Preliminary figures for the first quarter indicate strong growth for Nexam Chemical and extends the subscription period in the ongoing rights issue
Nexam Chemical experienced a strong development during the first quarter and sales are expected to amount to approximately SEK 40 million (SEK 31.7 million), which is the strongest quarter in the company's history. EBITDA is estimated to amount to about SEK 2 million (SEK -1.7 million). Following the announcement of the quarterly result, Nexam Chemical extends the subscription period in the ongoing rights issue until Thursday, April 2, 2020.
Sales of SEK 40 million correspond to a growth of 26 percent, which is mainly driven by continued strong development within the business area Performance Chemical.
Following the announcement of the quarterly result, Nexam Chemical will prepare a supplementary prospectus and extends the subscription period in the ongoing rights issue until Thursday, April 2, 2020.
It is extremely positive that during the current turbulence due to the corona virus we can show the strongest quarter in Nexam Chemical's history. Not only do we show the highest sales, but we also achieve a positive EBITDA, which indicates that we are on the right track towards establishing ourselves as a profitable growth company. The strongest driving force behind our growth is the strong demand in the wind power industry, where we received important orders from China during the quarter and entered into a significant supply agreement with Diab, our largest customer. Although there is great uncertainty in the world, we still year to date have well-functioning business and we continue to see strong, long-term growth opportunities for the company, says Johan Arvidsson, CEO of Nexam Chemical.
For more information, please contact:
Johan Arvidsson, CEO, +46-708 97 44 39, email@example.com
This information is such information as Nexam Chemical Holding AB is obliged to make public pursuant to the EU Market Abuse Regulation. This information was submitted for publication, through the agency of the contact person set out above, at 08.00 CET on March 27, 2020.
The English text is an unofficial translation. In case of any discrepancies between the Swedish text and the English translation, the Swedish text shall prevail.
About Nexam Chemical
Nexam Chemical develops technology and products that make it possible to significantly improve the production process and properties of most types of plastics in a cost-effective manner and with retained production technology. The improved properties include strength, toughness, temperature and chemical resistance as well as service life. The improvements in properties that can be achieved by using Nexam Chemical's technology make it possible to replace metals and other heavier or more expensive materials with plastics in a number of applications. In applications where plastic is already used, Nexam Chemicals products can improve the manufacturing process, reducing material use and enable more environmental friendly alternatives. Example of commercial applications: pipe manufacturing, foam production and high-performance plastics. More information about the business will be found on www.nexamchemical.com. The company´s Certified Adviser is FNCA Sweden AB. FNCA Sweden AB can be reached at firstname.lastname@example.org or by phone +46-8 528 00 399.