Helesi (Egio / Greece; www.helesi.com) has reported pretax profits of EUR 3m in the six months to 30 June 2009. The profits at the manufacturer of plastic products for waste management are down about 20% due to increased finance cost, which nearly doubled to EUR 2.4m. However, the strong focus on expenditure meant operating costs increased by only 5.5% to EUR 9.8m.

Organic growth generated an 18.9% increase in revenue to EUR 39.2m, providing Ebitda earnings of EUR 7m, a 14.3% increase on the same period of 2008. Two new factories came on stream – in Pisticci Scalo, Matera / Italy and Komotini / Greece. Both facilities are currently operating at 50% capacity. The expansion increased Helesi’s workforce by 24%. However, production has ceased temporarily at the Bradford / UK site, with demand being satisfied by unutilised Greek capacity. The UK factory will continue to operate as an assembly and distribution centre.

Revenues declined in the waste services business. Helesi’s plans to build two waste transfer stations in Cyprus met with opposition from the local community. As a result, construction of one of the stations has been delayed. The manufacturer is currently negotiating with the appropriate authorities about compensation for the delay. Meanwhile, the company has begun delivering specialist waste vehicles and ancillary equipment to Athens municipality, a contract it says will make a “significant contribution in terms of revenue during the period.”

Following completion of the EUR 87m investment programme, chief executive Sakis Andrianopoulos says, “Helesi now has a manufacturing infrastructure that will accommodate expansion in existing and into new territories for the foreseeable future.” However, growth will be slower than previously anticipated because of the effects of the recession. The principal focus for the rest of the year is on cash collection and management.

e-Service:
Helesi Interim results for the six months to 30 June 2009 as a PDF document (130 KB)