Sales of Corticeira Amorim rise 6% in the first nine months – Cash

Corticeira Amorim ended the first nine months of the year, with accrued sales of 491 million euros, which represents an increase of 6% compared to the same period last year. With an increase of 32.7%, the net result was 55,224 million euros (versus the first nine months of 2015, at 41.61 million euros).

In the document sent to the Commission on the Securities Market (CMVM), the group said that "contrary to the reality of the same period, the foreign exchange effect was quite favorable, the sales in this period of 2016 have not been materially impacted by exchange rates in force".

So, explain that the result is "the joint effect of the increase of sales, the record-level gross margin and lower operating costs". Noting that the cumulative EBITDA amounted to 95.5 million euros, an increase compared to 80,2 million euros recorded in the same period.

Corticeira Amorim, stresses that announced the sale of its participation in the associate US Floors, Inc, and it is estimated that the transaction will be realised in the fourth quarter of this year. "The effect that this sale will have on the consolidated accounts of Corticeira Amorim is yet to be determined".

based on these results, and with the debt to decrease, the Board of Directors proposes to convene the General Meeting of Shareholders in order to propose the distribution of free reserves equivalent to the gross value of 0.0 8 euros per share, to distribute to the shareholders in proportion of their shareholdings. This dividend is in addition to 0,16 euros per share paid in the first half.

business Units

The main Business Unit (BU) of Cork, the Raw materials exceeded 320 million euros of sales, maintaining the growth trend, registering an increase of about 9%.
At the end of the quarter, completed the campaign to purchase the cork of 2016, "were fully achieved the objectives set for this Business Unit", refers to the company.

as for the sales of the cork Stoppers BU amounted to 324 million euros, which represents an increase of 7.4% compared to the same period last year. This increase is "justified by almost 50% by the volume effect, with the remainder coming from the mix effect, in particular at the level of the natural cork stoppers, the product with the highest added value of the UN". And also by the "record in the third quarter of the first transactions
the stopper with the technology NDtech".

floor & wall Coverings BU maintained the growth trend of previous quarters. To achieve 89,8 million euros, up 6.4%, sales "continued to benefit from the good performance of the range Hydrocork®," noted the company in the document sent to the CMVM. Adding also "the impact of the new line Authentic®, which – when dispensing the solid vinyl layer, increasing the thickness of the inlay of cork – differentiates itself from the other solutions in this segment of visual vinyl as a more environmentally friendly option".

THE Composite cork BU, which recorded a drop in the pace of growth, although to-date sales have increased by 2.4%, totaling 77 million euros. The three main areas of activity (Retail, Construction and Industry), "although growing in an important way, they saw slow the pace of its growth rates".

sales of the BU amounted to 9 million euros, an increase of 18.8% compared to the nine months of 2015. This increase "was generated, essentially, by the expanded cork agglomerate and
Agglomerate.

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