PLASTIVALOIRE: Car industry weakness hits French processor in Q4 / Turnover, earnings show strong growth for the year -- K Trade Fair

25/11/2021

Plastics News by Plasteurope.com

PLASTIVALOIRE: Car industry weakness hits French processor in Q4 / Turnover, earnings show strong growth for the year

Injection moulded parts for the car industry (Photo: Plastivaloire)
As expected, French plastics processor Plastiques du Val de Loire (Plastivaloire, Langeais; www.groupe-plastivaloire.com) said it suffered a drop in business in the fourth quarter of fiscal year 2020-2021 that ended in September. Weak ordering from the car industry lowered sales to EUR 142.9m, a decline of some 15% compared with year-earlier period. The 16.1% decline in sales in Europe was more acute than on the American continents, where turnover fell by only 10.1%.

Thanks to the good start to the fiscal year, 12-month sales rose to EUR 677.2m for an overall increase of 7.6% despite the weak final quarter. The figure was within the expected range of EUR 670m-EUR 680m after forecasts had been previously lowered. Plastivaloire is set to publish earnings in mid-December and expects to announce an EBITDA margin of more than 10%.

Related: Reliability in short supply: Trust wanes among car industry players

In regional terms, total sales were divided into EUR 595.5m for Europe and EUR 81.7m in the Americas. When measured by customer segment, the automotive industry accounted for 81%, with industrial components responsible for the remaining 19%.

CEO Patrick Findeling said the situation is unlikely to return to normal until sometime during the course of next year, noting that he does not expect sales to return to their pre-pandemic level until 2023.

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