Orbis Trims Net Losses for 2Q 2017 Year-on-Year
Medellin-based paints, chemicals, hardware supplies and pipe manufacturer Grupo Orbis this month posted a second-quarter 2017 net loss of COP$1.5 billion (US$504,000), an improvement over the COP$11 billion (US$3.7 million) net loss in 2Q 2017.
Sales improved slightly in 2Q 2017 to COP$369 billion (US$124 million), versus COP$366.9 billion (US$123 million) in 2Q 2016, according to the company, which produces the popular “Pintuco” brand of paints at its Rionegro, Antioquia manufacturing complex.
While first-quarter 2017 results inside Colombia were in-line with budget forecasts, the second quarter 2017 showed a decline in consumer demand, according to the company.
On the positive side, Orbis sales in Central American markets and in Argentina exceeded expectations. But Brazil sales results were hurt by continuing macroeconomic headwinds, according to Orbis.
Corporate financing costs for first-half (1H) 2017 grew to COP$36 billion (US$12 million), versus COP$27 billion (US$9 million) in 1H 2016.
While Grupo Orbis describes itself a significant finished-products exporter, the company “has a significant exposure to imported raw materials that may have potential impacts on costs due to adjustments in the exchange rate,” according to the company.
