Waberer's Q2 Income Fell 59% y.o.y.
Second-quarter net income of listed Hungarian hauler Waberer's International fell 59% year-on-year to EUR 2.5 million as margins narrowed, according to an earnings report published on the website of the Budapest Stock Exchange.
Revenue climbed 16% to EUR 173.2 mln. Direct cost of sales outpaced that increase, rising 17% to EUR 136.8 mln. Operating profit rose by one-third to EUR 10.3 mln. Tax burden grew by 60% to EUR 2.1 mln. Waberer's net income margin for recurring activities was down 2.6 percentage points at 1.5%.
Waberer's management said that "neither the war in Ukraine, nor the increasing inflation generated significant industrial production or retail trade decrease in the relevant European countries, so Waberer's was able to manage temporary fluctuations in demand through its diversified customer and service portfolio."
CEO Zsolt Barna said "certain regulatory driven negative cost effects (minimum wage change and change in wage-related tax rules) impacted results from the beginning of the year," but it was possible to manage these effects from Q2 onwards.
Barna said the industry will continue to face a capacity shortage that supports the profitable operation of the existing players. Risks include the long-term availability of sufficient labor, spill-over effects of high inflation and rapidly rising energy prices.
Waberer's still expects to meet its financial targets of achieving the previous year's group EBIT performance in 2022, he added.
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