Gascogne reported 3Q sales of Euro 74.1 million

Oct 26, 2012. /Lesprom Network/. In an increasingly difficult economic climate, the 3Q sales generated from Gascogne’s continuing operations stand at Euro 74.1 million, compared with Euro 76 million in 2011 for the same period, as the company said in the press release received by Lesprom Network. Over 9 months, the sales generated from the Group’s continuing operations stand at Euro 227.46 million, down by 2.7%. Integrating the Laminates division, classified as held for sale, the Group’s sales total Euro 356.9 million, representing a drop of 4.8% based on comparable data, in relation to 2011. In the 3Q Wood division's business activity was still penalised by the decline in demand for sawing and decoration, the division’s two main markets, with trends similar to those previously observed during the first half. Paper division’s growth accelerated in the 3Q with sales up by 10.6% to Euro 27.1 million, due to the effects of both volume (commercial successes) and price (increase in sale price since July following the rise in the price of raw materials). At the end of September, sales were up by 2.2% to Euro 76 million, despite the scheduled 15-day plant stoppage in April 2012. Sacks division’s sales experienced a downturn of 8.0% over the 3Q, after figures were up slightly (by 0.6%) in the first half of 2012, resulting in sales down by 2.2% over the first nine months. During this quarter, the division was essentially affected by a drop in demand for industrial sacks, mainly due to the economic downturn in Europe’s construction industry. Sales for the Laminates division dropped by 7.9% to Euro 35.9 million over the 3Q, like-for like, with Gascogne Laminates Switzerland’s business divested at the end of August 2011. The drop over the 9 months was 5.7% to Euro 129.5 million. This trend is mainly explained by orders which were lower than initially expected from certain originators due to the economic climate, but also by the Group’s decision to reduce the production of non-profitable products. Gascogne group is the only French player fully integrated throughout the entire chain of the wood-paper-conversion sector. It has four complementary divisions: Gascogne produces wood products, natural machine glazed kraft paper, industrial and consumer sacks and laminates for packaging and protection applications.