Financial

Revenue fell in 2020 by 20.3% to € 146.4 million (2019: € 183.6 million). This fall is largely attributable to the lower zinc price, leading to a fall in revenue for 2020 for the Business Unit Zinc recycling which is substantially lower than in 2019. Also, in the Business Units Steel and steel processing, Grating technology and Surface treatment, the effects of the covid crisis on revenue are clearly visible.

Revenue development 2016 - 2020

Due to the low zinc price, the gross margin in 2020 was also under pressure. In absolute terms, the gross margin fell by 13.8% to € 21.6 million, but in percentage terms it was 1.1% point higher than in 2019. The gross margin increase at the Business Unit Grating technology can be attributed to the strategic focus but also to the steel price that was at a low point at the beginning of 2020. Gross margins at the Business Units Surface treatment and Steel and steel processing are under pressure. On balance, the decrease in net revenue result of € 3.0 million can be fully attributed to pressure on the margins.

Gross revenue result (x € 1,000) 2016-2020

The consolidated result after tax for 2020 was € 3.4 million, compared to € 3.6 million for 2019. The decrease appears to be limited; however, the 2019 result has been affected by the write-downs due to lower steel and zinc prices and an exceptional non-recurring item regarding shareholding interests.

Investing in the future is and remains important. In 2020, € 5.5 million was invested (2019: € 4.7 million). The investments were mostly replacement investments - including the replacement of two zinc baths. In 2020, investments were also made in a hot zinc spraying facility in Wolvega and in improving the production facility at Rezinal. With the new hot zinc spraying facility, Rotocoat’s range of services has been further widened and its position as a multi-service centre in the field of surface treatment in Wolvega has been strengthened. With the investment in a state-of-the-art extraction system for the furnaces, Rezinal can further profile itself as the production location for sustainable zinc recycling. In addition, in Uitgeest investments were made in new steel cutting machines and solar panels on the roof of the large production hall. At the beginning of 2021, the solar panels were put into use. In 2020, all investments were financed entirely from own resources. Also, in 2021, some major investment projects will be carried out.

Investments (x € 1,000) 2016 - 2020

Financial

Revenue fell in 2020 by 20.3% to € 146.4 million (2019: € 183.6 million). This fall is largely attributable to the lower zinc price, leading to a fall in revenue for 2020 for the Business Unit Zinc recycling which is substantially lower than in 2019. Also, in the Business Units Steel and steel processing, Grating technology and Surface treatment, the effects of the covid crisis on revenue are clearly visible.

Revenue development 2016 - 2020

Due to the low zinc price, the gross margin in 2020 was also under pressure. In absolute terms, the gross margin fell by 13.8% to € 21.6 million, but in percentage terms it was 1.1% point higher than in 2019. The gross margin increase at the Business Unit Grating technology can be attributed to the strategic focus but also to the steel price that was at a low point at the beginning of 2020. Gross margins at the Business Units Surface treatment and Steel and steel processing are under pressure. On balance, the decrease in net revenue result of € 3.0 million can be fully attributed to pressure on the margins.

Gross revenue result (x € 1,000) 2016-2020

The consolidated result after tax for 2020 was € 3.4 million, compared to € 3.6 million for 2019. The decrease appears to be limited; however, the 2019 result has been affected by the write-downs due to lower steel and zinc prices and an exceptional non-recurring item regarding shareholding interests.

Investing in the future is and remains important. In 2020, € 5.5 million was invested (2019: € 4.7 million). The investments were mostly replacement investments - including the replacement of two zinc baths. In 2020, investments were also made in a hot zinc spraying facility in Wolvega and in improving the production facility at Rezinal. With the new hot zinc spraying facility, Rotocoat’s range of services has been further widened and its position as a multi-service centre in the field of surface treatment in Wolvega has been strengthened. With the investment in a state-of-the-art extraction system for the furnaces, Rezinal can further profile itself as the production location for sustainable zinc recycling. In addition, in Uitgeest investments were made in new steel cutting machines and solar panels on the roof of the large production hall. At the beginning of 2021, the solar panels were put into use. In 2020, all investments were financed entirely from own resources. Also, in 2021, some major investment projects will be carried out.

Investments (x € 1,000) 2016 - 2020