TITAN: Increased by 11.6% sales in 2023

11.6% increased its sales in 2023, according to the Single Annual Report 2023 published today (28.3.2024). In addition, the TITAN Group showed strong performance in reducing pollutant emissions alongside a record performance, increased returns to shareholders and creating long-term value for participants. “These achievements underline Titan’s commitment to sustainable development, innovation and customer focus” is noted. More specifically, sales amounted to 2,547 billion euros increased by 11.6%. Profit before interest, taxes and depreciation (EBITDA) amounted to 540.3m euros (an increase of 63.1%). All geographical areas recorded a large increase in profitability, thanks to increased sales, enhanced prices and improved energy cost management performance. Net profits after taxes and minority rights (NPAT) more than doubled and amounted to 268.7 million euros (+145%), while profits per share were set at 3.6 euros per share. The return on average employed capital (ROACE) was 16.9%. The loan ratio was reduced to 1.2x, while net lending decreased by EUR 137 million to EUR 660 million, despite high investment costs, aimed at capacity growth projects, improving the energy mix and logistics. In 2023, the rating agency S&P upgraded Titan’s credit rating to a “BB with a positive outlook” and Fitch evaluated the company with a “BB+”. According to the 2026 strategy, TITAN carried out five acquisitions and partnerships that give access to reserves of additional cement materials over 100 million tonnes and inert materials over 90 million tonnes, in attractive markets. The company also signed a grant agreement of EUR 234 million with the EU Innovation Fund for the innovative carbon capture project “IFESTOS” to be implemented in Greece. At the same time it achieved a reduction in CO2 emissions by 11kg to 608 kg/t cement product due to increased use of alternative fuels and the reduced clinker-cement index. The frequency of accidents leading to loss of working time (LTIFR) of workers and contractors was set at 0.45 – among the top companies in the safety sector. TITAN Group took 265 partnerships initiatives with local communities while more than 330,000 were the beneficiaries. It also secured an ‘A’ assessment by the CDP to address climate change and with ‘A’ by MSCI for ESG performance. The Group has taken significant steps in digital transformation by developing real-time production optimisation systems (RTO) and installing systems to predict damage to all factories, achieving productivity growth and reducing energy costs. In addition, it has promoted efficiency in iconic factories: Pennsuco in the US is the first cement factory by digitizing processes across the spectrum of production (end-to-end). The renewed corporate identity, including the purpose, values and renewed logo that incorporates the company’s history while remaining close to the design of the previous, while reflecting the Group’s strategy that combines dynamism, innovation and sustainable development. At the upcoming annual general meeting on 9 May 2024, the Board of Directors will propose the distribution of a dividend of EUR 0.85 per share for the financial year 2023, continuing its progressive dividend policy. Subject to the approval of shareholders, the dividend increase corresponds to an increase of EUR 0,25 per share or 42% compared to the dividend of the previous year, of EUR 0,60 per share. On the basis of the share price on 31 December 2023 (21.25 euros), the dividend rate is 4%. The significant increase in the dividend, combined with the already announced share repurchase programs of some 15m euros in 2023, highlights the company’s strong focus on returns to shareholders. SOURCE: RES-BE