Thursday 28 April 2022, 08:00
Continuing revenue growth at Hydratec Industries
AMERSFOORT, NETHERLANDS – Hydratec Industries’ revenue in Q1 was markedly higher than in the first quarter of 2021. Rising prices of raw materials led to a limited decrease in relative margins. The operating result was comparable to that in the first quarter last year.
Revenue in the first quarter was marginally higher than last year, despite the loss of the production at Polmer. The recovery of the markets continued throughout this quarter. Due to a better mix in revenue and an active pricing policy, rising raw material prices have only led to marginally lower margins. Fixed costs were lower by a limited amount compared to prior year. The increase in revenue and decrease in costs boosted the result at Plastic Components significantly in the first quarter of 2021. The difficulties in the supply chain are causing uncertainty in the various markets, especially in the mobility market.
Eveline Hogenkamp has taken up the position of CEO at Helvoet. With her extensive experience in the health industry, she is expected to make a significant contribution to the growth of Helvoet.
Revenue at Industrial Systems showed a strong increase in the first quarter compared to the first quarter of 2021. Given that the rising prices of raw materials could not be passed on in full in the current projects, there was a marked decline in relative margins. Fixed costs were significantly higher. Last year there was no travel in the first quarter due to the Covid-19 restrictions; moreover, more costs were incurred for innovation and key IT developments. Consequently, the operating result was lower. Despite the war in Ukraine and the global measures as a result of Covid-19, the order intake within the Industrial Systems segment has remained at a good level.
Bart Aangenendt, CEO of Hydratec: ‘Recent unrest in the world due to the war in Ukraine has not resulted in a lower order intake. We expect that the direct impact on revenue will be modest. However, the turmoil in the supply chain has increased rather than decreased and will continue for some time to come. The need for food, health and mobility remains high. The upheaval has obviously led to uncertainties, but it has also provided opportunities.’
Expectations for the 2022 financial year
On the basis of its good results for Q1, Hydratec expects that its results for the whole of 2022 will be comparable to 2021. The order book is well filled. However, the war in Ukraine and the Covid-19 pandemic in particular are creating uncertainty in the various markets and in the supply chain. This can have effects on availability and prices of materials, which can negatively affect revenue and margins.
Mr Bart Aangenendt
Hydratec Industries is listed on the Euronext Amsterdam NV stock exchange (ISIN NL0009391242, ticker: HYDRA.)