The Group's main economic and financial indicators remained solid in the quarter despite the reduction in turnover due to the negative economic situation in its target markets.
Margins remained good thanks to the improved supply chain and more efficient global production platform, as well as the containment of overheads.
Investments in Research and Development increased, in support of new projects for more efficient products with a lower environmental impact.
Net financial position of operations improved thanks to reducing the net working capital of operations.
- Quarterly turnover of €123.2 million, down by 11.6% compared to the same period of the previous year (€139.5 million). Cumulative turnover as at 30 September amounted to €424.9 million, down 9.2% on the figure as at 30 September 2018 (equal to €467.9 million).
- Despite the drop in volumes, EBITDA margin improved in the quarter in percentage terms compared to turnover from 5.3% in 2018 (€7.4 million) to 5.9% in 2019 (€7.3 million). Adjusted cumulative EBITDA margin also improved in percentage terms from 7.9% of turnover in 2018 (€36.9 million) to 8.4% in 2019 (€35.6 million).
- Net financial position of operations as at 30 September 2019 was a negative at - €166.6 million, a net improvement on the figure of -€180.7 million as at 30 September 2018.
The Group's solid and flexible structure is aligned with the cyclical nature of the target markets thanks to a reduced break-even point.
Campodarsego (Padua), 24 October 2019 – The Board of Directors of Carraro S.p.A., a leader in power transmission systems for off-highway vehicles and specialised tractors, met today under the chairmanship of Enrico Carraro to examine the Group’s results for the third quarter of 2019.
"The figures for the third quarter show a general slow-down in our target sectors, with demand falling for various reasons. On the one hand, for example, the decline in incentives for farmers in India, on the other, a generalised slowdown in investment in infrastructure. – said Enrico Carraro, Group Chairman – This is a temporary trend within a cycle that is expected to expand in the coming years. It should be noted today, however, that despite the fall in turnover, the Group's economic fundamentals remain solid”.