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Grupa Azoty SACORRECTION: Azoty chemicals' Q1 results in line with earlier estimates
Listed chemicals group Azoty in the first quarter of 2025 generated consolidated sales revenues of PLN 3.82 billion (EUR 901.5 mln) and a negative EBITDA result of minus PLN 8 million EUR 1.9 mln), the company said in a market filing and a press release following the publication of quarterly report. The results are in line with previously published estimates.
Azoty's EBITDA margin at the end of the first quarter was minus 0.2 percent, which represents a year-on-year improvement by PLN 42 million (EUR 9.9 mln).
Positive EBITDA margin was achieved in the Agro segment.
"In addition to the improved financial results, in Agro and Plastics we increased the volume of products sold year-on-year by more than 200,000 tonnes. Thus, we are gradually rebuilding our position in the individual segments, despite the unfavourable market environment, including above all imports of products from outside the European Union," said Azoty's acting CEO Andrzej Skolmowski.
"We are counting on the European Parliament's recent decision on tariffs on fertilisers from Russia and Belarus to have a positive impact on the profitability of the Agro business," he added.
Acting CEO Skolmowski pointed out that in parallel to the ongoing corrective actions and talks with financing institutions, the group is completing work on a new strategy.
In the first quarter, the raw material situation of Grupa Azoty was influenced by a significant increase in natural gas prices, which were 71 percent higher than in the prior year period.
Electricity was also affected by the price increase. The unit cost of coal consumption was significantly lower year on year.
The results were largely negatively impacted by imports of products from eastern directions.
pr/ ao/