German Pellets achieves 6.5% more turnover

German Pellets, Wismar, increased sales to € 593 million (2013: € 557 million) last year. Earnings before interest, taxes, depreciation and amortization (EBITDA) rose to € 50.2 million (€ 49.3 million), net profits to € 7.9 million (€ 4.5 million). The equity ratio climbed from 13.7% to 15.4%. According to a company’s press release, mild weather and cheap oil made for a difficult year on the European pellet market.

German Pellet’s expansion to the United States paid off, however. The group benefits from the favorable raw material and energy costs there. The first mill in Woodville, Texas, is running at full capacity. Another plant in Urania, Louisiana, is currently being started up.

In addition to the classic private and commercial heating market, German Pellets increasingly sells merchandise into the industrial and power plant market. Two new medium to long-term contracts were signed with European energy companies – the first time also for the supply of wood chips. For the fiscal year running, the group expects a stable sales and earnings development.