Proven ability to adapt to markets, resulting in earnings improvement
BEWI, a leading provider of packaging, components, and insulation solutions, today reports its results for the fourth quarter and full year 2023. The company recorded net sales of 253 million euro for the quarter, down from the 276 million euro for the same quarter of 2022. The company had an adjusted EBITDA of 25 million euro, up from 24 million euro for the fourth quarter of 2022.
- Successfully reduced cost and capacity, demonstrating a strong ability to adapt
- Strong EBITDA improvement for I&C, including organic growth despite volume loss
- Strengthened balance sheet, 94 million euro in available cash and credit
- Reduced demand from building and construction impacted all segments
- Increased use of recycled content in production
"The fourth quarter was a good ending to a rather difficult year. We deliver one of the strongest operational cash flows in our history and strengthens the cash position to 94 million euro in available cash and credit," says Christian Bekken, CEO of BEWI ASA.
For the full year 2023, BEWI had net sales of 1 105 million euro, up by 5 per cent from 2022, driven by the acquisitions completed in 2022. Adjusted EBITDA came in at 109 million euro, 19 per cent down from 2022.
"In 2023, the rapid monetary tightening put pressure on household spending and business investments. This led to a substantial decline in the building and construction activity, and consequently the demand for insulation solutions, impacting all our segments. We are pleased with how we have adapted to the changing market conditions, quickly and effectively," Bekken continues.
BEWI's growth projects are carefully chosen. The new production line (extruder) in Etten-Leur in the Netherlands commenced operation in December, increasing the group's production capacity of grey and white EPS based on recycled material by up to 25 thousand tonnes. This, combined with investments in circular capabilities have enabled BEWI to launch a range of solutions with lower CO2 emissions.
"We are proud that we have become the leading recycler of used EPS in Europe. Unlike our competitors, we control the full circular loop through BEWI Circular and RAW, providing the downstream segments with a unique competitive advantage," Bekken concludes.
BEWI is confident in the strong fundamentals supporting long-term growth in the building and construction industry. For the EU to reach its climate reduction targets, buildings will need to improve its energy efficiency, which will require better insulation.
The board of directors finds the company well positioned with a robust business model, strong organisation, and a solid outlook for growth.
Please find attached the full report for the fourth quarter and full year 2023, the presentation of the results and the financials spreadsheet.
CEO Christian Bekken and CFO Marie Danielsson will present the results from 10:00 am today through a live webcast. The link to the webcast is available from BEWI's homepage www.bewi.com, and a recording of the webcast will be made available.
For further information, please contact:
Charlotte Knudsen, Director of IR and Communications BEWi ASA, tel: +47 9756 1959
Marie Danielsson, CFO BEWI ASA, tel: +46 70 661 0047
About BEWI ASA
BEWI is an international provider of packaging, components, and insulation solutions. The company's commitment to sustainability is integrated throughout the value chain, from production of raw materials and end goods, to recycling of used products. With a vision to protect people and goods for a better every day, BEWI is leading the change towards a circular economy.
BEWI ASA is listed at the Oslo Børs under ticker BEWI.
The information is such that BEWI ASA is required to disclose in accordance with the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 07:00 CET on 15 February 2024
