Corticeira Amorim will transfer in June the expanded cork production unit located in Silves to the News Unit, to ensure a “greater competitiveness” of the business, the company announced on Wednesday.
“After an evaluation of the existing productive capabilities in various industrial units of Amorim Cork Solutions, the transfer, from June 9, of the industrial unit of Silves to the Industrial Unit of Venda Novas (which also produces isolation products), reads an information sent this Wednesday to the Securities Market Commission (CMVM).
According to it, “the decision was based solely on operational efficiency, considering exclusively market issues, installed capacity versus market dimension and the location of the mountain-mounted”.
The goal is to allow “greater competitiveness” of the expanded cork business, benefiting from the “greater proximity of the raw materials used and the concentration of investments necessary to obtain higher productivity”.
The Lusa agency asked Corticeira Amorim additional clarifications about this reorganization, awaiting a response.
This transfer happens within the scope of “important investments in new technologies” that Corticeira Amorim says it is doing “with a view to relaunching the expanded cork business”, which earlier this year was integrated into the new Amorim Cork Solutions business unit.
This new business unit was created to incorporate the company’s floors and isolation activities, concentrating the activities of Amorim Cork Flooring, Amorim Cork Composites and Amorim Cork Insulation, in order to ensure “more integrated management of operations and enhance industrial, commercial and supportive synergies, strengthening the ‘non -cork’ business”.
In the announcement on Wednesday, the president and executive president (CEO) of Corticeira Amorim states that the creation of Amorim Cork Solutions “marks a new stage in the history of the company”.
António Rios de Amorim considers that the “significant improvement in the profitability of this business unit, by the end of March, highlights the effects of more efficient operations and optimization of existing assets, as well as synergies resulting from sharing means and resources”.
The profit of Corticeira Amorim increased by 2.1% to 16.4 million euros, in the first quarter compared to the same period of 2024, with sales retreated 2.2% to 229.4 million euros, the company announced on Wednesday.
In a statement sent to CMVM, Corticeira states that, excluding the effect of changing the consolidation perimeter resulting from the sale of participation in the Timberman Denmark, sales would have risen 1.3%.
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