FINANCIAL YEAR 2024
SHARP PROFITABILITY GROWTH
(FY24 +31% VS FY23)
ECONYL® BRANDED AND REGENERATED PRODUCTS
INCREASED TO 55% OF FIBERS REVENUES
VOLUMES INCREASED
COMPARED TO FY23
US MARKET
SLOWER THAN EXPECTED
REDUCTION IN
PERSONNEL COSTS
CAPITAL INCREASE WITH OPTION RIGHTS
SUCCESSFULLY COMPLETED
(RAISED APPROX. €40 MLN)
MAIN 2024 INDICATORS:
- Revenues: €542.1 million, -5.2% compared to €571.8 million for 2023;
- EBITDA: €62.4 million, +31.3% compared to €47.5 million for 2023;
- Net result: €16.3 million loss, +36.9% improve compared to a €25.8 million loss for 2023;
- Net Financial Position: €213.5 million and NFP/LTM EBITDA ratio at x3.42 at December 31, 2024.
Arco, March 18, 2025 - The Board of Directors of Aquafil S.p.A. [ECNL:IM] [ECNLF:OTCQX], chaired by Prof. Chiara Mio, met today and approved the Company's consolidated operating and financial results at December 31, 2024.
Giulio Bonazzi, Chief Executive Officer, stated:
"The 2024 represented a key year in our journey of growth and innovation.
Despite global macroeconomic challenges, we have demonstrated resilience, achieving results that prove the strength of our business model, with a profitability exceeding the +30% compared to the previous year.
In terms of volumes sold it has been recorded a 7% increase compared to 2023, largely driven by the polymers business line. As for the fibers for garments, the business line did not show the expected growth mainly due to the protracted destocking of the entire supply chain and the general slowdown in the end market, heavily impacted by the inflationary effect.
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EMEA and Asia Pacific geographies posted positive results confirming the outlook. The United States instead showed a general weakness in fibers markets during 2024, while the beginning of the current year shows a recovery in fibers for carpets.
The excellent capital increase transaction allowed us to continue with the goals of the business plan presented last September.
We continued to invest strategically to increase the industrial efficiency, in our production capacity and in technological innovation, which represent key elements for our success.
We are proud of our progress in achieving our sustainability goals with a special focus on ECONYL® branded products which reached the 55% of fibers turnover.
The early months of 2025 are recording an order intake in line with the Plan for both polymers and fibers for carpets, while fibers for garments remain more restrained; for these reasons we are confident that the performance in the coming periods will enable us to achieve the results defined in the business plan disclosed to the market."
Operating results at December 31, 2024
Revenues1
Revenues amounted to €542.1 million at December 31, 2024, of which €126.1 million in Q4 2024, with a 5.2% and a 2.7% decrease, respectively, compared to the same periods of the previous year. The change was attributable to the different sales mix (lower fibers and higher polymers) and lower selling prices not fully supported by a 6.9% increase in volumes sold in 2024 compared to the previous year.
In detail, sales performance by Geographical Area and Product Line is reported below:
1) in 2024:
FY | BCF (fiber for carpet) | NTF (fibre for fabrics) | Polymers | TOTAL |
€/mil | 2024 | 2023 | Δ | Δ% | 2024 | 2023 | Δ | Δ% | 2024 | 2023 | Δ | Δ% | 2024 | 2023 | Δ | Δ% | %24 | %23 |
EMEA | 181,3 | 184,6 | (3,4) | (1,8)% | 57,5 | 71,4 | (13,8) | (19,4)% | 49,7 | 39,2 | 10,5 | 26,7 % | 288,4 | 295,2 | (6,7) | (2,3)% | 53,2% | 51,6% |
North America | 125,3 | 148,1 | (22,9) | (15,4)% | 24,3 | 29,7 | (5,4) | (18,1)% | 7,8 | 4,9 | 3,0 | 61,0 % | 157,4 | 182,7 | (25,2) | (13,8)% | 29,0% | 31,9% |
Asia e Oceania | 88,3 | 87,0 | 1,3 | 1,5 % | 3,1 | 4,2 | (1,1) | (26,3)% | 2,2 | 0,8 | 1,4 | N.A. | 93,6 | 92,0 | 1,6 | 1,7 % | 17,3% | 16,1% |
