Rába Q4 profit flat at HUF 1.1 bln
Hungarian automotive industry company Rábaʼs fourth-quarter after-tax profit was practically flat at HUF 1.1 billion as financial gains and lower corporate tax countered a drop in revenue and narrower margins, an earnings report released late yesterday shows, according to Hungarian news agency MTI.
Rábaʼs revenue slipped 6% to HUF 13.2 bln from the same period a year earlier, but direct cost of sales dropped just 5% to HUF 10.3 bln, causing gross profit to decline by 9% to HUF 2.9 bln.
Operating profit was down 19% at HUF 1.2 bln.
The impact on the bottom line was cushioned by a small financial profit, up from a HUF 140 million loss in the base period, and a 50% decline in corporate profit tax to just under HUF 100 mln.
For the full year, Rába booked after-tax profit of HUF 2 bln, more than double the HUF 850 mln in the previous year. Revenue fell 4% to HUF 46.2 bln, but direct cost of sales dropped even faster, by 6% to HUF 36.5 bln, lifting gross profit 5% to HUF 9.7 bln.
In a breakdown of annual sales, Rába said turnover from domestic orders came to HUF 17.8 bln and sales to other European Union member states reached HUF 18.3 bln. American sales stood at HUF 6.7 bln and sales in the CIS were HUF 1.1 bln.
Rábaʼs balance sheet shows its total assets fell 5% to HUF 34.5 bln at the end of 2015 from a year earlier. Net assets rose almost 14% to HUF 17.1 bln, while long-term liabilities were halved to HUF 3.3 bln.
The state of Hungary owns about 76% of Rába.
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