Sustainability of AD Plastik Group in 2021
AD Plastik Group has published the Integrated Annual Report for 2021, which contains all relevant information on the company’s activities and business operations, audited financial statements and sustainability indicators according to GRI standards.
The Group’s operating revenue for 2021 amounted to HRK 1.1 billion and was by 7.6 percent lower than a year earlier. EBITDA amounted to HRK 125.3 million and was lower by 24.5 percent, while net profit amounted to HRK 32.7 million and was lower by 30.3 percent.
“Although the very beginning of the year had positive signs and indicated a market recovery, the global crisis of the lack of semiconductors has significantly affected the sales of new cars. Namely, due to the crisis, car manufacturers failed to meet the needs of the market and deliver the required quantities. Disruptions in production processes have affected the entire supply chain, including our business too. Unlike production, sales and project activities have been proceeding unhindered, so in 2021 we sealed new deals worth more than EUR 150 million. We have also sealed deals on several very important development projects, thus strengthening our position as a development supplier,” said Marinko Došen, President of the Management Board of AD Plastik Group.
In addition to disruptions in the supply chain, last year was marked also by a significant increase in the prices of materials, raw materials, transport and energy sources. By open price calculation and alignment with most of its customers, the impact on Group’s business has been reduced. Reduced production and lack of vehicles have affected the expected trends in the number of newly registered cars, while the development activities of car manufacturers are in full swing.
Despite all the challenges in the market, AD Plastik Group continuously meets very high standards of sustainability in all aspects of its business. Corporate social responsibility is one of the basic determinants by which the company is guided in the development of its strategy, policies, plans and activities. Continuous development and improvement of corporate culture and raising quality standards in all business segments are a common business model. Despite an extremely demanding and challenging year, communication with key stakeholders was regular and with no interruptions. The care for employees, customers, suppliers and shareholders has not been neglected at any time and improvements have been continuously worked on.
The non-financial part of the fifth Integrated Report of the AD Plastik Group has been verified by HR BCSD, whose opinion, among other things, states: ” The first part of the Integrated Report pointed to successful business operations in turbulent times and a stable organization that has been successfully adapting to changes in market conditions. In the second part of the report, AD Plastik Group showed us how it manages its impacts in terms of sustainability topics, how it determines their materiality and how it plans new improvements in the next business year based on monitoring and measurements. This report shows progress, both in reporting practices as well as in the practices of managing material impacts in the field of sustainability. A lot of effort invested in reducing negative impacts and progress regarding almost all material topics is visible. We hope that this trend in the AD Plastik Group will continue.”
In addition to the abovementioned challenges that are continued also in this year, the global economy has been facing a new crisis and uncertainties it brings.
“During the preparation of this report we have been facing another unexpected situation. The Russian-Ukrainian crisis is a new challenge for the global economy and our business. Given the uncertainties, we are aware of another very difficult and challenging period ahead. We are primarily focused on preserving financial stability and business sustainability, and reducing negative impacts on business. At the same time, we have been sealing new deals in the European market, realizing contracted projects and continuing development activities. Despite the uncertainties, we are confident in the survival and long-term development of AD Plastik Group”, said Marinko Došen.
