Business news

Intereuropa profit, revenue drop due to pandemic

Ljubljana, 19 November (STA) - The logistics group Intereuropa generated EUR 111.6 million in revenue in the nine ten months of the year, a 7% drop over the same period last year but still 6% above business plans. Profit dropped by 42% to EUR 2.4 million.

The group, majority owned by postal operator Pošta Slovenije, said following a supervisory board meeting on Thursday that the performance drop was due to the coronavirus pandemic, which affected particularly the second quarter.

While figures declined in all segments, the biggest drop was seen in land transport, where revenue dropped by 11% in the first three quarters year-on-year.

Intereuropa believes that the second wave of the pandemic will affect not only the fourth quarter of this year but also the first quarter of 2021.

The group has updated its business plan for this year, lowering expected revenue by EUR 31.3 million to EUR 139.5 million, which would be EUR 20.7 million less than last year.

The group's earnings before interest, taxes, depreciation and amortisation (EBITDA) reached EUR 9.5 million, 12% down year-on-year and 26% less than planned.

Earnings before interest and taxes (EBIT) were at EUR 3.9 million, which was 2.8% less than in the same period of last year, while the group's net profit was 194% above plans.

The core company generated EUR 76.8 million in revenue in the first nine months, 9% less year-on-year but 6% above plans.

The supervisory board also confirmed today the 2021 business report, planning EUR 158.5 million in revenue, an EBITDA of EUR 12.9 million and EUR 8.4 million in investments.

At the end of September the group employed some 1,340 people, 17 fewer than at the end of 2019. Nearly 220 workers have been furloughed. Over 270 people have been working from home this year, while those at a higher risk of complications in case of infection have been allowed to work from home until the epidemiological situation improves.