RoW | 0,7 | 0,8 | (0,1) | (15,8)% | 2,0 | 1,2 | 0,8 | 73,3 % | 0,0 | 0,0 | (0,0) | N.A. | 2,7 | 2,0 | 0,7 | 36,3 % | 0,5% | 0,3% |
TOTAL | 395,5 | 420,6 | (25,0) | (6,0)% | 86,9 | 106,4 | (19,5) | (18,3)% | 59,7 | 44,8 | 14,8 | 33,1 % | 542,1 | 571,8 | (29,7) | (5,2)% | 100,0% | 100,0% |
% | 73,0% | 73,6% | 16,0% | 18,6% | 11,0% | 7,8% | 100,0% | 100,0% |
FY - % Revenues by Geographical Area
17,3% | 16,1% | |
29,0% | 31,9% | |
53,2% | 51,6% | |
2024 | 2023 | |
EMEA | North America | Asia e Oceania |
FY - % Revenues by Product Line
11,0% | 7,8% | ||||
16,0% | 18,6% | ||||
73,0% | 73,6% | ||||
2024 | 2023 | ||||
BCF (fiber for carpet) | NTF (fibre for fabrics) | Polymers |
1The evolution of the Group's revenues from one reporting period to another may be influenced by the performance of raw materials' prices, which is reflected in final selling prices through predefined contractual mechanisms. Accordingly, to ensure a proper understanding of its results, the Group also presents its revenue performance in terms of change in first choice "volumes sold", which historically account for approximately 95% of the Group's revenues.
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1) in the fourth quarter of 2024:
4Q | BCF (fiber for carpet) | NTF (fibre for fabrics) | Polymers | TOTAL |
€/mil | 2024 | 2023 | Δ | Δ% | 2024 | 2023 | Δ | Δ% | 2024 | 2023 | Δ | Δ% | 2024 | 2023 | Δ | Δ% | %24 | %23 |
EMEA | 44,1 | 44,0 | 0,1 | 0,3 % | 12,7 | 13,5 | (0,8) | (5,8)% | 10,4 | 9,4 | 1,1 | 11,4 % | 67,2 | 66,8 | 0,4 | 0,6 % | 53,3% | 51,6% |
North America | 30,5 | 32,8 | (2,3) | (6,9)% | 5,7 | 6,7 | (1,0) | (14,4)% | 1,5 | 0,9 | 0,6 | 71,7 % | 37,8 | 40,4 | (2,6) | (6,5)% | 29,9% | 31,1% |
Asia e Oceania | 19,4 | 20,5 | (1,1) | (5,3)% | 0,7 | 1,1 | (0,4) | (37,7)% | 0,3 | 0,3 | (0,0) | (2,3)% | 20,3 | 21,8 | (1,5) | (6,8)% | 16,1% | 16,9% |
RoW | 0,1 | 0,2 | (0,1) | (50,9)% | 0,6 | 0,3 | 0,3 | 85,9 % | 0,0 | 0,0 | (0,0) | N.A. | 0,7 | 0,5 | 0,2 | 34,2 % | 0,6% | 0,4% |
TOTAL | 94,1 | 97,5 | (3,3) | (3,4)% | 19,7 | 21,6 | (1,9) | (8,6)% | 12,2 | 10,5 | 1,7 | 16,1 % | 126,1 | 129,6 | (3,5) | (2,7)% | 100,0% | 100,0% |
% | 74,7% | 75,2% | 15,6% | 16,6% | 9,7% | 8,1% | 100,0% | 100,0% |
4Q - % Revenues by Geographical Area
16,1% | 16,9% | |
29,9% | 31,1% | |
53,3% | 51,6% | |
2024 | 2023 | |
EMEA | North America | Asia e Oceania |
4Q - % Revenues by Product Line
9,7% | 8,1% | |||||
15,6% | 16,6% | |||||
74,7% | 75,2% | |||||
2024 | 2023 | |||||
BCF (fiber for carpet) | NTF (fibre for fabrics) | Polymers |
EMEA revenues amounted to €288.4 million at December 31, 2024, of which €67.2 million in Q4 2024, with a 2.3% decline and a slight 0.6% increase, respectively, compared to the same periods of the previous year. The change was attributable to the different sales mix and lower selling prices. Volumes sold increased by 13.9% and 9.2% respectively in the full year and in Q4 2024 compared to the same periods of the previous year. An analysis by product line performance shows that:
- the BCF product line declined by 1.8% in 2024 compared to the previous year despite an increase in volumes sold of 5.1% more than offset by lower selling prices. The fourth quarter showed a slight increase of 0.3% as a result of the increase in selling prices despite a 2.2% decrease in quantities sold compared to the same period of the previous year;
- the NTF product line declined by 19.4% in 2024 and by 5.8% in Q4 2024 compared to the same periods of the previous year. The change was mainly due to the volumes sold, which dropped by 11.3% in 2024 and by 9.4% in Q4 2024, in addition to lower selling prices in 2024;
- the Polymers product line increased by 26.7% in 2024 and by 11.4% in Q4 2024 compared to the same periods of the previous year because of the volumes sold, which grew more than 40% in 2024.
