THE PUBLICATION OF Mannok’s 2020 performance review shows a robust post lockdown recovery and a positive outlook for 2021.
The company posted an increase in Earnings Before Interest, Tax, Depreciation & Amortisation (EBITDA) of 17% to €31.1m for the 12 months ending 31 December 2020.
The results come despite the challenges of Covid and Brexit during the period, which included a halt on all non-essential production at the company’s multiple manufacturing plants during Q2.
2020 also saw the company take on a rebrand from Quinn to Mannok. It marked the culmination of a 6-year transformation and investment programme that saw sales and employment increase by 44% and 25% respectively. The timing of the rebrand was a bold decision given the uncertainty experienced during the year, but has proved successful.
Mannok’s significant investment continued, to the tune of €6.7m in the period, bringing total investment to €66m since the acquisition of the businesses in December 2014.
Mannok’s 2020 Performance Review Highlights
- EBITDA increased from €26.6m to €31.1m. Revenue remained materially consistent at €233m, demonstrating strong resilience to the impact of Covid-19 on trading during the year.
- 2020 saw good sales and margin increases across cement and packaging, partly offset by higher raw material costs for insulation products.
- Covid 19: safety was a priority in 2020 with measures put in place to protect staff and customers.
- Positive response reported internally and externally to new identity with rebranding ongoing across Mannok’s entire fleet, premises and product range.
- Cash generation from operating activities improved by over 44% from €21.7m to €31.3m aiding a reduction in net debt in the period of €19.4m
- Investment of €6.7m in the period, primarily in manufacturing technology and capacity enhancement. Brings total investment to €66m since the acquisition of the businesses in December 2014. A further €6.1m of investment is already in train for 2021.
Uninterrupted Supply Chains
Liam McCaffrey, Chief Executive Officer said: “The safety and welfare of our staff and their families has been, and remains, of paramount importance through the pandemic. As an organisation with operations on both sides of the border, we are enormously grateful for the support and commitment of our 800+ colleagues in helping to navigate the twin challenges of Covid-19 and the Brexit transition.
“Careful resource planning and operational agility, facilitated by the significant investment we have made in our sales support, logistics and customs management infrastructure, have ensured uninterrupted supply chains for our customers across the construction and food industries on the island of Ireland and in Great Britain.
“Post the initial lockdown, trading recovered strongly in the second half of the year, supported by approximately €66m of new investment over the past six years. While the business has experienced some impact on trading activities over recent months, with a number of customer projects being delayed as a result of Covid-19, underlying demand has remained strong. The outlook for 2021 is positive.”
Mannok comprises two key divisions, Building Products and Packaging. Its key activities are the manufacture of cement, concrete, quarry, insulation materials and products, as well as the manufacturing of packaging products, mainly for the food industry. Mannok employs a locally based workforce of approximately 830 employees.