Llodio Spain headquartered stainless steel leader TUBACEX has reported that sales for the first half of the year have amounted to EUR 353.8 million, doubling those obtained in the same period last year, with profit before tax of EUR 10.4 million compared with a loss of EUR 28 million in the first half of 2021. The EBITDA for the second quarter has amounted to EUR 23.4 million, which is the highest quarterly EBITDA since the last quarter of 2007. The accumulated EBITDA for the year stands at EUR 42.5 million with a margin of 12%, in line with the strategic objective set in June. TUBACEX said “These results highlight the success of the TUBACEX strategy in a market environment characterized by inflationary pressure. In recent years, the company has promoted its geographic expansion and sectoral diversification and has also reorganized its production with a product mix tailored to the profile of each of the group’s 20 plants around the world. This strategy has boosted TUBACEX’s growth and has enabled it to return to normality and profit in all of the group companies.”TUBACEX added “On the other hand, the sales strategy followed in recent years has made it possible to access different framework agreements with the leading players in the industry, enabling it to be positioned wherever its demand may be. An example of this is the agreement entered into recently with the Abu Dhabi National Oil Company for a value in excess of 30,000 tonnes over a period of ten years for the supply of comprehensive solutions for gas extraction in the Middle East, and which involves the construction of a new plant in Abu Dhabi, the first one to manufacture OCTG in the Middle East. This order, along with others obtained recently from Exxon, Petrobras, etc makes TUBACEX one of the world’s leading manufacturers of this product for gas. These are added to other agreements reached by the company in the past few months, which, as a whole, increases its backlog to more than €1,500M, a historic record for the company.”Outlook “The past seven years of drastic cutbacks in investment, along with the current supply crisis, are leading to the general reactivation of the energy market. Furthermore, gas and nuclear power, segments that require TUBACEX’s most demanding products, are key in the medium term following the European Union’s recognition of them as essential sources of energy for the energy transition. However, the general macroeconomic environment is uncertain, with significant increases in costs, particularly for raw materials and energy, which TUBACEX has been passing on to its customers up to now, albeit with some difficulty and lag. In spite of the necessary caution in light of the economic situation in the coming quarters, TUBACEX confirms its forecast of achieving results in 2022 above those obtained in 2018 and 2019, thanks to the high backlog, its good positioning in an energy market in expansion and the capacity to pass on the increase in costs to the end users.”TUBACEX is a world leader in sophisticated industrial products and high value-added services for the energy and mobility sectors. With offices in Álava, TUBACEX has 20 production plants in Spain, Austria, Italy, USA, India, Thailand, Saudi Arabia, Dubai, Norway, Canada, Singapore, Guyana and Kazakhstan and service centers and sales offices worldwide. TUBACEX is an expert in maximum-efficiency applications for the Oil & Gas and energy generation sectors and other industrial applications.
Llodio Spain headquartered stainless steel leader TUBACEX has reported that sales for the first half of the year have amounted to EUR 353.8 million, doubling those obtained in the same period last year, with profit before tax of EUR 10.4 million compared with a loss of EUR 28 million in the first half of 2021. The EBITDA for the second quarter has amounted to EUR 23.4 million, which is the highest quarterly EBITDA since the last quarter of 2007. The accumulated EBITDA for the year stands at EUR 42.5 million with a margin of 12%, in line with the strategic objective set in June. TUBACEX said “These results highlight the success of the TUBACEX strategy in a market environment characterized by inflationary pressure. In recent years, the company has promoted its geographic expansion and sectoral diversification and has also reorganized its production with a product mix tailored to the profile of each of the group’s 20 plants around the world. This strategy has boosted TUBACEX’s growth and has enabled it to return to normality and profit in all of the group companies.”TUBACEX added “On the other hand, the sales strategy followed in recent years has made it possible to access different framework agreements with the leading players in the industry, enabling it to be positioned wherever its demand may be. An example of this is the agreement entered into recently with the Abu Dhabi National Oil Company for a value in excess of 30,000 tonnes over a period of ten years for the supply of comprehensive solutions for gas extraction in the Middle East, and which involves the construction of a new plant in Abu Dhabi, the first one to manufacture OCTG in the Middle East. This order, along with others obtained recently from Exxon, Petrobras, etc makes TUBACEX one of the world’s leading manufacturers of this product for gas. These are added to other agreements reached by the company in the past few months, which, as a whole, increases its backlog to more than €1,500M, a historic record for the company.”Outlook “The past seven years of drastic cutbacks in investment, along with the current supply crisis, are leading to the general reactivation of the energy market. Furthermore, gas and nuclear power, segments that require TUBACEX’s most demanding products, are key in the medium term following the European Union’s recognition of them as essential sources of energy for the energy transition. However, the general macroeconomic environment is uncertain, with significant increases in costs, particularly for raw materials and energy, which TUBACEX has been passing on to its customers up to now, albeit with some difficulty and lag. In spite of the necessary caution in light of the economic situation in the coming quarters, TUBACEX confirms its forecast of achieving results in 2022 above those obtained in 2018 and 2019, thanks to the high backlog, its good positioning in an energy market in expansion and the capacity to pass on the increase in costs to the end users.”TUBACEX is a world leader in sophisticated industrial products and high value-added services for the energy and mobility sectors. With offices in Álava, TUBACEX has 20 production plants in Spain, Austria, Italy, USA, India, Thailand, Saudi Arabia, Dubai, Norway, Canada, Singapore, Guyana and Kazakhstan and service centers and sales offices worldwide. TUBACEX is an expert in maximum-efficiency applications for the Oil & Gas and energy generation sectors and other industrial applications.
