Deceuninck Sales Increase For 2018

August 21st, 2018 by Drew Vass, Executive Editor

Deceuninck’s 2018 sales have increased 0.8% to $390.7 million. Higher than usual raw material prices, inflation, and unfavorable foreign currency exchange (FX) effects have been noted, and prices adjusted accordingly. Even so, the adjusted EBITDA increased to $41.2 million mainly due to a growing market in North America and Turkey.

The net profit decreased to $8.6 million. The company points out that the much higher EBITDA has been offset due to $3.3 million higher financial charges. These are mainly due to the devaluation of the Turkish Lira, and one-off effects. Regardless, the company says its strategic investments are on track. The improving business performance in the U.S. is showing that their recent investments, and those from past years, are starting to pay off.

“We are in general pleased with the progress we made in the first half of 2018,” says Deceuninck CEO Francis Van Eeckhout, “despite the significant headwind we continue to get from raw materials, currencies and the volatility in the Turkish market. Recent investments are paying off and our innovations are well received by the market. We continue to work on further reducing the ecological footprint of our products.”

Deceuninck North America has seen a strong volume growth of 5.4% due to new customers joining Deceuninck and strong business development. According to Deceuninck, this was offset by the weakening of the USD (-11% vs H1 2017).

According to Deceuninck’s market research, they expect the global demand for vinyl and hybrid window systems to continue to grow “at superior rates.” They credit this to their effective insulation, cost-effectiveness, low maintenance and improved aesthetics. They are optimistic for the remainder of 2018, but are prepared for any changes in the market.

This article is from Door and Window Market [DWM] magazine's free e-newsletter that covers the latest door and window industry news. Click HERE to sign up—there is no charge. Interested in a deeper dive? Free subscriptions to [DWM] magazine in print or digital format are available. Subscribe at no charge HERE.

Tags: ,

Leave Comment