Preliminary results for the first quarter of 2017

The Management Board of Grupa Kęty S.A., according to the announced calendar of corporate events, hereby publishes preliminary forecasts of results for the first quarter of 2017.

As expected, the beginning of the year proved to be very good for the Group. Good business conditions taken advantage of by the Company in the previous year, and the revenue from new products in the Flexible Packaging Segment and the Extruded Products Segment resulted in increased sales both on the Polish market and on foreign markets. As a result, consolidated sales revenue in the first quarter is estimated at 600 million PLN, i.e. 16% higher than in the corresponding period of 2016. The Management Board estimates that the highest growth rate in the first quarter will be recorded by the Extruded Products Segment (ca. 35%) and the Flexible Packaging Segment (ca. 20%). And the sales of the Aluminium Systems Segment will be similar to last year’s figure.
High sales were accompanied by high profitability. As estimated by the Management Board, consolidated operating profit in the first quarter will increase from 66.0 million PLN recorded last year to ca. 68.0 million PLN (+3%) in the present year. Consolidated profit at EBITDA level (earnings before interest, taxes, depreciation and amortisation) will increase from 91.4 million PLN to ca. 99.0 million PLN (an increase by ca. 8%). The balance of financing activities in the quarter (costs of interest, exchange rate differences on balance sheet items valuation, including foreign currency loans) will be negative and amount to ca. 2 million PLN (in the first quarter of 2016, the balance amounted to -7.3 million PLN). The estimated consolidated net profit for the first quarter will be similar to last year’s figure and will amount to ca. 54 million PLN. According to estimates, at the end of March 2017, the Group’s net debt will amount to ca. 430 million PLN.

The above forecast was prepared on the basis of the following assumptions.