In the third quarter 2015, Hexagon Composites generated NOK 256.9 (349.3) million in operating income and made an operating loss before depreciation (EBITDA) of NOK -31.0 (75.1) million. Operating loss (EBIT) was NOK -43.8 (55.5) million and profit/loss before tax came to NOK -56.0 (59.7) million.
Operating results declined compared with the third quarter of 2014, impacted by significantly lower sales volumes for Mobile Pipeline solutions and seasonally low sales volumes of Low-Pressure Cylinders. The heavy-duty truck market in North America remains robust and the transit bus markets in North America and Europe continue to display healthy growth.
Key developments:
- EBITDA loss for the quarter driven by low Mobile Pipeline and impact of seasonal Low-Pressure Cylinders sales
- Awarded extended MAN Truck & Bus supplier nomination for global transit bus market
- Released 16-inch all-carbon cylinder for transit bus and refuse truck market
- Secured new long-term Low-Pressure Cylinders distribution agreement with Gasco in Saudi Arabia
- Restructuring of European Light-Duty Vehicles business unit according to plan
- Initiated a further program of cost saving initiatives to enhance weak short-term profitability
- Continued positive overall impacts of USD currency developments compared to same period last year.
