Downloads
Locations / Sites
Contacts
Download list

Cookies on the Borealis website If you continue without changing your settings, we'll assume that you are happy to receive all cookies from this website.
If you would like to change your preferences you may do so by following these instructions. Cookie Policy

Accept

Back

Borealis continues to invest in the future

Key figures and ratios

(Quarter ending March 31, 2006)

Q1 

2006

Q1 

2005

Q4 

2005

Q1-4 

2005

Sales revenueEUR Million1,3321,1441,2644,814
Operating profit / (loss)EUR Million3611045236
Net profit / (loss) after taxEUR Million318452226
Reduction / (increase) in
net interest-bearing debt
EUR Million(79)(89)(29)(110)
Gearing%49%44%44%44%
ROCE after tax%17%12%

Borealis today announced the financial results of the first quarter, reporting an operating profit of EUR 36 million. The result was adversely impacted by provisions related to the recently announced decision to close a 110,000 tonnes high density polyethylene unit in Norway, consistent with Borealis' strategic direction and further improving overall competitiveness. The results were also affected by an additional insurance premium surcharge arising from heavy losses suffered by the insurance industry.

Strengthening innovation capability

Borealis recently announced its decision to develop the Innovation Centre in Linz, Austria into the centre of its international research activities. This will include significantly increasing the number of employees at the Centre and investing EUR 25-30 million in facilities over the next five years.

The decision is part of a broader agreement with the government of Upper Austria to invest around EUR 19 million by 2011 in strengthening Upper Austria as a plastics industry research hub. In close cooperation with Johannes Kepler University and Wels Advanced Technical College, this commitment will lead to enhanced educational activities and general facilities.

An additional investment of EUR 6-7 million in 2006 by Borealis was announced for improvements at our Innovation Centre in Finland. Plans were also revealed regarding the creation of an Innovation Centre in Abu Dhabi as part of the continued growth and success of Borouge, our joint venture with the Abu Dhabi National Oil Company (ADNOC).

Net interest-bearing debt increased EUR 79 million during the quarter influenced by higher working capital values resulting from higher prices and sales volumes as well as a EUR 45 million dividend payment.

Commenting on the performance, Chief Executive John Taylor said:

"In a quarter characterised by further rises in feedstock and energy prices combined with volatile demand patterns, we successfully commercialised the capacity expansions completed last year strengthening our overall European market position. In this context, we continue striving to increase our plastics prices to maintain profitability."

END

Media Contact
Patrick Laureys
Senior External Communications Manager

Related News

Media Release – 30/11/2017

Frost & Sullivan recognizes Borealis with the Product Leadership Award in the Power Cable Materials Industry

Read more

Media Release – 27/11/2017

Borealis and the Johannes Kepler University create the “MORE” scholarship for asylum seekers and beneficiaries

Read more

Media Release – 23/11/2017

Borealis joins Together for Sustainability to enhance sustainability in its supply chain

Read more

Media Release – 06/11/2017

Borealis to study feasibility of a PP capacity increase in Europe

Read more

Media Release – 03/11/2017

Borealis delivers a solid quarter, advances on key growth initiatives

Read more

Media Release – 30/10/2017

Philippe Roodhooft appointed Executive Vice President Middle East and Growth Projects

Read more

Media Release – 25/10/2017

Borealis and Borouge announce global launch of new flagship brand Anteo™ enabled by Borstar® Bimodal Terpolymer Technology

Read more

Media Release – 13/10/2017

Borealis and Borealis L.A.T endorse Global Fertilizer Day

Read more

News – 06/10/2017

Stopping the Tap on Ocean Plastics (Project STOP)

Read more