Teraplast (TRP) Q2 2026 earnings summary

Executive summary

• Revenue increased by 4% year-over-year to RON 574 million in H1 2026, driven by price increases and strong performance in Installation and Packaging divisions, despite lower volumes.

• Gross margin improved to 39% from 37% in H1 2025, reflecting efficient procurement and inventory management amid raw material price spikes.

• EBITDA declined by 9% to RON 42.5 million, impacted by higher personnel and operating expenses, including costs from recent acquisitions.

• Net result turned to a loss of RON 4 million, compared to a profit of RON 3.4 million in H1 2025, mainly due to higher finance costs and forex losses.

• Q2 2026 showed strong recovery with 12% turnover growth and 30% EBITDA increase year-over-year, recovering a significant portion of the Q1 loss.

Financial highlights

• Turnover reached RON 574 million (+4% year-over-year), with gross margin at 39% (+2 pp year-over-year).

• EBITDA dropped from RON 47 million to RON 42.5 million, with margin at 7.4% (down from 8.5%).

• Net loss of RON 4 million versus a profit of RON 3.4 million in H1 2025.

• Sales volumes fell 5% to 60,734 tonnes, mainly due to weaker demand in Granules and Installations.

• Q2 standalone: turnover RON 339 million (+12%), EBITDA RON 34 million (+30%), net profit RON 6.6 million.

Outlook and guidance

• Focus on improving profitability and reducing leverage, with Net Debt/EBITDA at 4.8x.

• Consolidation of Spanish operations starting Q3 is expected to support profitability.

• Management expects improvement in Hungary and compound segment demand in the latter part of the year.

• Market normalization in flexible packaging and continued cost pressures suggest a cautious outlook for H2 2026.

• Strategic investments and grants expected to support ongoing projects.