TenCate protective & safety fabrics market to be develop in H2
23 Aug '07
3 min read
TenCate operating result continues to grow strongly in second quarter (+27%). Sales rose in the second quarter by 13% to € 235 million.
The increase in sales was due in particular to the excellent performance by the TenCate Protective Fabrics market group. On the basis of new products and its technological capacity, TenCate has been successful with protective fabrics, especially for the US Army (Gen 2 / Defender M).
The sales of the market group TenCate Aerospace & Armour Composites continued to lag expectations. An important element of the sales from project orders will however accrue in the second half of the year.
In the synthetic turf sector, start-up costs were incurred in relation to the sizeable increase in capacity, which involved logistical adjustments in the Netherlands.
TenCate Thiolon Middle East came up to expectations and made a strong contribution. The American market for geosynthetics staged a slight recovery at the end of the quarter.
The profit contribution of the recent acquisitions (Roshield and Mattex) in the second quarter was adversely affected by the introduction of IFRS accounting requirements. On the one hand the revaluation of acquired stocks led to (one-off) pressure on margins, while on the other the fair-value determination of tangible and intangible assets resulted in an increase in amortisation / depreciation charges of € 1.1 million.
The operating result rose by 27% from € 15.0 million to € 19.0 million. Organic growth amounted to 14%. The net profit in the second quarter (excluding the result from divestments) rose by 22% to € 13.3 million.
marketing@alchempro.com