In North America, revenues amounted to €157.4 million at December 31, 2024, of which €37.8 million in Q4 2024, with a decrease of 13.8% and 6.5%, respectively, compared to the same periods of the previous year. Volumes sold declined by 5.2% and by 5.9% respectively in 2024 and in Q4 2024. An analysis by product line performance shows that:
- the BCF product line declined by 15.4% in 2024 and by 6.9% in Q4 2024 compared to the same periods of the previous year. The change is the result of the decrease in volumes sold by 8.2% and lower selling prices in 2024, while 4Q showed a decrease in volume sold by 7.7% partially offset by increasing prices compared to the same period of 2023;
- the NTF product line decreased by 18.1% in the first nine months and by 14.4% in Q4 2024 compared to the same periods of the previous year, chiefly attributable to the lower volumes sold, down by 13.6% and 8.1% in 2024 and in Q4 2024 respectively and to a reduction in selling prices.
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In Asia and Oceania, revenues amounted to €93.6 million at December 31, 2024, of which €20.3 million in Q4 2024, with an increase of 1.7% and a 6.8% decline, respectively, compared to the same periods of the previous year. In terms of volumes sold, the BCF product line grew by 5.8% in 2024 compared to the same period of the previous year and dropped slightly by 0.7% in the fourth quarter.
Revenues from ECONYL® branded products accounted for 54.8% of revenues generated from fibers in 2024 and for 57.2% in the fourth quarter. Both ratios rose compared to the same periods of the previous year that amounted to 49.6% in 2023 and to 49.2% in Q4 2023. This important achievement again demonstrates the resilience of ECONYL® branded products with continued year-on-year growth.
EBITDA
EBITDA stood at €62.4 million at December 31, 2024, of which €14.3 million in Q4 2024, with a 31.3% and a 36.0% increase compared to the same periods of the previous year. EBITDA margin at December 31, 2024 was 11.5% compared to 8.3% for the same period of the previous year.
The increase compared to the same periods of the previous year was mainly attributable to the lower unit consumption value of raw materials also due to a different production mix and the decrease in utilities and personnel costs.
EBIT
EBIT amounted to €3.3 million at December 31, 2024, of which negative €0.6 million in Q4 2024. The change in the reporting period was attributable to the EBITDA performance, as well as to the decrease of non-current charges partially offset by higher amortization and depreciation.
Net financial charges
Net financial charges amounted to €(20.9) million at December 31, 2024 compared to €(17.1) million for the same period of the previous year.
The change was chiefly attributable to a €2.0 million increase in financial charges, due to higher interest expense on bank loans and borrowings. Moreover, exchange gains, which amounted to negative €1.5 million compared to €0.8 million for the previous period, had a negative effect of €2.3 million.
Income taxes
Income taxes were positive for €1.3 million at December 31, 2024 compared to €0.1 million for the same period for the previous year.
Net result
Net result was a €16.3 million loss at December 31, 2024 compared to a €25.8 million loss for the same period of the previous year.
Consolidated capital and financial highlights at December 31, 2024
Investments and acquisitions
At December 31, 2024, net investments - excluding those recognized in application of IFRS 16
- amounted to €24.0 million compared to €33.2 million for the same period of the previous year. They mainly focused on the expansion of existing production capacity, the general and technological improvement of existing plants and equipment, activities aimed at increasing the production efficiency of ECONYL® caprolactam and its raw materials, in addition to the
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development of technologies linked to circularity as well as activities aimed at stepping up industrial and energy efficiency at the Group's plants.
