One51 sees first-half profits rise while turnover declines

CHARLIE TAYLOR

Investment company One51 has announced pre-tax profits before exceptional items of €3.6 million for the first six months of 2014, compared to €2.1 million for the same period a year earlier.

Turnover at the environmental services and investment holding group fell by 3 per cent from €148.8 million to €144.4 million. One51 said the reduction in turnover was largely due to an increase in sales in its plastic division, which was offset by decreases in turnover in metal recycling and costs associated with the disposal of Irish Pride Bakeries in April.

Earnings before interest, tax, depreciation and amortisation (Ebitda) declined by 1 per cent in the first half of the year to €10.9 million.

The group said it was seeing tentative signs of recovery returning to some of its end markets, although it added that conditions in the recycling sector remain challenging.

One51 is structured into three divisions: plastics, its environmental waste operation ClearCircle, and its investment holdings arm, which holds its stake in NTR, a 13.7 per cent share of Pioneer Green Energy in the US, and a 4.3 per cent stake in the tidal energy company OpenHydro.

During the first-half of 2014 the company agreed a new €75 million four-year banking facility and sold off a number of non-core assets, including Irish Pride Bakeries. The group also sold its stake in the hazardous waste management company Augeon for €9 million.

One51, which reported its first profit in eight years in April, said net debt declined by 59 per cent from €84.4 million in the first six months of 2013 to €34.3 million for the same period this year. The group has reduced its net debt levels significantly over the past few years with net debt standing at €146.4 million at the end of 2011.

"Since 2011, One51 has undergone a significant process of change and is now a transformed group with operations in plastics and environmental services together with an investment portfolio largely focused on the renewable energy sector. Our businesses performed strongly in the first half of the year. Since the agm in May, we have undertaken a capital raising exercise which saw strong demand from existing and new investors," said chief executive Alan Walsh.

“We have also recently completed the acquisition of Straight which, when integrated with our MGB (Plastics) business, will present us with an exciting opportunity to become the leading plastic recycling container business in the UK and to expand into export markets,” he added.

One51 said that in recent months HSBC had joined its banking syndicate and committed €25 million to its existing facility, thereby increasing the overall bank facility to over €90 million. The group said that as a result of the increase in bank facilities and equity fundraising, it now has "substantial" financial resources available to fund organic growth and to make strategic acquisitions.