23 April 2015

TenCate trading update for the first quarter of 2015

Key figures

in millions of Euros

First quarter


First quarter





Organic revenue growth

+ 9%

− 6%




Net interest-bearing debt



Debt ratio, Net debt / EBITDA



TenCate recorded a 20% increase in revenues in the first quarter of 2015. On an organic basis, adjusted in part for the higher dollar exchange rate, revenue growth was 9%. The strong revenue growth in the fourth quarter of 2014 relating to composite materials and synthetic turf continued in the first quarter of 2015. Higher sales of TenCate Defender™ M and synthetic turf drove the improvement in margins and earnings. An earnings recovery at TenCate Advanced Armour has not yet materialised.

Net debt amounted to € 235.6 million at the end of the first quarter. The increase of € 20.1 million since the end of 2014 is primarily the result of the sharp rise in the dollar exchange rate.

For the year as a whole, TenCate maintains its expectation that organic revenue growth will be similar to that of 2014.

Advanced Textiles & Composites Sector
In the TenCate Protective Fabrics market group, sales of TenCate Defender™ M were in line with previous quarters and significantly higher than in the first quarter of 2014.

The TenCate Advanced Composites market group continued its growth, in part based on the increasing aircraft build rates and a recovery in demand from the aerospace and satellite industry.

The TenCate Advanced Armour market group’s revenues and result remained at a low level in the first quarter. The current reorganisation is aimed at achieving a substantially lower break-even point.

Geosynthetics & Grass Sector
In the first quarter the revenues of the TenCate Geosynthetics market group remained on an organic basis the same as in the first quarter of 2014. Revenues in Asia picked up.

The TenCate Grass market group continued its growth rate in the sales of synthetic turf for both sports pitches and landscape projects, helped by increased marketing efforts. Profitability also improved due to higher efficiency and further cost savings.

Sale of TenCate Enbi
The sale of TenCate Enbi at book value, as announced in January 2015, was finalised immediately after the first quarter.

Royal Ten Cate
Almelo, The Netherlands, Thursday, 23 April 2015
Download: 150423 Press Release TenCate re. Trading Update 15Q1.pdf
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