Cinkarna with record net profit of EUR 30.6m last year

Celje, 13 March (STA) - Chemical company Cinkarna Celje generated around EUR 164m in sales revenue last year, down 13% compared to 2017, but net profit was up by 6% to a record 30.6m, according to an unaudited annual report released on Wednesday. Operating profit rose 2% to EUR 36.4m.

The management has assessed last year's operations as successful, even though the company did not manage to exceed the sales from 2017 due to the saturated market of titanium dioxide pigment, which resulted in lower output and declining prices.

Cinkarna Celje increased investments last year by 70% and exceeded the investment plan by 9%. The bulk of the funds was invested in improving the quality parameters of the production of pigment, and in environmental projects.

The company also modernised some of its energy facilities and infrastructure and opened a new line for masterbatches and powder coatings at the Mozirje location.

Last year, Cinkarna Celje earmarked EUR 21.6m for dividends, or 139% more than in the year before.

For 2019, the company plans to post a lower net profit, about one-third of last year's, mostly because of the declining sale prices of titanium dioxide pigment, while sales are expected to increase by 1%.