2018 Financial results have been presented
Financial results have been presented
Packaging and special papers, Fedrigoni Group finishes 2018 well and starts 2019 with a growth Quarter:
+8.7% in turnover
The Italian company, European leader in the production of specialty papers and self-adhesive labels, closed 2018 with revenues of 1,181.5 million Euros (pro forma balance sheet) and is betting on growth by investing in technologies, people and products, also thanks to its new management.
Fedrigoni, the Italian group which is the European leader in the production of specialty papers for packaging, labels, printing, holograms and security papers, closed its 2018 financial results well and has started 2019 even stronger; in the first Quarter of this year, in fact, total revenues went from 277.3 million at end March 2018 to 301.4 (an increase of €24 million, equal to 8.7%), thanks in particular to an increase in exports that involved all business lines. Adjusted EBITDA increased from 32.2 million to 37.9 million Euro.
The 2018 financial results were also good: last year turnover reached 1,181.5 million Euros (pro forma data, to compensate for the acquisitions that the Group was involved in) compared with 1,169.6 million in 2017, that is to say an increase of around 12 million Euros, equal to 1%. This comes thanks to a significant increase in the label and adhesives sector (up 24.3 million Euros, an increase of almost 7%) and to the constant growth in exports, particularly in Europe, which account for over 70% of turnover.
Adjusted EBITDA, on the other hand, went down (from 149.8 million to 137.1 million) as a result of the reduction in the demand for money paper, only partially compensated by the development in other sectors and by the significant increase in the cost of pulp, which led to a short-term contraction in margins and which is currently being corrected.
In April 2018 Fedrigoni was acquired by the US investment fund Bain Capital, and it is now an even more global and dynamic company, growing both in market share and geographic areas, thanks to its excellence in specialty papers and its high-performance, refined and environmentally-friendly self-adhesive labels. A company which invests in acquisitions, technologies, people (with 80 new hires in the past year) and innovative products, under the impetus of new management. Ten per cent of the capital has remained within the Fedrigoni family, with Chiara Medioli as Vice President and Marketing Director of the Group. Marco Nespolo has been appointed CEO at the end of 2018.
A month after the entrance of Bain Capital, the first acquisition was concluded – that of Cordenons, a producer of fine and technical papers with an office in Milan and two manufacturing locations in Scurelle (Trento) and Cordenons (Pordenone). “It is a clear sign that the company is in the midst of renewing itself – confirms CEO Marco Nespolo – and wants to grow, through conquering new markets and geographical areas, through acquiring interesting businesses that complete our market offer, and through increasing our volumes and developing new products in the sectors where we are already a leader, such as luxury brand and cosmetics packaging and labels for the wine trade.”
“In the paper market, where the majority of the players are either static or in decline – Nespolo continues – we are positioned in segments with high added value and in some very attractive niches. The prospects are therefore good, and the results of the first Quarter support this. Our ambitions are clearly even greater: since the end of 2018 we have made significant developments in our management team, brining on board competences borrowed from other sectors and international profiles to complete an already robust level of know-how.”
Fedrigoni is therefore accelerating processes of innovation in technologies, products and processes without neglecting the strong environmental and cultural vocation that brings it to invest every year in making its production safer and less polluting (this year, for example, has seen the installation of a biological water-treatment plant in Verona) and in supporting projects that promote culture and art. Examples of this are its strong presence at the International Trade Fair Packaging Première, currently under way in Milan, where Fedrigoni presents products with a high ecological value, and its cultural commitments which can be seen, among other things, in the dedicated Paper Pavillion built by Fondazione Fedrigoni Fabriano for the 13th UNESCO Conference of the Creative City in June in Fabriano.
Since 1888 Fedrigoni has been synonymous with excellence in specialty paper production. The Group is among the major players in Europe for the production and sales of different types of paper, particularly those with high added value, and self-adhesive products for labelling. The company is, in fact, the global leader in the production of self-adhesive labels for the wine sector and the European leader in the production and sales of specialist papers for graphical use. With around 3,000 employees in 16 locations in Italy, Spain, Brasil and the USA and 25,000 references in its catalogue, the Group sells and distributes in nearly 130 countries all over the world.