At the beginning of the 2024 fiscal year, the effects of the 2023 crisis persisted, requiring an adjustment of business activities to lower production volumes. The focus also shifted to the targeted reduction of produced inventories and the release of liquidity. In the second half of the year, the Group’s manufacturing companies began generating positive operating results, driven by targeted restructuring measures. To strengthen the Group’s financial stability, a capital increase was carried out in December 2024, with the shareholders approving the conversion of loans into equity totaling CHF 43.5 million, thereby strengthening the balance sheet in the long term.
In 2024, the company as a whole achieved net revenues of Euro 47.7 million, a decrease of 15.3% from the previous year (Euro 56.4 million). Overall, sales were impacted by a 2% decline in volumes and a negative 8% effect from the price and product mix.
Earnings before interest, taxes, depreciation and amortization (EBITDA) amounted to Euro 2.1 million, an increase of Euro 7.2 million over the previous year’s figure of Euro -5.1 million. This corresponds to an EBITDA margin of 4.4%.
Consolidated depreciation and amortization amounted to Euro 5.9 million (previous year: Euro 4.2 million). The year-on-year increase is primarily attributable to additional amortization related to the harvest zones in Brazil. EBIT at Group level totaled Euro -3.8 million.
At Euro 0.1 million, the financial result was above the previous year’s figure of Euro -3.7 million, primarily due to the reduction in interest expenses resulting from the debt restructuring. Net debt stood at Euro 8.3 million at year-end, approximately Euro 40 million lower than the previous year. The net result amounted to Euro -4.9 million.
Outlook for 2025
Precious Woods does not yet anticipate a robust recovery in the timber and construction industry in the 2025 fiscal year. However, the stable volume of incoming orders in recent months will allow us to increase production. Operationally, our goal remains to consolidate our newly regained profitability in what continues to be a challenging environment and, with the improved balance sheet structure, to make the best use of a future upswing.
Precious Woods is an international company active in the sustainable management and use of tropical forests.
