Join our community of smart investors

Schedule slips dampen Accsys Technologies’ allure

Costs are passed on but delays cloud near-term prospects
June 30, 2022
  • €20mn placing undertaken in May to plug funding gap
  • Loan for Tricoya plant needs refinancing

Accsys (AXS) continues to have the happy problem of demand for its product far outstripping supply. The manufacturer of treated wood products grew sales by a fifth and managed to increase prices enough to largely offset higher timber and acetyl prices – the margin on manufacturing its Accoya solid wood dropped by 3 percentage points but remained robust at 30 per cent.

The problem has been in delivering growth, with the company suffering further delays to its plans to boost capacity. The opening of a fourth reactor at its sole operating site in Arnhem, which was due in April, has been pushed back to the third quarter as damage to some equipment was discovered during the installation process. Commissioning should take place “within about six weeks”, chief executive Rob Harris said.

This is subscriber only content
Start your trial to keep reading
PRINT AND DIGITAL trial

Get 12 weeks for £12
  • Essential access to the website and app
  • Magazine delivered every week
  • Investment ideas, tools and analysis
Have an account? Sign in