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Profitable Q2 cuts Pannunion H1 net losses to HUF 36 mln

Pannunion, the packaging unit of alternative energy company Pannergy, incurred net losses of HUF 36 million (€135,229) during the first half of 2009, compared to net profit of HUF 152 million in H1 of 2008, the company reported in its consolidated, unaudited IFRS report on the website of the Budapest Stock Exchange.

Operating profits more than doubled in the period but were more than offset by financial losses.

Revenue fell 1.8% yr/yr to HUF 2.98 billion in Q2 and rose 3% to HUF 6.01 billion in the first half of 2009, Pannunion said, noting a continued expansion of cashflow and a stable order stock.

The group was already in profit in the second quarter when it recorded pre-tax profit of HUF 585 million, up 94.4% yr/yr. In the first half of 2009, Pannunion still posted pre-tax losses of HUF 17 million.

Q2 profits were boosted HUF 544 million stemming from the reevaluation of foreign-currency-denominated loans as the forint strengthened, but operating profit also rose in Q2, by 69% to HUF 172 million.

EBITDA rose 27% to HUF 451 million in Q2 and rose 41.5% to HUF 944 million in H1. In H1, operational profit rose 134% to HUF 390 million.

Financial losses came to HUF 407 million in H1 including combined HUF 163 million in exchange rate losses as it recorded HUF 707 million revaluation losses on foreign exchange denominated loans in Q1 when the forint weakened.

Direct costs related to sales dropped 8% yr/yr during H1 to HUF 4.4 billion, while gross profit rose 29% yr/yr to HUF 1.65 billion during the period.

Net assets fell 1% in twelve months to HUF 3.29 billion and liabilities fell 4% to HUF 8.24 billion.

Pannunion submitted an application for a HUF 228 million state development grant to help finance planned investments worth almost HUF 1 billion, the report said that the evaluation of the tender is underway.

Pannunion trades in the B-category of issuers at the Budapest Stock Exchange. It is 95.22% owned by listed PannErgy. (MTI – Econews)