LISBON, July 28 (Reuters) – On Tuesday, Portugal’s company Navigator reported a 53% drop in net profit in the first half to 44 million euros ($52 million), due to a sharp drop in global paper entry blockades imposed to combat the spread of the coronavirus epidemic.
Navigator, which sells its pulp and paper products in more than a hundred countries on five continents, said in a statement that its total sales fell 18.6% to 695 million euros in the first six months of the year.
“The significant slowdown in the economy has had a strong effect on the graphics industry, however, despite the strict restrictions imposed, the maximum gravity has been felt throughout the graphics industry segment,” he said. the company, controlled through the Portuguese conglomerate Semapa.
There were significant diversifications among European markets, Navigator said, and intake was reduced less in countries where the measures were not as serious as in those where strict blockades were applied.
FIRST-half EBITDA (pre-interest profit, tax, depreciation and amortization) 140 million euros, 32% less, he said.
While the outlook for the rest of the year is still uncertain, the company said there have been a number of recent signs.
“Navigator is now receiving new orders at an almost normal rate for the first time this year,” he said, adding that the group’s paper machines were working again.
But “there is still the risk of a momentary pandemic wave, with the negative effect this can have on exporting companies like Navigator,” he said.
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