In the whole of 2018, Sabaf totalled a revenue of €150.6 million, up by 0.3% over the same period of 2017 (-2.4% taking into consideration the same scope of consolidation). EBITDA was €30 million (or 19.9% of sales), down by 3.2%, EBIT totalled €16.4 million (or 10.9% of sales) down by 9.4%, and the net profit owned by the Group was €15.6 million, up by 5.3% compared to 2017. The tax rate in 2018 was 24.6%, compared to 16.2% in 2017.
During the fourth quarter of 2018, the worsening of the European and Middle Eastern macroeconomic scenario, only partially offset by the positive tone of the North American market, led to a slowdown in the Group’s sales: during the period, sales revenue totalled €36.2 million, 3.3% lower than the €37.4 million of the fourth quarter of 2017 (-11.7% taking into consideration the same scope of consolidation). The markets most affected by the deterioration of the economic situation were Italy, Turkey and the Middle East. On the contrary, sales in North America maintained a growth rate of around 20%. EBITDA for the fourth quarter of 2018 was €7 million, or 19.5% of sales, up by 2.8% compared to the figure of €6.9 million (18.3% of sales) in the fourth quarter of 2017. EBIT was €2.8 million, equivalent to 7.9% of sales, and 23% lower than the €3.7 million recorded in the same quarter of 2017 (9.9% of sales). During the quarter, the Group recorded in the income statement positive exchange differences of €1.6 million, due to fluctuations in exchange rates with the Turkish lira and the U.S. dollar. Profit before taxes was €4.1 million, up by 16.5% compared to the €3.6 million recorded in Q4 2017. Net profit for the period was €3.2 million, down 29.6% from €4.6 million in the fourth quarter of 2017, when the Group recorded tax benefits of €1.3 million.
Based on the trend in negotiations with major customers and the current limited visibility in a still complex market context, for 2019 the Group estimates that it will be able to achieve sales ranging from €160 to €165 million and a gross operating profitability (EBITDA %) of more than 20%. “Confirming the Group’s more than solid competitive position, Sabaf achieved significant financial results in line with the company’s historical trends in a year characterised by a widespread macroeconomic deterioration, that became more evident in the last quarter – Pietro Iotti, Chief Executive Officer of Sabaf, declared -. During 2018, the acquisition of Okida Elektronic was the first step in the strategy of developing and diversifying the product range and enhanced the Group’s interesting growth prospects. We continue to work with determination following the lines of the business plan, both with good potential for organic growth and by assessing further opportunities of growth through acquisitions”.
