Ooni Koda
  1. Home
  2. /
  3. Newsfeed
  4. /
  5. TeraPlast Group: after the expansion phase, it concludes...

TeraPlast Group: after the expansion phase, it concludes 2024 with a 34% increase in revenue and enters the consolidation year with the goal of increasing profitability and RON 1 billion in revenue

February 26, 2025

TeraPlast Group recorded a 34% increase in revenue in 2024, reaching RON 897.9 million, compared to RON 672.3 million in 2023. This growth is generated by an increase in sold volumes, the launch of operations at the Opal stretch film factory, and the consolidation of results from companies acquired in 2024.
EBITDA remained at a similar level to 2023, reaching RON 52 million. This reflects both the strategy to increase market shares and the impact of price pressures and contraction in certain European markets. Thus, in the context of the disproportionate evolution of revenue and profitability, the EBITDA margin for the entire year of 2024 stands at 5.8%, down from 7.6% in 2023.
For 2024, the TeraPlast Group registered a net loss of RON 19.6 million, mainly due to increased interest expenses and depreciation costs following the commissioning of investments in new factories. The negative result was particularly influenced by losses from the start of the Opal stretch film business, which had an accelerated ramp-up process and gaining market share. Additional contributions came from the losses recorded by TeraBio Pack, as well as non-recurring expenses throughout 2024 related to geographic expansion.
The gross margin increased by 29%, rising from RON 247.4 million in 2023 to RON 319 million in 2024. This reflects the impact of acquisitions made in 2024; however, it was eroded by rising expenses related to wages, energy, and transportation.
Sales outside Romania grew by 122%, reaching RON 233.6 million in 2024, compared to RON 105.4 million in 2023. Their share of consolidated revenue thus increased to 26% in 2024, compared to 15.7% in the previous year.
Quantitatively, the TeraPlast Group had a 46% increase compared to 2023. In 2024, TeraPlast Group sold 109,985 tons compared to 75,346 tons in 2023. This increase is mainly attributed to quantitative growth in the Installations, Granules, and Flexible Packaging segments, while 6% of the total volumes in 2024 were generated by M&A activities.
"The evolution of TeraPlast Group in 2024 reflects the mix of organic growth and growth through acquisitions, overlaying the fluctuations in European markets. Our strategy for geographic expansion has put pressure on teams, tested shareholders' patience, and impacted profitability, but it was a necessary step. Increasing market shares while we expand is essential to building a solid foundation for future growth." stated Mr. Bogdan Crăciunaș, Chief Financial Officer of TeraPlast Group.

Business lines’ performance
Installations: 71% of Group Revenues
• The segment's revenue grew by 28%, reaching RON 641.5 million in 2024, compared to RON 501 million in 2023, driven by increased volumes and the consolidation of new subsidiaries.
• EBITDA was RON 54.1 million in 2024, resulting in an EBITDA margin of 8.4%. While the segment's EBITDA saw a slight increase from 2023 (+3%), the EBITDA margin eroded by 1.1 percentage points (10.5% in 2023).
• The Wolfgang Freiler Group and Palplast Moldova contributed 15% to the segment's revenue.
The Romanian market remained stable despite delays in public works payments. In contrast, the Western European markets where the Wolfgang Freiler Group operates experienced contractions that exerted price pressure and eroded profitability. Palplast Moldova enjoyed solid demand throughout the year from the private residential sector and completed the expansion of its storage capacity in Călărași.
Granules: 10% of Group Revenues
• Revenue increased by 21%, reaching RON 91.8 million in 2024, compared to RON 76 million in 2023, supported by a quantitative growth of 39%.
• EBITDA rose by 58% from the previous year, reaching RON 9.5 million in 2024, which improved the EBITDA margin to 10.5%. In comparison, the segment recorded an EBITDA of RON 6 million and an EBITDA margin of 7.9% in 2023.
Exports for this segment grew by 160%, aligning with the company's strategy to expand into European markets through strengthened partnerships with strategic clients. In the Romanian market, the segment maintained its position as a market leader.
Packaging: 13% of Group Revenues
• Revenue for the segment increased by 143%, from RON 46.4 million in 2023 to RON 112.8 million in 2024, primarily due to the evolution of the Opal stretch film.
• The segment's EBITDA was affected by the ramp-up process of Opal and the slower pace of improvement of performance of TeraBio Pack, recording RON -13.7 million in 2024, compared to RON -7.5 million in 2023.
Exports partially mitigated the impact of the decline in domestic sales of biodegradable packaging due to the macroeconomic context and delays in implementing legislation for the transition to biodegradable packaging.
Windows: 6% of Group Revenues
• Revenue grew slightly by 3%, reaching RON 51.7 million in 2024, compared to RON 48.8 million in 2023.
• EBITDA increased fourfold, from RON 419 thousand in 2023 to RON 2.1 million in 2024, bringing the EBITDA margin up from 0.9% in 2023 to 4.1% in 2024.
These results reflect the effectiveness of the strategy to reposition the customer mix and increase the share of custom-sized window projects relative to standard window sales in large retail stores.

The information provided by KomuniK

Read in full - click here
June Communications strengthens its management structure. Bianca Caragea appointed as Operations Manager

The agency plans to expand its team and reach a turnover of EUR 450,000 by year-end. June Communications (JUNE), a business-to-business PR and integrated communications agency, has appointed Bianca Caragea as its new Operations Manager. The step strengthens the agency’s management team as it enters a new stage of growth after seven years of sustained […]

Western Romania: Babeș-Bolyai University establishes endowment fund

The Babeș-Bolyai University of Cluj-Napoca (UBB) has established an endowment fund, which the institution described as a "strategic" financial mechanism aimed at supporting academic excellence and ensuring the long-term sustainability of university projects. The initiative is a first of its kind in the local academia, UBB said. The endowment fund involves attracting donations/financial resources and […]

Romanian authorities reportedly mulling access fee for the Transfăgărășan mountain road

Romanian authorities are reportedly considering imposing an access fee for the Transfăgărășan mountain road. The funds would be used for setting up decent parking areas, selecting merchants, and similar initiatives.  The beautiful, winding road is one of the most visited tourist attractions in the country. Local authorities say the funds from an eventual toll would […]

J Balvin to perform in Dubai for first time at Untold Festival

Colombian reggaeton superstar J Balvin will perform in Dubai for the first time this November, headlining Untold, the globally recognized festival born in Romania. The event will take place from November 6 to 9 at Dubai Parks and Resorts, featuring more than 100 international acts across five stages.  The festival is staged in partnership with […]

Over 17% of Romanians faced severe material deprivation in 2024, Eurostat says

More than 17% of Romania’s population faced severe material and social deprivation last year, which was one of the highest shares in the EU, according to the statistical bureau of the European Union - Eurostat.  In 2024, 6.4% of people in the European Union faced severe material and social deprivation, a slight decrease compared to […]

Animal rights march to take place in Bucharest in October

The Freedom and Respect for Every Earthling association will hold the March for Animal Rights in Bucharest on October 4, to mark International Animal Day. The march will start at 11 AM at the National Theater Park, and will go on to Piața Victoriei. Organizers say they aim to bring to the forefront the suffering […]