PORTUGAL - Sonae Industria, a leading European wood panel manufacturer, reported a net profit of EUR 18.9 million in the first six months of 2018 (6M-2018), up 34 per cent against the profits of 6M-2017 and reached EUR 15.1 million in the 2Q-2018, an improvement of EUR 4.9 million and EUR 7.5 million when compared to 6m-2017 and 2Q-2017, respectively.

The increase in net results is explained by the improvement in the net results of the Sonae Arauco Joint-Venture, particularly those of the second trimester of the year.

Consolidated turnover for the first half of the year reached EUR 111.8 million, a reduction of EUR 10.0 million compared to the same period of last year, essentially driven by a EUR 7.3 million unfavorable exchange rate effect resulting from the depreciation of the Canadian dollar vs. the EUR. For the second quarter (2Q-2018), consolidated turnover reached EUR 57.5 million euros, down by EUR 4.8 million euros vs. 2Q-2017. 2Q-2018 turnover was also hit by lower sales to the Nordic markets by the Laminates & Components business.

Sonae Arauco CEO Paulo Azevedo commented on the results, “I am pleased to be able to inform our stakeholders that our plants in Mangualde and Oliveira do Hospital, affected by the forest fires in 4Q17, are now operating close to their desired capacity levels and that the sales ramp up has gradually been accelerating enabling us once again to fully serve our customers.” 

It is also encouraging that during the first half of 2018, Sonae Indústria generated a net profit of 18.9 million Euros, significantly above last year, driven mainly by the strong contribution from Sonae Arauco but also benefiting from the positive contribution of our North American business with an improvement in performance during the second quarter compared to the first quarter of the year.