Grupa RECYKL (GRC) Q2 2024 earnings summary

Executive summary

• Consolidated sales revenue for Q2 2024 increased by 3.8% year-over-year, with net profit up 34.0% and EBITDA up 6.1% compared to Q2 2023.

• Growth was driven by higher sales of rubber granulates and powders, and increased recycling service revenues, despite declines in other segments.

• The group continued to operate in a challenging macroeconomic and geopolitical environment, with limited direct impact from the war in Ukraine but ongoing indirect effects from energy and raw material prices.

Financial highlights

• Q2 2024 consolidated revenue: 34,192k PLN (up 3.8% YoY); net profit: 4,919k PLN (up 34.0% YoY); EBITDA: 9,400k PLN (up 6.1% YoY).

• Operating profit rose 26.9% YoY to 7,153k PLN; gross profit up 44.2% YoY to 5,843k PLN.

• H1 2024 cumulative revenue up 4.8% YoY; cumulative net profit up 16.2% YoY.

• Amortization costs decreased due to updated depreciation rates.

Outlook and guidance

• No financial forecasts for 2024 were published.

• Management remains positive on results and strategy execution despite market uncertainties.