The Plastics Division, which remains in the structure of TeraPlast Group, includes the installation, recycling, granules, windows and door businesses. To these, the flexible packaging business line which includes the companies Somplast and TeraPlast Folii Biodegradabile [i.e. Biodegradable plastic foil] – a manufacturer of biodegradable plastic sacks and bags – will be added in 2021. The Steel Division had a turnover of RON396.9 million in 2020, up 16% on the year, and generated an EBITDA of RON56.5 million, TeraPlast said in a statement.
The best performance in 2020 was achieved by the installation and recycling segment of TeraPlast’s Plastics Division, which saw a 66% surge in EBITDA, to RON43 million, and a profitability margin of 14.7%. The turnover recorded by this segment grew 17% to RON291.6 million.
“The growth in turnover would have been even higher if we had not been limited by the production capacity. Exports accounted for 9% of turnover and we aim to reach 15%, for the whole company, just like the granule exports. In 2021, we target investments of over RON157 million to operate faster deliveries and to no longer refuse our customers due to lack of capacity,” says Ovidiu Gurau, commercial director of TeraPlast.
The granule business line saw a 59% surge in EBITDA, reaching RON12 million in 2020, and the window and door business line saw a 21% increase in turnover in 2020.
“For 2021, TeraPlast Group’s budgeted EBITDA is RON89.7 million, up 57% from 2020, respectively, a turnover of RON636.2 million, 65% higher than in 2020. The budget includes the activity of the following business lines: Installations & Recycling, Granules, Windows and Doors, Flexible Packaging and Biodegradable plastic foil,” the statement also reads.