Hellenic Fabrics' profit margin rise in fiscal 2005

02 Mar '06

3 min read

Hellenic Fabrics reported that the year 2005 was characterised by improved profitability and reduction inliabilities. Consolidated financial statements which will be published on 28th March, 2006 show an improved consolidated profit before tax by 37.3 percent from €5.34 mln in 2004 to € 7.34 mln in 2005, with profit margin increasing from 5.3 percent to 8,3 percent.

Profit before tax, interest and depreciation (EBITDA) amounted to € 15.5 mln, improved by 13 percent. Moreover, net profit after tax and minority rights was improved by 10,8 percent from € 4.86 mln in 2004 to € 5.38 mln in 2005.

Consolidated turnover amounted to € 88.2 mln, decreased by 13,1 percent in comparison to 2004, with exports contributing 70 percent to total sales. Despite the reduction in the price of cotton in 2005 as compared to 2004, the strategy of the Group has focused in maintaining the selling price of denim fabric at last year's level, resulting in a small fall in sales.

Total equity amounted to € 86.2 mln from € 82.09 mln in 2004, adjusting the "Debt-equity" ratio, to 1,05 as compared to 0,94 in 2004. In addition, “Earnings per share” presented an increase of 5 percent as compared to the corresponding last year's period and amounted to € 0,38 per share. Finally, the ratio “P/E after tax” amounted to 7.72, while the "Price to book value" ratio (P/BV) amounted to 0.45.

With investments in technology and specialized personnel as an edge, the Group continued in 2005 the application of its strategy, focusing mainly in quality, innovation and flexibility. Productive investments in machinery amounting to € 8.1 mln have been financed by consolidated operating cash flow of € 15.2 mln, and total loans outstanding have been reduced by € 7.1 mln approximately.

More Hellenic Fabrics S.A. News... More Textiles News - Greece...