Finnish firm Suominen Corporation's net sales at €229.5 mn in H1 FY23

Breaking down the figures by region, the net sales for the Americas business area rose to €144.8 million, up from €126.0 million. However, the Europe business area saw a decrease in net sales, falling to €84.7 million from €102.3 million, the company said in a press release.

Suominen's comparable earnings before interest, taxes, depreciation, and amortisation (EBITDA) saw a slight increase in H1 FY23, reaching €5.3 million, compared to €5.2 million in the previous year. However, EBITDA declined sharply to €0.7 million, from €5.2 million, due to non-recurring items stemming from the closure of production at the Mozzate plant.

Comparable operating profit stood at minus €4.1 million, virtually unchanged from minus €4.2 million in the previous year, while operating profit decreased to minus €8.8 million, compared to minus €4.2 million.

Profit before income taxes was minus €11.6 million, down from minus €4.4 million, and profit for the reporting period was minus €12.1 million, compared to minus €4.7 million.

The second quarter (Q2) of FY23 showed a 4.5% decrease in net sales, amounting to €112.7 million. Meanwhile, comparable EBITDA increased to €2.7 million, up from €1.9 million. The company reported a cash flow from operations of €6.4 million, down from €11.9 million in the same period last year.

“We are continuing to identify and implement actions to improve our financial performance. As part of our improvement actions, we started in January the consultation procedure to permanently close manufacturing at our Mozzate plant in Italy. The consultation procedure was concluded and the production at Mozzate ended in April 2023. We continue our actions to improve operational efficiency in our other plants,” said Tommi Bjornman, President and CEO.

Fibre2Fashion News Desk (DP)