PRESS NEWS
2016.04.19
Rába in motion: outstanding operating results, low credit portfolio- The automotive holding plans strategic investments and developments for the international market

With an operating profit of nearly HUF 2.2 billion in 2015 Rába Automotive Holding Plc. has reached its second best performance of the past decade. Meanwhile, the company managed to decrease its debt by more than 80% reaching a record low level. This does not only expand opportunities for strategic investments, but also gives way to developments striving to the international market.

Rába Group closed the year 2015 with a consolidated sales revenue of more than HUF 46 billion. All three business units managed to increase its profits and operational efficiency, due to which the firm significantly increased its equity capital.  Operating income shows the second best performance of the last 10 years; from 1.1% in 2006, performance measure jumped to 16% in 2015, surpassing HUF 2 billion. The past decade was especially successful regarding net debt. The net debt was at HUF 3.4 billion by the end of 2015, reaching the lowest value of the last 10 years.
This June marks the finish of a 10-year Management Stock Option Incentive Program, which had been created to align owner and manager interests besides creating an incentive system in line with market requirements and strengthening the ownership approach of the management. Although the program will not be renewed this year, its great success made the management to consider restarting it in the future.
Among other international success the S91 midibus was an outstanding outcome, developed in an international cooperation of companies which was led by Rába. The vehicle which has already proven well in multiple countries has set off on a European debut tour this year with its latest version.  The midibus has produced excellent results in all testings over the recent years, meeting the European Union's strictest emissions guidelines. Feedbacks on the operating experience are positive without exception; equipped with modern passenger comfort system the bus copes with even the most extreme conditions. Trends show an increasing demand for such vehicles in Europe, therefore the S91 has excellent chances on the international market.
The company has already made a successful entrance to the overseas market: from the end of 2015 it delivers axles for diesel buses and trolleys for DINA, one of Mexico's largest bus manufacturers. As a result of the joint technical development, testing of prototypes will finish this year, creating opportunities for serial deliveries and further expansion.