Titan announces 14% sales rise in 9M23

Titan's group sales in the 9M23 increased by 14 per cent to EUR1892m YtD driven by increased volumes in all its regions and by solid pricing levels. Group EBITDA reached EUR397m YtD, up by 72 per cent as the group’s margins restored. Net profit more than doubled in the YtD to EUR198m. 

The group’s nine-month 2023 net profit after taxes and minority interests (NPAT) more than doubled, reaching EUR197.6m, compared to the EUR89.1m recorded in the same period in 2022.

Growth-oriented capital expenditure of EUR158m was recorded during the 9M23, focussing on effective capacity expansion, production cost savings, decarbonisation, digitalisation and logistics projects. Operating free cashflow reached EUR160m in the first nine months of this year compared to an outflow of EUR73m last year. The group’s net debt at the end of 3Q23 was reduced by EUR147m YoY, reaching EUR765m.The company now has a net debt/EBITDA ratio of 1.5x.

In the USA 9M23 sales totalled EUR1104.7m, up 15 per cent on the EUR956.7m achieved in the 9M22. EBITDA totalled EUR219m in the USA, up 71.7 per cent from EUR127.6m in the 9M22.

In Greece and Europe, sales totalled EUR299m, up 23.7 per cent from EUR241.7m in 9M22. EBITDA in this region grew to EUR52m, up 96.7 per cent from the EUR26.4m in the 9M22.

Southeast European sales reached EUR314.5m, up 13 per cent from EUR278.4m in the 9M22. EBITDA in southeast Europe rose to EUR107.6m, up from EUR65.6m in the 9M22, a growth of 64.1 per cent.
In the eastern Mediterranean, sales totalled EUR174m down 5.9 per cent on the EUR185m achieved in 9M22. EBITDA in this region grew to EUR18.1m, up 53.4 per centt from the EUR11.8m recorded in the 9M22.

In Brazil Titan said domestic cement consumption in Brazil declined by two per cent in the first nine months of the year versus the same period in 2022. The company's joint venture, Apodi, posted increased sales of EUR96.9m, versus EUR83.4m in the first nine months of 2022, while EBITDA increased to EUR15.4m versus EUR12.2m in the same period in 2022.

3Q23 results
Titan announced that its sales during the third quarter grew by 5.9 per cent to EUR663.2m compared to EUR626.3m last year, while EBITDA registered a significant increase of 63.6 per cent YoY to EUR155.5m. 

Outlook
While the US economy has displayed significant resilience thus far, the Fed’s relentless pursuit of inflation will probably lead to a slowdown in economic growth at the end of 2023 and most likely through the first part of 2024. Greece is poised for continued strong performance, with EUR8bn-worth of public investments in ongoing infrastructure projects across the country budgeted against the backdrop of a healthy macroeconomic environment. The market in both Egypt and Turkey will in the short term be conditioned by the tight macroeconomic environment and weak currencies.