Net working capital
At December 31, 2024, net working capital absorbed €5.8 million cash. Said change was attributable to lower trade payables for €8.1 million, due to a change in payment terms of some major suppliers, to a €4.3 million increase in the value of inventories - due to the slight increase in the volumes of raw materials - effects partially offset by a decrease in trade receivables for €6.7 million.
Net Financial Position
The Group's net financial position amounted to €213.5 million at December 31, 2024 compared to €242.82 million at December 31, 2023. Said change was mainly due to the positive cash generation of operating activities for €57.2 million, to the capital increase for €38.3 million (deducted of related charges), to other assets and liabilities for negative €3.8 million, to taxes and the use of provisions for €5.8 million, the €5.8 million cash absorbed by working capital, the non-monetary change relating to the application of IFRS 16 for €9.0 million, the payment of financial charges for €18.5 million and net investments for €24.0 million.
At December 31, 2024, the NFP/LTM EBITDA ratio was x3.42 compared to x5.11 at December 31, 2023.
Outlook
The year 2024 showed a significant increase in profitability with a +31% growth compared to 2023 and a marginality that exceeded 11.5% in 2024, although with slight discrepancies from the forecast figures released at the capital increase operation.
The successful closing of the capital increase contributed to the marked improvement in the net financial position whose ratio to EBITDA went from x5,11 in 2023 to x3,42 in 2024.
For 2025, the business plan forecasts increasing volumes for all product lines, a trend confirmed by order intake in the first months of the year, and benefits coming from some competitors leaving the market.
For the current year, EBITDA is expected to rise due to increasing volumes and the implementation of other efficiencies that will be carried out during the Plan.
The Group confirms the economic and financial targets of the 2024-2026 Industrial Plan, with a focus on containing debt and pursuing strategic goals in technological innovation.
Sustainability Reporting
At today's meeting, the Board of Directors also approved the Corporate Sustainability Reporting at December 31, 2024.
The social and environmental indicators continued to improve. In detail:
- total revenues reported by ECONYL® branded and/or regenerated products accounted for 54.8% at year-end 2024, on a like-for-like consolidation basis;
- post-consumerwaste collected amounted to 19,002 tons, accounting for 54% of the target set for 2025;
- monitoring Group's key suppliers through audits and/or due diligence which saw the initiation of a project with EcoVadis in order to map ESG risks in the supply chain;
- training of at least 50% of employees on diversity topics, which currently has already seen the involvement of 12.6% of employees.
2 Including restatement due to change in an accounting policy in accordance with IFRS 16.
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With reference to the social sustainability and governance targets a succession plan for our top management was defined. Key environmental sustainability milestones achieved by the Group include the issuing of a water policy.
Independence requirements and annual reports of the Board of DirectorsThe Board of Directors has:
- verified the independence requirements of the 4 independent directors, according to the Corporate Governance Code and the Company's Regulations;
- reviewed the independence assessment carried out by the Board of Statutory Auditors with regard to its members;
- approved the Annual Report on Remuneration Policy and Compensation Paid and the Report on Corporate Governance and Ownership Structure.
Procedures for assessing the independence of Directors verified by the Board of Statutory Auditors
The Board of Statutory Auditors has:
- assessed the correct application by the Board of Directors of the procedures for assessing the independence of the Independent Directors;
- completed its self-assessment, including verification of the continued eligibility and independence requirements of its members.
Significant events occurred in Q4 2023
Ordinary and Extraordinary Shareholders' Meeting
On October 10, 2024, the Ordinary and Extraordinary Shareholders Meeting, has:
- resolved to appoint, pursuant to and for the purposes of Article 2386 of the Italian Civil Code, Roberto Siagri, already appointed by co-option by the Board of Directors on May 31, 2024, as a Director of the Company to integrate the Board of Directors.
- resolve to approve the proposal to increase the Company's share capital, as well as granted to the Board of Directors the powers pursuant to Article 2443 of the Civil Code to increase the Company's share capital.
Successfully completed the share capital increase with right issue: about 100% of the new shares subscribed
On December 10, 2024, the share capital increase with right issue has been completed.
