Loss for Romcarbon

Plastic packaging producer Romcarbon Buzău (ROCE) reported revenues of 52.1 million lei for the first three months of the year, down 1% compared to those in the same period last year, and a net loss of 3.7 million lei, more than double compared to that in the January-March 2024 period, of 1.5 million lei, according to the issuer's report published yesterday on the Bucharest Stock Exchange (BVB) website.

"Although this result reflects the current market challenges, it also highlights the strategic efforts for operational efficiency and long-term financial stability", the company's report states.

According to the document, the key factors that influenced Romcarbon's results in the first quarter were: the reduction in the number of working days due to the holiday period at the beginning of January; the strategic reorganization of the workforce, which generated one-time costs such as compensation upon termination of employment contracts for unused vacations; market fluctuations caused by global economic uncertainty, which influenced demand.

At a consolidated level, Romcarbon reported a loss of 4.9 million lei, 125% higher than the loss in the first three months of last year, mainly influenced by the performance of the subsidiaries: Livingjumbo Industry, which recorded a net loss of 0.9 million lei, but with an improvement of 0.38 million lei compared to the first quarter of 2024; RC Energo Install SRL, which reported a net loss of 0.29 million lei, mainly caused by the change in the period of major sales, with an important transaction moved from March to April; Info Tech Solutions SRL, which recorded a minor decrease in profit of 0.05 million lei, compared to the first quarter of 2024, but the company remains financially stable.

"Although the first quarter brought challenges, strategic restructuring and investments position us for a solid recovery. Through innovation, cost optimization and market adaptation, we remain confident that we will support sustainable growth and profitability throughout 2025," the company's report states.

The plastic packaging manufacturer announced last month that it will receive 35.2 million lei in financing through the PNRR for the establishment of a plastic waste recycling and recovery unit. The total value of the project is 72 million lei (VAT included), of which the company's contribution, consisting of its own and attracted resources, amounts to 36.8 million lei, 13.4 million lei being ineligible expenses, including VAT.