FY 2024 Financial Results Presentation
IRCE Group - Contents
Company Profile
Financial Results
New Projects
•Highlights
•The Businesses
•Production Plants
•Copper and Aluminium Price Trend
•Profit and Loss Statement
•Balance Sheet
•Business Performance
•Market Performance
Company Profile - Highlights
IRCE is a leading European Group operating in the industries of magnet wires and cables
IRCE Today | Uom | FY 2024 | FY 2023 |
Number of employees FTE | Nr | 681 | 671 |
TURNOVER | Eur M | 397.7 | 402.8 |
EBITDA | Eur M | 20.9 | 21.4 |
EBITDA Adj* | Eur M | 21.4 | 21.5 |
EBIT | Eur M | 14.5 | 14.4 |
EBIT Adj* | Eur M | 15.0 | 14.5 |
RESULT of the period | Eur M | 6.9 | 8.2 |
(*) Including gains/losses on copper and energy derivatives transactions if realized
History
1947
1961
1996
IRCE began its activity in Imola (Italy) with the production of magnet wires The company started the production of PVC insulated low voltage cables The Group was listed on the Italian Stock Exchange
1998
2001
Acquisition of Smit Draad Nijmegen BV (The Netherlands) Acquisition of FD Sims Ltd (UK)
2001
2007
The Group was listed on the Star Market Segment Construction of Brazil Plant
2007
2010
2015
Acquisition of Stable Magnet Wire P. Ltd (India) Acquisition of ISODRA GmbH (Germany) New sales office in Poland
2018
2021
Established the Companyin China Established the Company in Czech Republic
2022
2023
June 30, sold the branch of the company for the production of power cables located in Miradolo Terme Italy Start the construction of plant in Czech Republic
2024
Start the construction of plant in China
Company Profile - The Businesses
IRCE Group works in two business areas:
• Magnet wires 80% of sales
• Energy cables 20% of sales
Sales breakdown by business areas
Sales breakdown by geographical area
Energy cablesMagnet Wires
20%
80%
Company Profile - The Businesses
Magnet Wires
Magnet wires, also known as winding wires or enamelled wires, have multiple applications such as electric motors, generators, transformers, compressors, inductors, relays, solenoid valves, etc. The wire is insulated through the application of many layers of enamels by means of highly sophisticated processes and machines, which demand high levels of investments and large scale of productions.
Energy Cables
Cables produced by the Group encompass the complete range of Low Voltage and Medium Voltage for building and industrial sector. Cables can be insulated with PVC, rubber, polyethylene, etc.. They are used for the construction of electricity plants in residential and industrial buildings and for the wiring and cabling of electrical appliances. The principal final industry sectors are the construction industry, housing and industrial applications, and consumer durables industries (domestic appliances and other electrical appliances).
Company Profile - The Businesses > Magnet Wires > Market share
In the Magnet Wire business IRCE manufactures and sales the complete range of products, and is mainly engaged in the segments of the fine and medium wires. It mainly operates in Europe, where it is one of the top three producers by size.