The share capital increase with rights issue has been subscribed for No. 30,269,432 new ordinary shares and No. 6,048,008 new class B Shares, corresponding to 99.99% of the total number of shares offered under option, for a total amount of Euro 39,949,184.00.
* * *
Statement of the Appointed Manager
"The Manager responsible for preparing the Company's financial reports, Barbara Dalla Piazza declares, pursuant to Paragraph 2 of Article 154-bis of the Consolidated Finance Law, that the accounting information contained in this press release corresponds to the company's records, ledgers and accounting entries."
* * *
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This press release contains forward-looking statements. These statements are based on the Aquafil Group's current expectations and projections regarding future events and are, by their very nature, subject to a number of risks and uncertainties. These statements refer to events and depend on circumstances that may or may not occur or take place in the future, and, as such, undue reliance should not be made on them. Actual performance could differ significantly from the contents of such statements due to a variety of factors, including constant volatility and a further deterioration of capital and financial markets, changes in macroeconomic conditions and economic growth and other changes in business conditions, changes in the law and institutional context (in Italy and internationally), and many other factors, most of which are beyond the Group's control.
* * *
Aquafil is a pioneer in the circular economy also thanks to the ECONYL® regeneration system, an innovative and sustainable process able to create new products from waste and give life to an endless cycle. The nylon waste is collected in locations all over the world and includes industrial waste but also products - such as fishing nets and rugs - that have reached the end of their useful life. Such waste is processed to obtain a raw material - caprolactam - with the same chemical and performance characteristics as those from fossil sources. The polymers produced from ECONYL® caprolactam are distributed to the Group's production plants, where they are transformed into yarn for rugs carpet flooring and for clothing.
Founded in 1965, Aquafil is one of the main producers of nylon in Italy and worldwide. The Group is present on three different continents, employing about 2,400 people at 19 production sites located in Italy, Slovenia, Unites States, China, Croatia, Chile, Thailand and Japan.
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For further information | |
Investors Contact | Barabino & Partners IR |
Giulia Rossi | T: +39 02 72.02.35.35 |
investor.relations@aquafil.com | Stefania Bassi |
mob: +39 327 0820 268 | s.bassi@barabino.it |
mob: +39 335 6282.667 | |
Agota Dozsa | |
a.dozsa@barabino.it | |
mob: +39 338 7424.061 | |
Media Contact | |
Barabino & Partners | |
Federico Vercellino | |
f.vercellino@barabino.it | |
T: +39 02 72.02.35.35 | |
mob: +39 331 5745.17 |
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Appendix 1 - Consolidated Income Statement
CONSOLIDATED INCOME STATEMENT | December | of wich non- | December | of wich non- | Fourth | of wich non- | Fourth | of wich non- | ||
€/000 | 2024 | current | 2023 | current | Quarter 2024 | current | Quarter 2023 | current | ||
Revenue | 542.135 | 0 | 571.806 | 209 | 126.060 | 0 | 129.577 | 208 | ||
of which related parties | 9 | 283 | - 9 | 56 | ||||||
Other Revenue | 8.908 | 42 | 8.902 | 676 | 2.290 | 10 | 1.352 | 51 | ||
of which related parties | 325 | 0 | 99 | 0 | ||||||
Total Revenue and Other Revenue | 551.043 | 42 | 580.708 | 885 | 128.350 | 10 | 130.928 | 259 | ||
