In the same period, adjusted EBITDA improved by 14% from €153 Mio. to €174 Mio.
The Klöckner Pentaplast Group also increased its available liquidity to €189 Mio. (previous year: €145 Mio.). The strong operational and cash flow performance, coupled with net working capital improvements enabled the company to make several voluntary prepayments of its term loan. This contributed to a decrease in net debt by €90 Mio. to €430 Mio.
Christian Holtmann, CEO of Klöckner Pentaplast Group said, “We are delighted with the strong financial performance we delivered in the first full financial year under our new ownership structure, which is led by SVP, which has been extremely supportive. The results reflect a step change in the company’s profitability.”
Klöckner Pentaplast’s strong performance in FY 2013 is primarily attributable to its strategy for profitable growth. Since 2011, the company has launched a number of initiatives to develop KP, along the three pillars “grow the core, extend the reach, expand the breadth.” A broad set of initiatives is underway to continuously enhance the company’s operational excellence; to strengthen its market leadership position; and to innovate with and for its customers. kp aims to deliver superior customer value and provide additional services to best respond to customers’ needs.
Klöckner Pentaplast’s growth strategy has been backed by major investments in growing and attractive markets resulting in a Capex increase of 6% to €41 Mio. The company invested in its facilities in Cotia, Brazil; Crumlin, Great Britain; Santo Tirso, Portugal; and Villa Del Totoral, Argentina. In July 2013, the company also opened its first production site in China (Suzhou), producing packaging films for the growing domestic Chinese and Asian markets. The expansion of its global platform resulted in the total number of employees rising to 3,102 (PY 3,032).
Markus Hölzl, CFO of Klöckner Pentaplast Group commented, “Klöckner Pentaplast’s ability to deleverage reflects the company’s solid financial footing and strong liquidity position. Our operating strength will allow us to continue to follow this path going forward.”
Christian Holtmann, CEO of Klöckner Pentaplast Group concluded, “Next year, we will continue to focus on operational improvement while accelerating the implementation of our growth strategy. We will invest in growing and attractive markets. We will continue to drive innovation and recruit strong talent across the organization in all areas of Operations, Innovation, Marketing, and Finance. Additionally, we plan to further focus on customer relationship management, product portfolio management, and operational efficiency. The company is well positioned to capture growth in emerging countries and will gain further momentum as its innovation pipeline yields results.”