Sales breakdown by industry
Sales breakdown by product
Company Profile - Production Plants
1. IRCE SpA - Headquarters Imola - Italy
2. IRCE SpA Guglionesi - Italy
3. IRCE SpA Umbertide - Italy
4. Smit Draad Nijmegen BV Nijmegen - The Netherlands
5. FD Sims Ltd
Blackburn - UK
6. IRCE Ltda
Joinville - Brazil
7. Stable Magnet Wire P. Ltd.
Cochin - India
8. ISODRA GmbH
Kierspe -Germany
Copper Rectangular Magnet Wire Continuously Transposed Cable (CTC)
Copper and Aluminium Round Magnet Wire and LV Energy Cables
Covered Area: 46,000 Sqm | ISO 9001 | |
Employees: 231 | IATF 16949 | |
ISO 14001 | ||
Covered Area: 24,000 Sqm | ISO 9001 | |
Employees: 84 | ||
Covered Area: 19,400 Sqm | ISO 9001 | |
Employees: 42 | ||
Covered Area: 9,800 Sqm | ISO 9001 | |
Employees: 77 | ||
Covered Area: 7,000 Sqm | ISO 9001 | |
Employees: 32 | IATF 16949 | |
Copper and Aluminium Round and Rectangular Magnet Wire | ||
ISO 14001 | ||
ISO 45001 | ||
Copper and Aluminium Round and Rectangular Magnet Wire | Covered Area: 21,500 Sqm | ISO 9001 |
Continuously Transposed Cable (CTC) | Employees: 126 | IATF 16949 |
Copper Round Magnet Wire | Employees: 27 | ISO 9001 |
Copper Round Magnet Wire | Employees: 12 | ISO 9001 |
LV/MV Energy Cables Copper and Aluminium Round Magnet Wire
IRCE Group - Copper and Aluminium price trend
FY 2022 and FY 2021includes M iradolo italian plant, sold on June 30, 2022
Financial Results - Profit and Loss Statement
Euro million | FY 2024 | FY 2023 | change % | FY 2022 | FY 2021 | ||
% Turn. | % Turn. | ||||||
Hollow turnover wires | 68.0 | 71.0 | -4.2% | 72.2 | 67.8 | ||
Hollowturnover cables | 28.2 | 28.2 | 0.0% | 24.5 | 24.6 | ||
Total hollow turnover | 96.2 | 99.2 | -3.0% | 96.7 | 92.4 | ||
TURNOVER (copper included) | 397.7 | 100.0% | 402.8 | 100.0% | -1.3% | 454.7 | 457.1 |
Other income | 1.8 | 0 .5% | 1.8 | 0.4% | 0.0% | 4.9 | 0.6 |
TOTAL REVENUES | 399.5 | 10 0 .5% | 404.6 | 100.4% | -1.3% | 459.6 | 457.7 |
Cost of material including change in stock | (304.1) | - 76 .5% | (314.6) | -78.1% | -3.3% | (361.9) | (366.2) |
Personnel costs | (35.8) | -9.0% | (30.5) | -7.6% | 17.4% | (30.0) | (30.5) |
Other costs and services | (38.7) | -9 .7% | (38.1) | -9 .5% | 1.6% | (48.3) | (37.8) |
EBITDA | 20.9 | 5.3% | 21.4 | 5.3% | -2.3% | 19.4 | 23.2 |
Depreciations and provisions | (6.4) | -1.6% | (7.0) | -1.7% | -8.6% | (7.8) | (8.8) |
EBIT | 14.5 | 3.6% | 14.4 | 3.6% | 0.7% | 11.6 | 14.4 |
Copper and energy derivatives | 0.5 | 0.1% | 0.1 | 0.0% | -400.0% | 0.5 | (0.2) |
Net financial charges | (2.1) | -0 .5% | (2.0) | -0 .5% | 5.0% | (1.8) | 0.0 |
RESULT BEFORE TAXES (EBT) | 12.9 | 3.2% | 12.5 | 3 . 1% | 3.2% | 10.3 | 14.2 |
Taxes | (6.0) | -1.5% | (4.3) | - 1.1% | 3 9.5% | (1.1) | (4.8) |
RESULT non-controlling interests | 6.9 | 8.2 | -15.9% | 9.2 | 9.4 | ||
1.7% | 2.0% | ||||||
Minorities | 0.0 | 0.0% | 0.0 | 0.0% | 0% | 0.0 | 0.0 |
RESULT OF THE PERIOD | 6.9 | 8.2 | -15.9% | 9.2 | 9.4 | ||
1.7% | 2.0% | ||||||
EBITDA | 20.9 | 0.1 | 21.4 | 5.3% | -2.3% | 19.4 | 23.2 |
Copper and energy derivatives | 0.5 | 0.1% | 0.1 | 0.0% | 0.5 | (0.2) | |
EBITDA Adjusted (*) | 21.4 | 5.4% | 21.5 | 5.3% | -0.5% | 19.9 | 23.0 |
Depreciation and provisions | (6.4) | -1.6% | (7.0) | -1.7% | 25.7% | (7.8) | (8.8) |
EBIT Adjusted (*) | 15.0 | 3.8% | 14.5 | 3.6% | 3.4% | 12.1 | 14.2 |
(*) For a better comparison of the operating results, we have introduced the concepts of EBITDA and EBIT Adjusted, that are equal to the traditional definitions plus income or loss on copper and energy derivatives if realized.
ROCE (EBIT Adj. / Net Capital Employed)%
7.9%
7.6%
6.0%
7.9%
Financial Results - Balance sheet
Euro million | 31 December 2024 % |
Net working capital | 62.1% |
Fixed Assets | 86.5 43.9% |
Other assets and liabilities | -6.0% |
NET CAPITAL EMPLOYED | 197.1 10 0 .0 % |
Shareholders' Equity Net Financial Position |
|
FINANCING AND EQUITY | 197.1 10 0 .0 % |
CAPEX | 35.0 |
31 December 2023 | % | 31 December 2022 | % | 31 December 2021 | % |
128.4 | 71.7% | 152.3 | 74.4% | 166.5 | 84.8% |
59.3 | 3 3.1% | 51.7 | 25.2% | 44.4 | 22.6% |
-8.7 | -4.9% | 0.8 | 0.4% | -14.6 | -7.4 % |
179.0 | 100.0% | 204.8 | 100.0% | ||
153.3 | 85.6% | 144.8 | 70.7% | ||
25.7 | 14 .4% | 60.0 | 29.3% | ||
179.0 | 204.8 | ||||
100.0% | 100.0% | ||||
14.2 | 13.6 |
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