,277 K€ (27,996 K€ in 2015) (-10 %). This is due to the fact that the metal price of the first quarter 2016 was considerably lower than the one of the year before.
Plastics: Turnover rose to 12,111 K€ (11,443 K€ in 2015) (+6 %), while the volume increased considerably to 3,080 mT (2,673 mT in 2015) (+15 %). The higher proportion of toll-work rather than direct sales, was the main reason for the decrease in our average sales price during the first semester.
Perspectives full year 2016
In the first six months, customer demand was in line with budget and we expect this trend to continue in the second semester. Both in antimony and lead the metal price trend is upwards, which normally has a positive effect on the margins.
The combination of these two factors should generate a positive result in the second semester.
Campine expects to achieve a better result in 2016 compared with 2015. The full year result can however be affected by the risks and uncertainties described in the following section.
In annex you'll find the full version of the press release.
