Masterplast-Slower growth to start the year

• Masterplast kept the growth momentum in Q1, albeit with a weaker q-o-q performance, reporting group EBITDA at EUR 5.2 mln (+35% y-o-y, +13% q-o-q) and a net profit of EUR 3.3 mln (+26% y-o-y, 83% q-o-q). Quarter was boosted by higher prices and volumes in most segments, but OPEX increase (both on headcount and salaries, slightly helped by seasonality), higher material prices and weaker high-value-add sales (i.e. healthcare supplies) weighed on margins.
• Sales grew 35% y-o-y, boosted by subsidized Italian market (Export up 88% y-o-y), but Romania (+76%), Slovakia (+52%), Serbia (+47%) and Poland (+42%) all shown robust growth over 21Q1. Govt. subsidies and incentives continue to boost demand, while increasing price point across all products induce pre-purchases. Only Ukraine reported weaker y-o-y numbers, unsurprisingly at current difficult times, where Masterplast suspended sales activity as of the beginning of the war, therefore coming quarters are expected to show further drop. As for product groups, thermal insulation, the main product group for the group, recorded 88% growth y-o-y, offering margin boost through the majority of it being self-produced. Operating margin dropped both in a y-o-y and q-o-q context, some 3.3 ppts below FY21 average, mostly on higher input prices and different sales mix.