GEFCO reports robust H1 financial performance 20 September 2017

GEFCO has reported revenue of €2.262 billion (up 1.9%) and EBITDA of €115.0 million (up 25.8%) for the first half of 2017. The growth of revenues demonstrates the strength of the Company’s relationships with historical customers and the continuing strong commercial performance in its broader customer base where it achieved a 6.0% increase.

In the first half of 2017, the GEFCO group achieved a turnover of €2.262 billion, up 1.9% compared to the same period in 2016. This increase was driven mainly by the recovering European car market, a strengthened European economy and the continuing focus to expand its customer portfolio across global accounts.

The EBITDA for the first six months of the year amounts to €114.8 million, increasing by 25.8% compared to 2016’s first half. This significant improvement in profitability is the result of the proactive policy launched by GEFCO to optimise procurement management and reduce fixed costs. The Group’s ‘asset-light’ business model also contributed to efficient cost management by the Company. With very little debt, GEFCO is in a sound financial situation.

New 2017 contracts are concrete evidence and recognition of the Company’s unique know-how. This is highlighted by the extended partnership with Volkswagen in Argentina for its Rosario and Buenos Aires plants, with Auto 1, a leader in the e-business of second-hand cars, in Central Europe, and with BMW in the UK, where GEFCO provides a range of driven vehicle and compound management services for new cars and motorcycles, together with a de-fleet solution for end of first life vehicles.

The Group offers its recognised expertise to help manufacturers boost their competitiveness in diverse sectors of the industry. Its growing expertise in this area is reflected through new and extended collaborations in the first half of 2017 with Kiabi, a French clothing retailer brand, for its outlets in Normandy and South West of France, and a UK-based oil leader to supply lubricant cans to CIS with a multimodal logistics solution. Moreover, GEFCO has pursued its diversification strategy, seizing opportunities offered by the dynamic market of Life Sciences & Healthcare, Notably, GEFCO has increased its service solutions to the Mundipharma Medical Company. GEFCO has also expanded its support in the humanitarian and relief sectors.