PORTUGAL - Sonae Industria’s consolidated sales turnover for the first half of 2017 reached € 121.8 million, a 1.0% improvement compared to same period 2016 (+1.2 million euros) benefiting from the appreciation of the Canadian dollar vs. the euro.

On a quarterly basis, consolidated turnover stood at € 62.3 million, representing a decrease of 0.9 million euros vs. same period of last year driven by lower sales of the Laminates & Components business that offset the higher turnover in the North American business.

Recurrent EBITDA for the first half of the year reached € 20.8 million, an improvement of € 1.9 million (+10.2%) compared to same period 2016 with an underlying recurrent EBITDA margin of 17.0%, up by 1.4 p.p. vs. 1H16. On a quarterly basis, recurrent EBITDA for the 2Q-17 stood at € 11.0 million, a decrease of 0.5 million euros vs. 2Q-16 driven by higher chemical costs per cubic meter and lower production volumes in North America, with a recurrent EBITDA margin of 17.7%, down by 0.5 p.p. vs. last year.

In June, the shareholders of Sonae Arauco approved the distribution of a dividend equal to 50% of 2016 Net Profit that was paid in July. According to Sonae Industria CEO, Paulo Azevedo "The strategic partnership with Arauco has now completed its first anniversary. While delivering positive net results, we have been able, together with our partners, to improve the competitiveness of our plants and our focus on customer needs and service level. In order to create the conditions for a more competitive and sustainable business we will continue to invest in our production facilities. An example is our recent decision at Sonae Arauco to invest in the replacement of a multi daylight MDF press by a new continuous press and ancillary equipment at the Mangualde plant in Portugal".

million EUR, January - June

     April - June, 2Q