May 19, 2014
German remanufacturer reports a 33 percent increase in sales during the first quarter of the year, predominantly due to US acquisitions.
OPI reported that Turbon’s sales in 1Q2014 rose by around 33 percent year-on-year, jumping from €18.8 million ($25.8 million) to €25.1 million ($34.4 million).
The increase in sales has been attributed to “the US acquisitions of Turbon America and International Laser Group” last year; with Turbon America also reported to have acquired compatibles distributor Clarity Imaging Technologies in September.
First quarter sales in the US totalled €11.9 million ($16.3 million) compared to €3.8 million ($5.2 million) a year ago; although sales in Europe during the same period fell by 11 percent to €12.7 million ($17.4 million) “due to lower prices”, despite Turbon stating that volumes had “remained relatively stable”.
The acquisitions have meant that the company’s earnings before interest and tax (EBIT) has risen 6.7 percent to €1.6 million ($2.2 million), while net profit also increased 12.5 percent to €900,000 ($1.2 million). The company added that profitability is expected to improve as the acquired businesses become fully integrated.
Full-year pre-tax profit is estimated to be €6 million ($8.2 million), with sales expected to reach more than €100 million ($137 million).
The Recycler reported in April that Turbon’s financial results for the fiscal year 2013 saw a decline in sales of more than 11 percent from €84.9 million ($116.5 million) to €75.4 million ($103.4 million), with the company blaming its European business for the decline; while in November Turbon blamed price competition for its ninth consecutive month of double-digit decline.
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