Zorpas sales and profits climb in 1Q09

A Zorpas & Sons Public Company Ltd (ZRP) issued its first quarter 2009 financial results with revenue climbing 8.7% at EUR16.5mln, while net profits improved by 83% to EUR 565.000 compared to EUR 308.000 a year ago in the same period. EPS stood at EUR 0.0494.The increase in revenue is mainly attributed to the performance of the Company’s new industrial unit in the second half of 2008, the synergies in other operating sectors and potentially due to higher prices.
Despite elevated fixed costs, gross profit advanced by 13.3% to EUR 6.1mln, with gross margin improving by 120bps to 37.3%. Total operating expenses were up by 7.8% to EUR 5.3mln, whilst as a percentage of sales they improved by 50bps to 32.2%.
According to Management, profitability for the full year of 2009 is expected to be materially higher, given the contribution from the Company’s gradual expansion relating to its new production line.