The Gascogne Group announced that sales increased by +19.1% to Euro 237 million over this half-year, largely as a result of the increase in sale prices, as amounts sold remained relatively consistent in each area.
EBITDA grew by Euro 16.9 million (growth of 130%) from Euro 12.9 million to Euro 29.8 million. The rise in EBITDA in the first half of 2022 was principally driven by the paper market, in a favourable context for the Group over these first 6 months of the year.
The underlying operating profit increased by Euro 14.8 million, tied to the rise in EBITDA. Operating profit stands at Euro 20.5 million vs Euro 7.3 million for first-half 2021.
The consolidated net profit was Euro 17.8 million.
The inflationary business cycle beginning in early 2021 has continued throughout the whole first half of 2022 at a steady pace. Prices of raw materials as well as transportation and energy costs have all reached record levels. Supply issues have also been significant. In this context, Gascogne has sought to cover these rising costs, and is reaping the rewards of optimising its industrial processes actions.
Outlook for 2nd half 2022
The second half-year should follow the overall trend of the first half-year, but will be negatively impacted by the regulatory shut-down of the paper mill, scheduled for November 2022. The global geopolitical and economic situation and the increased costs of raw materials, transportation and energy remain important factors that the Group will continue to monitor.
The Gascogne Group is the leading player in the French wood industry, operating at every stage of forest resource processing.
