(Boursier.com) — The first quarter of 2024 Coil is a continuation of the trend observed in 2023. Revenue for the quarter stood at 5 million euros, down -21.3% compared to the same period of the previous year.
The turnover of packaged offers (1 ME; -39.9%) is down compared to a high comparison base in the 1st quarter of 2023, which was up +37.3%. At the same time, the destocking of metal distributors and increased competition in the European continuous anodizing market continues to weigh on the turnover of subcontracting services (4 ME; -14.7%) .
Quarterly revenue does not include first payments resulting from the recently signed collaboration and licensing agreement with a Chinese company. This partnership, announced on February 14, 2024, provides for the use of the company’s technology and brand in China. Coil thus received a first initial ‘upfront’ payment of 1 ME in April 2024. The execution of this agreement means the anticipation of other milestone payments and a constant flow of royalties, which should strengthen the financing of the society development.
Outlook
In 2024, Coil aims to reproduce its success in continuous anodizing in the high-growth Asian market, based on an adapted, competitive and value-creating business model. In Europe, the company remains cautious due to current macroeconomic challenges, and expects continued weak demand to continue to weigh on the recovery of outsourcing services volumes in the near term. However, its flexible industrial resources will allow it to respond quickly to any improvement in demand during the year.
By relying on its technological and commercial strengths and diversifying its positions in mature and emerging markets, the company is confident in its development prospects and capitalizes on its broad portfolio of sustainable, high quality and low carbon footprint products to increase the potential of its activities.
©2024 Boursier.com