Denim: Tavex continues to see losses

The originally Spanish company has posted losses amounting to 29.7 million euros for the first nine months, compared to 17.6 million a year earlier. Revenue also went down from 296.5 to 255.8 million euros.

A below-average performance that the company mainly attributes to unfavourable exchange rates currently being suffered by the Brasilian real and the Argentinean peso. But the company is also facing difficulties noticed on the European and North American markets.

Nevertheless, these two zones do present a 111% and 14% increase in their respective EBIDTA establishing the overall gross result at 32.4 million euros. A 28.4% increase compared to the first nine months of 2013.

In 2012, the company performed an overhaul of its production structure, "to better answer to the real demand." A development that allowed the company to reduce its losses and even to post a significant increase of its EBITDA for the first three quarters of 2013.

After having appointed Rodrigo Cardoso Barbosa as the Chief Financial Officer last year, the company invested nearly 145 million euros of shares last spring in aim of cleaning up its finances, still crippled by debts, which stood at 9 million euros in the springs.

1 EUR=0.79 GBP

Denim: Tavex continues to see losses

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