PCC SE: PCC reports significant rise in sales and earnings in first quarter 2021, exceeding expectations

PCC Group EBITDA of EUR 35.9 million almost three times the figure for the prior-year quarter

Duisburg (pta026/20.05.2021/13:18 UTC+2) Duisburg-based investment holding company PCC SE has made an exceptionally successful start to fiscal 2021, recording significant increases in earnings and sales in the first quarter. With demand continuing to pick up, Group sales rose by 4% year on year to EUR 209 million, coming in significantly above forecast. On the earnings side, the PCC Group comfortably exceeded both the corresponding prior-year figures and expectations in the first quarter of 2021. Some affiliates and business units posted the best results in their history.

The gross profit of the PCC Group increased by 40% year on year to EUR 75.2 million in the first quarter of 2021. Earnings before interest and other financial items, taxes, depreciation and amortization (EBITDA) almost tripled to EUR 35.9 million. At the operating level (EBIT), the PCC Group achieved a positive quarterly result of EUR 19.2 million compared to EUR -4.4 million in the previous year. And at the pre-tax level (EBT), it achieved earnings of EUR 12.1 million, an increase of EUR 30.5 million compared to the figure for the prior-year quarter.

"This gratifying sales and earnings performance in the first quarter of 2021 is primarily the result of continuing growth in demand and the associated increase in commodity prices," explained Ulrike Warnecke, Managing Director of PCC SE. "This upswing was further boosted by temporary production interruptions experienced by some of our competitors."

The Chemicals division, the main revenue generator of the PCC Group, increased its quarterly sales by 11% to EUR 177.6 million, well above the level forecasted. Although raw material prices also increased on the purchasing side, the Chemicals division likewise significantly exceeded its earnings expectations. PCC's largest affiliate, PCC Rokita SA, benefited in particular from a boom in demand from the furniture and mattress industries for polyether polyols, as well as from production interruptions at competitors, with full capacity being consistently maintained at its polyols production facilities. Sales of the Polyols segment rose by 43% to EUR 54.7 million in the first quarter, while segment EBITDA increased to EUR 18.8 million, more than seven times higher than in the same quarter of the previous year. With Q1 sales of EUR 25.1 million, the Logistics division likewise matched the record level of Q4 2020. Earnings driven by the intermodal transport business were also well above the previous year.

Resumption of silicon metal production in Iceland
Icelandic affiliate PCC BakkiSilicon hf. resumed silicon metal production at the end of April with the start-up of the first furnace. The recommissioning of the second furnace is scheduled for the beginning of June. In the meantime, the first silicon metal sales have now taken place, with prices continuing to show an upward trend. Production had been temporarily suspended in July 2020 due to a modification to the roof on the filter house of the facility by the plant constructor required by licencing law.

Redemption of maturing bond
April 1, 2021 saw PCC SE repay on maturity the 4.00% bond carrying the code ISIN DE000A2E4Z04, which was issued in July 2017. The redemption amount was EUR 19.9 million.

The aforementioned Group financials are unaudited. This quarterly report is available online at www.pcc-financialdata.eu / www.pcc-finanzinformationen.eu.

Profile of PCC SE
Headquartered in Duisburg, Germany, PCC SE is the parent and investment holding company of the globally active PCC Group with its more than 3,200 employees. The Group companies of PCC SE have core competencies in the production of chemical feedstocks and specialties, with container logistics forming a further strong pillar in the investment portfolio. An investor committed to the longer term, PCC SE concentrates on continuously increasing the enterprise value of its portfolio companies through sustainable investments and the ongoing creation of new value. The largest chemical producers of the PCC Group are PCC Rokita SA, a major chlorine manufacturer and Eastern Europe's leading producer of polyols, and PCC Exol SA, one of Europe's most advanced surfactant manufacturers.
PCC was founded in 1993 by Waldemar Preussner, who, now as its sole shareholder, is Chairman of the Administrative Board of PCC SE. The PCC Group generated consolidated sales of EUR 717 million in fiscal 2020, with its capital expenditures totaling some EUR 67 million. For further information, go to: https://www.pcc.eu

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Emitter:	PCC SE Moerser Straße 149 47198 Duisburg Germany
Contact Person:	Susanne Biskamp, PCC Head of Marketing & PR
Phone:	+49 2066 2019-35
E-Mail:	susanne.biskamp@pcc.eu
Website:	www.pcc.eu
ISIN(s):	DE000A3E5S42 (Bond) DE000A3H2VT6 (Bond)
Stock Exchange(s):	Free Market in Frankfurt