Raw Material | ( 250.433) | 0 | ( 291.620) | ( 269) | ( 54.242) | 0 | ( 61.451) | 146 | ||
of which related parties | 0 | 0 | 0 | 0 | ||||||
Services | ( 122.784) | ( 253) | ( 126.907) | ( 2.065) | ( 30.125) | 232 | ( 30.919) | ( 802) | ||
of which related parties | ( 650) | ( 524) | ( 119) | ( 136) | ||||||
Personel | ( 121.641) | ( 1.641) | ( 125.034) | ( 3.004) | ( 30.999) | ( 424) | ( 30.814) | ( 659) | ||
of which related parties | 0 | 0 | 0 | 0 | ||||||
Other Operating Costs | ( 3.290) | ( 244) | ( 3.644) | ( 493) | ( 879) | ( 121) | ( 926) | ( 312) | ||
of which related parties | ( 70) | ( 70) | ( 17) | ( 17) | ||||||
Depreciation and Amorti zation | ( 54.100) | ( 49.635) | ( 13.893) | ( 13.653) | ||||||
Provisions&Write-downs | 91 | 1.002 | 118 | 785 | ||||||
Capitalization of Internal Construction Costs | 4.435 | 6.271 | 1.094 | 1.584 | ||||||
EBIT | 3.321 | ( 2.096) | ( 8.858) | ( 4.946) | ( 575) | ( 305) | ( 4.466) | ( 1.368) | ||
Income (loss) from Investments | 184 | 90 | 74 | ( 0) | ||||||
of which related parties | 184 | 90 | 74 | ( 0) | ||||||
Other Financial Income | 1.370 | 1.022 | 310 | 401 | ||||||
of which related parties | 2 | 0 | 1 | 0 | ||||||
Interest Expenses | ( 21.007) | ( 19.042) | ( 4.870) | ( 7.134) | ||||||
of which related parties | ( 116) | ( 146) | ( 46) | ( 31) | ||||||
FX Gains and Losses | ( 1.472) | 796 | ( 2.213) | 98 | ||||||
Profit Before Taxes | ( 17.604) | ( 2.096) | ( 25.992) | ( 4.946) | ( 7.274) | ( 305) | ( 11.101) | ( 1.368) | ||
Income Taxes | 1.291 | 143 | ( 260) | 2.320 | ||||||
Net Profit (Including Portion Attr. to Minority ) | ( 16.313) | ( 2.096) | ( 25.849) | ( 4.946) | ( 7.534) | ( 305) | ( 8.781) | ( 1.368) | ||
Net Profit Attributable to Minority Interest | 0 | 0 | 0 | 0 | ||||||
Net Profit Attributable to the Group | ( 16.313) | ( 2.096) | ( 25.849) | ( 4.946) | ( 7.534) | ( 305) | ( 8.781) | ( 1.368) |
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Appendix 2 - EBITDA and Adjusted Operating Results
RECONCILIATION FROM NET PROFIT TO EBITDA €/000 | December | December | Fourth | Fourth |
2024 | 2023 | Quarter 2024 | Quarter 2023 | |
Net Profit (Including Portion Attr. to Minority ) | ( 16.313) | ( 25.849) | ( 7.534) | ( 8.781) |
Income Taxes | ( 1.291) | ( 143) | 260 | ( 2.320) |
Investment income and charges | ( 184) | ( 90) | ( 74) | ( 0) |
Amortisation & Depreciation | 54.100 | 49.635 | 13.893 | 13.653 |
Write-downs & Write-backs of intangible and tangible assets | ( 91) | ( 1.002) | ( 118) | ( 785) |
Financial items (*) | 24.036 | 20.002 | 7.550 | 7.364 |
No recurring items (**) | 2.096 | 4.946 | 305 | 1.368 |
EBITDA | 62.353 | 47.500 | 14.281 | 10.499 |
Revenue | 542.135 | 571.806 | 126.060 | 129.577 |
EBITDA Margin | 11,5% | 8,3% | 11,3% | 8,1% |
RECONCILIATION FROM EBITDA TO | December | December | Fourth | Fourth |
EBIT ADJUSTED €/000 | 2024 | 2023 | Quarter 2024 | Quarter 2023 |
EBITDA | 62.353 | 47.500 | 14.281 | 10.499 |
Amortisation & Depreciation | 54.100 | 49.635 | 13.893 | 13.653 |
Write-downs & Write-backs of intangible and tangible assets | ( 91) | ( 1.002) | ( 118) | ( 785) |
EBIT Adjusted | 8.344 | ( 1.133) | 507 | ( 2.369) |
Revenue | 542.135 | 571.806 | 126.060 | 129.577 |
EBIT Adjusted Margin | 1,5% | -0,2% | 0,4% | -1,8% |
- The financial items include: (i) financial income of Euro 1.4 million (ii) financial charges and other bank charges of Euro (21.0) million, (iii) cash discounts of Euro (2.9) million, and (iv) exchange gains/(loss) of Euro (1.5) million.
- This includes (i) non-recurring charges related to the expansion of the Aquafil Group for Euro (0.2) million, (ii) restructuring costs for Euro (1.6) million, (iii)other non-recurring revenues/(costs) for Euro (0.3) million.
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