Debica resumes production after a fire

Polish tire company Debica SA (part of Goodyear) has reported its results for the first half of 2024, stating that all key indicators have decreased compared to the same period in 2023 due to the consequences of a fire that occurred in the vulcanization shop at the company's plant in Dębica in August last year.

In January-June 2024, Debica's revenue amounted to 1.12 billion zlotys (260 million euros), a decrease of 30.9% compared to the first half of last year. EBIT profit decreased by 77.9% to 55.8 million zlotys (13 million euros), and net profit decreased by 72.9% to 59.1 million zlotys (13.9 million euros).

The fire led to both a decrease in production volumes and an increase in expenses, including those related to the elimination of its consequences. In the first half of the year, the company's additional costs amounted to 87.3 million zlotys (20.4 million euros).

"In the first half of 2024, we were able to demonstrate satisfactory financial results, despite the still palpable consequences of the fire that damaged the equipment for the production of passenger car tires," noted Ireneusz Maksymiuk, President of Debica. "The company's financial situation is stable, which allows us to fully focus on restoring production capacity and gradually strengthening our position as a leading tire company, as well as investing in the development of our brands. We expect that production will be fully restored no earlier than the fourth quarter of 2024, which is due to the schedule for purchasing and delivering new equipment."

Photo: Rzeszów News.