Automotive supplier Plastic Omnium capitalized on the late-2022 auto market rebound in China and North America and was bullish on Wednesday for 2023.
Plastic Omnium (PO) published a turnover (integrating its shares in joint ventures) 18.2% higher in one year, up to 9,470 million euros. The group posted a profit of 168 million euros, after a loss in 2020 and a slower 2021.
Body and tank production, its historical activities, benefited from order intake and lower volatility than in 2021. The group has also invested in lighting and electrification. In particular, it saw its activity progress in North America, where the recovery was “significant”, with its clients General Motors, BMW or Volkswagen.
In China (12% of the group’s activity), the drop in tank sales was accompanied by a strong increase in sales of body parts and modules. In Europe, growth was driven in particular by the eastern EU countries.
Plastic Omnium confirms its objectives for 2023
In the very difficult context of 2022, PO was able to pass on to its customers a significant part of the costs linked to inflation, production interruptions linked to semiconductor supply problems, the war in Ukraine and the lockdown in China. At the end of 2022, the impact of these additional costs on the result was estimated at 62 million euros.
PO management has proposed paying a dividend of 0.39 euros per share (+39% in one year). It confirmed its objectives for 2023, with an operating margin of more than 400 million euros (compared to 364 million euros in 2022, that is, 4.3% of revenues), and free financial flows (cash flow) of more than 260 million euros, compared to 243 million euros in 2022.
The group has slightly raised its medium-term objectives, now targeting a turnover of 11.5 billion euros by 2025 (compared to the previous 11 billion). PO, in particular, intends to accelerate heavily on hydrogen by 2025.
Source: BFM TV
