Exel reports operating profit from continuing operations of €1.0 million in the first quarter of 2010 (ended 31 March 2010), down from the €2.0 million recorded in the first quarter of 2009.
“The market situation continued to be difficult during the first quarter of 2010, and sales decreased 15.4% from the first quarter of 2009 and 3.6% from the last quarter of 2009," says Vesa Korpimies, President and CEO, Exel Composites, Finland. "The first two months of the year were particularly challenging. Sales improved somewhat in electrical industry, where new long-term agreements were signed in 2009, as well as in the transportation industry, which was severely hit by the recession. In the machine industry the order levels are slowly improving towards the level before the downturn."
Exel expects the challenging market environment to continue in the short term and says that productivity improvements and cost efficiency remain its priorities in 2010.
"Exel Composites long-term growth prospects remain favorable, as there are many potential opportunities in airport products, in electrical industry as well as in the window and door profile market, where composite materials offer e.g. superior insulation properties and good performance in demanding conditions," concludes Korpimies.