Groupe Plastivaloire (PVL) Q3 2024 TU earnings summary

Executive summary

• Third-quarter revenue fell 15.0% year-over-year to €188.6 million, reflecting a less favorable economic climate and high prior-year base.

• Nine-month revenue declined 7.6% year-over-year to €594.0 million, with both Automotive and Industries divisions impacted.

• Sale of German subsidiary Karl Hess and the Pilsen site is progressing as planned to refocus on core, profitable activities.

Financial highlights

• Third-quarter Automotive division revenue dropped 9.1% to €161.4 million; Industries division revenue fell 38.7% to €27.2 million.

• Europe nine-month revenue decreased 7.6% to €520.3 million; America revenue down 7.7% to €73.7 million.

• Group expects full-year 2023-2024 revenue of around €760 million, down from previous guidance of €770 million.

Outlook and guidance

• Annual EBITDA margin expected at around 6.5%, reflecting volume declines, dilutive impact from divested units, and start-up costs.

• Group is seeking a waiver from banking partners to comply with the EBITDA covenant for 2023-2024.