The Urethane Blog

Recticel 2019 Results

Annual results 2019


  • Combined sales decreased by 7.2% on a comparable restated basis
  • Combined Adjusted EBITDA: EUR 114.7 million, EUR 88.2 million before IFRS 16
  • Result of the period (share of the Group): EUR 24.8 million, EUR 26.0 million before IFRS 16
  • Total combined net financial debt: EUR 227.5 million, including EUR 87.0 million impact of IFRS 16 (30 September 2019: 237.2 million; 30 June 2019: EUR 261.3 million)
  • Proposal to pay a stable gross dividend of EUR 0.24 per share

Olivier Chapelle (CEO): “Amid global trade tensions and geopolitical uncertainty, our topline has decreased by 7.2% in 2019. It has been primarily influenced by selling price erosion as a consequence of substantial isocyanates raw material cost decrease, and by soft global Automotive and Comfort markets.

Our Flexible Foams division delivered a record performance, in spite of lower volumes. In changing market dynamics, our Bedding division has confirmed its growth potential over the last 9 months of 2019, and has significantly improved its profitability. Considering the overall turmoil in the sector, especially in China, our Automotive division has adapted itself and managed to limit the impacts on its profitability when compared to sector peers. Our Insulation division has grown its volumes in 2019, but has seen its profitability reduced due to margin erosion on the back of intensified competition in its main markets, in combination with the ramp-up costs of its new Scandinavian facility.

While the Group’s profitability has been slightly affected by these circumstances, Recticel generated a solid cash flow allowing to further reduce its financial debt.

The Automotive Interiors divestment progresses in unfavourable market circumstances, but has been recently slowed down by the most recent developments in the Chinese market, still not allowing us to communicate on its outcome.”


Looking forward into 2020, our key markets remain difficult to predict given the volatile economic and geopolitical environment, further complicated by the impacts of the coronavirus on the world economy. Compared to 2019, and building on its strong positions in key markets and segments  and its ability to quickly adapt to changing market conditions, Recticel targets an increase of its Adjusted EBITDA in 2020.