Results first half 2022

Regulated information – 29 August 2022 – 08:00

Financial results

During the first half of 2022, Campine realised a turnover of 155.6 mio €, which is an increase of 46% compared to the first semester of 2021. The EBITDA amounted to 13.5 mio €, which is again a record result for Campine for the first six months of the year.

The 46% increase in revenue is almost entirely attributable to the rise in metal prices, while sales volumes were only slightly higher. “Thanks to the continued high demand for our products and the growing profit contribution from the recent investments we continue our strong performance,” explains CEO De Vos. “The second half of the year will be more difficult, but we may already expect a positive effect from our acquisition in France,” adds De Vos.

Early July, Campine acquired selected assets of 2 battery recycling plants and the plastics recycling company C2P in the context of the insolvency proceedings opened for the French listed Recylex. “Due to the deal structure we were able to leave a lot of risks and liabilities within Recylex and neither did we take over the related overhead organisation. As a result we have to build many systems from scratch, but this forces us to dive immediately into the details of the business processes, a huge advantage!” concludes De Vos.

Results per division/segment

Specialty Chemicals division

Market and Operations

The turnover of the Specialty Chemicals division increased to 75.4 mio € (an increase of 60% compared to 2021).
The EBITDA remained almost similar at 6.2 mio € (2021: 6.3 mio €).
The 60% increase in turnover is mainly due to higher raw material prices, and increased transport and energy costs, which together with high inflation were passed on in the sales prices. Antimony metal prices reached an average of nearly $14,000/ton in the first semester of the year, compared to less than $10,000/ton a year earlier.
The Plastics Masterbatch Activity, which produces specialized flame-retardant compounds for plastics and textiles, is increasingly contributing to profits, thanks to a series of operational improvements and the expansion into PVC mixtures, which starts running at higher volumes.
The challenge remains to find sufficient raw materials and get them on time.

Metals Recycling division

Market and Operations

Sales turnover rose to 94.2 mio € (+36% compared to 2021).
The EBITDA increased to 7.3 mio € compared to 4.6 mio € in 2021.
The 36% increase in turnover is also largely attributable to higher metal prices: LME lead metal cost an average of approx. 2,070 €/ton in the first half of the year, while this was only approx. 1,720 €/ton a year earlier. The high inflation is also here passed on in the sales premiums, although with a certain delay.
The technical problems, which limited the output of the lead blast furnace in 2021, have been solved, bringing total sales volumes to approximately 36,600 tons, which is 8% more than last year.

Outlook 2022

Campine is again expecting a particularly good result for 2022. Depending on the metal price evolution, a similar result to 2021 is anticipated for the Beerse site. This does not take into account the results of the new Campine France in the 2nd half of the year and possible non-recurring costs or revenues resulting from the acquisition on 7 July 2022 of the ex-Recylex sites by Campine.

In the Specialty Chemicals division, pressure on margins is expected in the second semester of the year. Market demand is weakening, also because certain customers are now likely reducing part of their safety stock, which was previously built up for fear of shortages. The antimony price also shows a slight downward trend.

The price of lead on the London Metal Exchange rose again during the summer. In the Metals Recycling division demand remains good, but Campine, like many companies, is struggling with personnel shortages, which may have an impact on output volumes.

The full pressrelease and interim financial report can be found in annex and on our website.

This information is also available in Dutch and French. Only the Dutch version is the official version. The English and French version are a translation of the original Dutch version.

For further information you can contact Karin Leysen (tel. no +32 14 60 15 49) (email: Karin.Leysen@campine.com).

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