Amorim profits up 4% to €58.6 million

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Profits from Portuguese cork giant Corticeira Amorim increased 4% to €58.6 million in the first nine months of 2018.

Sales climbed 9.8% to €583.8 million according to a communiqué sent out to the Portuguese securities and stock market commission CMVM on Wednesday.

Amorim is also asking the General Assembly of Shareholders to vote an additional dividend payout of 0.085 cents per share.

To September, the EBITDA (results before taxes, interest, amortisations and depreciations) increased 2.9%, netting €108.4 million, with the EBITDA/Sales ratio falling from 19.8% last year to 18.6% this year.

The development is explained “essentially because of the pressures on the gross margins caused by an increase in prices for raw material” offset by operational efficiency gains associated by a strict control of costs and a reduction in imparities.

“Taking into account the evolution in the prices of raw materials consumed during production, it is expected that this downward trend will continue until the end of the year”, states the cork giant.