PCC Rokit (PCR) Q3 2024 earnings summary

Executive summary

• EBITDA for 1-3Q 2024 was 209.6 million PLN, down 46% year-over-year, mainly due to a sharp decline in the Chlorine Derivatives segment.

• Net profit for 1-3Q 2024 was 38.7 million PLN, a 79% decrease compared to 1-3Q 2023.

• Revenue for 1-3Q 2024 was nearly 1.5 billion PLN, a 21% drop from the same period last year.

• Q3 2024 sales increased 8.0% year-over-year to €237.7 million, but earnings declined due to higher costs, scheduled shutdowns, and FX losses.

• Cumulative nine-month sales were €722.6 million, down 5.9% from the prior year.

Financial highlights

• Consolidated EBITDA: 209.6 million PLN for 1-3Q 2024, down from 388 million PLN in 1-3Q 2023.

• Net profit: 38.7 million PLN for 1-3Q 2024, down from 185.5 million PLN in 1-3Q 2023.

• Revenue: 1,460 million PLN for 1-3Q 2024, compared to 1,853 million PLN in 1-3Q 2023.

• Q3 EBITDA: €6.8 million (down 53.9% year-over-year); nine-month EBITDA: €46.3 million (down 41.5%).

• Operating cash flow: 190.2 million PLN in 1-3Q 2024, down from 367.3 million PLN in 1-3Q 2023.

Outlook and guidance

• Market conditions remain challenging, especially in construction and chemical sectors.

• Ongoing geopolitical uncertainties and weak EU demand continue to weigh on results.

• Uncertainty persists regarding future prices for caustic soda and sodium hydroxide.

• Ongoing investment projects continue, including a new universal plant in Brzeg Dolny and a planned chlor-alkali plant in the USA.

• Positive trends expected in Surfactants & Derivatives and Logistics segments.