The Madrid-based company Ence doubled its profit during the first quarter of the year posting a net profit of EUR 13.1 million, compared to EUR 6.6 million during the same period in 2012. The contribution of the new biomass generation plant in Huelva, Spain, the sound performance of cellulose prices on the world market and efforts to contain costs in a bid to absorb the Government's energy measures explain the excellent results reported by Ence.
The quarter was also marked by a sharp 43% decline in corporate net financial debt and the success of the bond issue in the international capital market for EUR 250 million, an innovative issuance converting Ence into the sole mid-cap in Spain by taking advantage of the liquidity window last January. Ence thereby consolidates its position as the most solid, streamlined company in its sector, and has a high investment capacity which sets it up to take on forthcoming investments.
With exports close to 85% of its production, Ence has further consolidated its position as European leader in short-fibre paper pulp production, ranking second in sales, with a market share greater than 15% in the continent.
According to The Washington Post, Ence is now considering acquisitions abroad after profit increases. The company has already studied and ruled out three target companies in countries including the U.K. and Italy, a person asking not to be identified told The Washington Post.
