The French recycling and services group Derichebourg reported a net loss of €32m for the past financial year. The group’s turnover stood at €2.627bn in the year ended 30 September 2013. One year before, the company had achieved a net profit of €46.5m.
According to the annual report released on Wednesday, factors contributing to the €32m net loss include extraordinary charges linked to the sale of subsidiary Servisair, which was completed after the end of the financial year.
Derichebourg’s main division, its scrap recycling and environmental services activities, were negatively affected by declining volumes and prices which resulted in a 13 per cent decrease in turnover to €2.008bn. During the current financial, year Derichebourg expects ferrous and non-ferrous scrap volumes to gradually rise again. However, strong competition is forecast to keep prices and margins under pressure.