30.04.2024
Annual report for 2023
The company finished the year 2023 with a turnover of almost EUR 16 million, an EBITDA of EUR 2.47 million and a net profit of more than EUR 758 thousand.
The achieved results for the financial year 2023 provide convincing perspectives for further development of the company and reflect the return on the recently made investments. Within the latest round of investments, supported by CFLA and commercial bank, the factory in Liepāja was substantially expanded by additional production lines for the production of non-woven material, feminine hygiene products and dry wipes. By the investments company has deepened its vertical integration, enabling higher profit margins, unprecedented levels of service for customers, introduction of new materials and expansion in the existing and into new markets. Additionally, the company’s production facility in Liepāja continued this year the production and sales of existing cotton and linen product lines, paying particular attention to the further optimization of expenses and sales prices.
The bond issue organized by Signet bank in December 2023, alongside with the ALTUM AKF mezzanine loan received at the end of 2021, released additional working capital for further development without increasing overall debt level and marks – new page within the development of the group, diversifying the capital market products used.
Financial result overview:
• The company`s turnover: EUR 16.2 million.
• Gross profit: EUR 761 thousand.
• EBITDA: EUR 2.47 million.
iCotton is a Latvian manufacturing company founded in 2011 in Liepāja and has emerged as the leading producer of cotton and hygiene products in the Baltics. The iCotton group also includes the Polish company Harper Hygienics. The company group produces a diverse range of products, including cotton buds and pads, absorbent pads, wet and dry wipes, and feminine hygiene products. The primary brands of the group are Cleanic (beauty and hygiene products), Kindii (children’s products), and Presto (household cleaning products), which enjoy significant recognition in the Polish market.
The company group operates production facilities in Liepaja spanning an area of 9,000 m2 with 11 production lines, and in Warsaw, Poland, covering a production area of 13,200 m2 with 44 production lines. In 2023, the iCotton group achieved a turnover of 69 million EUR, with 45% attributed to the local markets (Baltic and Polish) and 55% to export markets within the EU and other countries.
Jānis Bormanis,
Member of the Supervisory Board
Phone: +371 2 9450929
E-mail: [email protected]
Website: https://www.icotton.eu/
19.01.2024
Nasdaq welcomes iCotton to the Baltic First North Market
Riga/Tallinn/Vilnius, Nasdaq Baltic Market, January 19, 2024 – Nasdaq (NDAQ) announces that bonds issued by Latvian company iCotton were admitted to trading on the Nasdaq Baltic First North Bond List by Nasdaq Riga as of today.
iCotton, the leading manufacturer of cotton and hygiene products in the Baltics, has issued secured and guaranteed bonds in the amount of EUR 20 million as part of a private offering. More than 70 private and institutional investors participated in the bond issue, most of them from the Baltic States. The proceeds from the bond issuance will be used to refinance the obligations of the iCotton group in Latvia and Poland.
The bonds have a nominal value of EUR 1,000 each, with annual coupon rate of 6% + 3M EURIBOR and interest paid quarterly. The maturity date of the bonds is June 30, 2027.
“Congratulations to iCotton on its first bond issue and successful debut on Nasdaq First North. This is the first bond issue on the Nasdaq Baltic First North market this year, and we are proud it was done by a Latvian company. Regional companies make a large impact on local communities and play a critical role in shaping people’s well-being. Therefore we`re delighted for each regional company joining the stock exchange. The more rapidly growing companies, the more jobs and new opportunities for all” said Liene Dubava, CEO of the Nasdaq Riga Stock Exchange.
“The group’s growth is based on strong fundamentals – a successful business model, globally demanded products and a continuously growing market for hygiene products. We meet the growing demand for hygiene products with modern, highly automated production facilities in Liepaja and Poland, which allow us to respond quickly and efficiently to market demand trends. In addition, our selected product groups are high quality products that are well-known and in demand both in Europe and other regions of the world. The consumption of hygiene products continues to grow in all regions of the world, and we see great potential for further business growth with the help of the bond financing,” said Jānis Bormanis, Member of the Supervisory Board of iCotton.
iCotton is a Latvian manufacturing company founded in 2011 in Liepāja and has become a leading Baltic manufacturer of cotton and hygiene products. iCotton Group also includes the Polish company Harper Hygienics. The group produces a wide range of products, incl. cotton buds and pads, absorbent pads, wet wipes, feminine hygiene products. The group’s main brands are Cleanic (beauty and hygiene products), Kindii (baby products) and Presto (household cleaning products), which are particularly well-known on the Polish market. The Group has production facilities in Liepaja with 9,000 m2 and 11 production lines, and in Warsaw, Poland with 13,200 m2 and 44 production lines. iCotton Group will have a turnover of more than EUR 70 million in 2023, 45% domestic (Baltic, Polish market) and 55% EU and non-EU export market.
Nasdaq First North Market is tailored to support smaller, growing companies that want to raise capital and get the visibility and credibility of being a public company. For investors, First North offers an opportunity to invest in companies that are at an earlier stage of their growth.
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