In 2016, the Đuro Đaković group generated
revenues of 583.2 million kunas and had expenditures of 603.5 million kunas. This
represents a net loss of 20.2 million kunas, while earnings before interest,
taxes, depreciation and amortization (EBITDA) were a positive 16.5 million kunas,
or 2.9%. Compared to the same reporting period for 2015, revenues were greater
by 185.5 million kunas, or 47%, while EBITDA was higher by 46.5 million kunas
and net losses were reduced by 43.7 million kunas.
The Đuro Đaković group registered a 9.8 million
kuna loss in the fourth quarter of 2016. Over the entire year, the group
recorded a loss after taxes in the amount of 20.2 million kunas. There were
three basic reasons for the loss: insufficient use of capacity in the Transport
segment in the first quarter of 2016, the loss recorded on the Čiovo
bridge project, and the absence of planned earnings from the production of armored
combat vehicles (ACVs) after the buyer pushed back the start of production. Although
restructuring measures showed results in the Transport and Defense segments, it
will still be necessary to implement additional measures in the Industry and
Compared to the same reporting period last year,
the group recorded significant improvements. Total business revenues are higher
by 181.4 million kunas (an increase of 45.9%), exports are higher by 25 million
kunas (an increase of 21%), and overall results are higher by 43.7 million
kunas (and increase of 68.3%). Compared to 2014, the Đuro Đaković group generated
194.3 million kunas more in earnings (an increase of 50.8%), exports were
higher by 36.2 kunas (an increase of 33.7%), and overall results were higher by
72.9 million kunas (an improvement of 78.2%).
Special emphasis should be placed on the fact
that in 2015 the Đuro Đaković group achieved a positive EBITDA of 16.5 million
kunas, which is an improvement over the previous year of 46.5 million kunas.
This is the first time since 2012 that the group has registered a positive
EBITDA (2012 was the last year of full production of ACVs). Compared to 2014,
EBITDA was better by 82.1 million kunas. As of 31 December 2016, the signed
contracts of the Đuro Đaković group are valued at 554 million kunas.
One goal that still has not been achieved is
financial restructuring with the purpose of achieving the optimal structure for
the source of business (very small participation of our own sources in the
balance of the group). The Management board of the Đuro Đaković Group d.d. intends to
achieve this goal by issuing new shares.
"In 2016 the Đuro Đaković Group reversed
the trend of several years of stagnation and losses. Conducting business with a
positive EBITDA demonstrates that the group has a positive program and that it
is able to find a market for the sale of its products, even in years without
sales in its most profitable programs. We are at a make-or-break moment for the
future of the company because what is necessary to continue this rising trend is
a full volume of ownership investment, which
has been missing since 2014 and which would ensure the achievement of our plans
for the future," said Tomislav Mazal, President of the Board.