Tubos Reunidos, S.A. announced earnings results for the first quarter of 2017. For the period, net sales amounted to EUR 80 million, an increase of 56.6% year-on-year. EBITDA was EUR 11 million, an increase of 570.8% year-on-year. Net income was EUR 107,000, an increase of 101% year-on-year. Other operating income and profits amounted to EUR 2 million, a 7% increase compared with the same period of the previous year, and which mainly includes work carried out on its own property, plant and equipment, the allocation to results of tax deductions and results from the disposal of property, plant and equipment. Operating cash flow for the period amounted to a positive amount of EUR 6.4 million which, due to the increase in sales and its corresponding investment in working capital (EUR 11.8 million) and to net investment payments (EUR 8.8 million) made on the basis of the 2014-2017 Strategic Plan, leads to a negative free cash flow of EUR 14.2 million for the quarter and a net financial debt as at 31 March of EUR 208.9 million, compared with EUR 194.7 million at 31 December 2016.

For the year 2017, the company expects that global demand for OCTG products will be 35/40% higher than in 2016 and it expects the new production facilities to be fully operational by the beginning of the fourth quarter of the current financial year.