Amica white goods wants to reduce inventory levels by approx. PLN 50 mln by end-2025

"We have ambitious plans to reduce inventories by the end of the year. Our goal is to reduce them by approximately PLN 50 million and maintain this lower level throughout the next year," said deputy CEO Rakowski.

He added that the group recorded a 4 percent increase in revenues from the sale of products and goods on the Polish market.

"Not only are we seeing an increase in revenue, but we are also showing better profitability in our business. (...)," Rakowski pointed out.

"To sum up the Polish market, we are pleased with the positive actions and cooperation with our customers, even though we are experiencing a downward trend in the market. The Polish market is no different from the rest of Europe, where virtually every country is experiencing declines," he added.

Rakowski emphasised that the Central Asian market stands out positively, especially Kazakhstan.

"Sales growth here was around 30 percent (...) in the Central Asian region: Kazakhstan itself and its neighbouring countries, namely Mongolia, Kyrgyzstan and Uzbekistan. These are the countries that dominate today," he added.

Amica's deputy CEO pointed out that the group will increase its activity also in Azerbaijan, Armenia and Georgia.

Rakowski noted that Amica is still unable to achieve sales growth, which is linked to the fact that the entire household appliances market in Europe is recording another quarter of declines.

"However, cost-cutting measures are bringing results. The EBITDA margin was 4.3 percent, which was higher than in the first quarter of 2025. At that time, we recorded 3.2 percent, so the trend is positive, and I hope it will continue," he added.

The deputy CEO said that the group is continuing to implement its long-term 'Back to Profitability' strategy.

"There are many projects that we are implementing to support our main objectives, namely, to recover sales revenue, recover volume, recover profitability, make better use of assets, but at the same time, maintain a stable financial policy. It is very important to rebuild the margin on the sale of heating equipment," he stressed.

"It is very important for us to maintain healthy financing for our business. Net debt to EBITDA was 1.42 as of June 30, so we have a buffer up to 2, which is, in our opinion, the target level of the strategy, and of course we will do everything we can to ensure that this ratio is not exceeded," Rakowski assured.

The group's strategy, presented in September 2024, assumes sales growth of over 7 percent per year from 2030, with expected EBITDA margin of 5 percent in 2027 and 7 percent in 2030+.

The goal is also to increase the RONA (return on net assets) ratio to 14 percent in 2027 and to exceed 17 percent in 2030 and further years. The company intends to maintain its net debt to EBITDA ratio below 2.0 and increase its gross margin on product sales to 25 percent in 2027 and 28 percent in 2030+.

In the second quarter of 2025, Amica had PLN 582.3 million (EUR 136.55 mln) in revenue, PLN 31.5 million (EUR 7.4 mln) in EBITDA, PLN 16.1 million (EUR 3.8 mln) in operating profit (EBIT) and PLN 5.5 million (EUR 1.3 mln) in the net profit.

In the first half of 2025, the group recorded PLN 1,149.2 million (EUR 269.5 mln) in revenue from contracts with customers, which represents a decrease of 8 percent year on year. EBITDA increased by 14 percent year on year to PLN 49.9 million (EUR 11.7 mln) and the operating profit rose by 33 percent to PLN 19.2 million (EUR 4.5 mln).

The EBITDA margin increased by 80 basis points to 4.3 percent, and the operating margin rose by 50 basis points to 1.7 percent.

mbi/ ao/