Mercator Medical, a manufacturer and supplier of single-use gloves in the markets of nearly 70 countries in the world, …
Press releases
Mercator Medical improves its results each quarter in 2019
29.11.2019
Selected financial results:
| 2018 | Q1 2019 | Q2 2019 | Q3 2019 | |||||
|---|---|---|---|---|---|---|---|---|
| million PLN | YOY | million PLN | YOY | million PLN | YOY | million PLN | YOY | |
| Revenues | 420.4 | +40% | 121.2 | +36% | 136.3 | +54 | 144.9 | +30% |
| EBITDA | 30.6 | +112% | 1.8 | -77% | 6.9 | -15% | 8.4 | +15% |
| EBITDA margin | 7.3% | 1.5% | 5.0% | 5.8% | ||||
Mercator Medical, a manufacturer and supplier of single-use gloves in the markets of nearly 70 countries in the world, consistently pursues the objective of improving its financial results while continuing to scale up its business. In Q3 of the current year, YOY sales increased by 30% and reached PLN 145.2 million, while EBITDA result – by 15% YOY, and reached PLN 8.4 million.
“We significantly improved margins in the distribution segment, we launched a number of savings projects in the production sector, and we responded flexibly to the changing market and currency environments. As a result, despite still unfavourable external factors, we significantly improved operating results not only in terms of amounts, but also in terms of the margin earned. The full benefits of the cost optimisation programme – estimated at PLN 12 million per year – are going to be released next year”, indicates Witold Kruszewski, Member of the Management Board for Finance at Mercator Medical S.A.
In turn, the net profit in Q3 (PLN 1.3 million) was most negatively affected by the dollar strengthening against the zloty (potential to reverse the trend in subsequent periods) as well as depreciation and financial costs incurred in connection with the investment programme carried out (new nitrile glove plant).
“At a net level, we also exhibit a positive trend QOQ. After the loss in Q1 and PLN 355,000 of profit in Q2, in the previous reporting period we recorded an increase of more than 260% QOQ, despite significantly higher net financial costs”, comments Witold Kruszewski, CFO.
The long-term objective of the Mercator Group is to maintain EBITDA margin at the level of 10%.
