A Word from the President
A new day to surpass expectations!
2015 has passed, leaving a feeling of mixed impressions. Throughout the year we have spent considerable time and energy to craft our Guiding Principles, something that CellMark holds very dear. CellMark’s Guiding Principles are the bedrock of all our actions. We at CellMark are committed to live these principles, further strengthening our ability to read and understand the needs of our partners in our search for innovation and improvement as we tirelessly attempt to surpass expectations! We are a platform of global entrepreneurs, bound together by our desire and enthusiasm to cultivate innovation, to constantly improve our service offerings and to develop synergies and new ideas together with our partners, growing our business!
I’m very pleased that our ambitions to help make the world greener by distributing transportable renewable energy shows continued growth and now includes initiatives on four continents. Our Waste-to-Energy business also shows promising progress as well as our Basic Chemicals team, who have managed to re-invent and turn around their business into dynamic growth in spite of the harsh macro conditions.
Our efforts to provide and continuously improve our services and solutions have been met with significant challenges throughout the year. Despite the difficulties we have faced, we have managed to maneuver and can look back with a fair amount of pride of what was achieved with the sense that we are moving forward in our quest to surpass expectations.
Operating income in 2015 was USD 2.67 billion, a 8 % decrease from one year earlier, yet annual volumes increased 7.3 %. These contrasting figures provides some insight as to how commodities and prices have moved throughout the year. Despite the above we are pleased to report that our underlying profit from our operations increased by 6 % and our receivable and inventory levels were reduced in USD, both having a positive effect on our balance sheet. Due to extraordinary cost mainly related to the legal case in Japan and the sale of a paper distribution company in the Paper division the profit after financial items is down by 28 % from 2014.
We view our strong performance in our underlying operation as quite an achievement, especially considering the slowdown that affected most of the world’s commodity markets. To further continue our path forward in a sustainable way, we however decided to make prudent reserves to remain protected from bad surprises on inventory valuation and accounts receivable.
We are also proud of our cooperation with PaperSeed Foundation and the numerous individual initiatives on local levels across our company to assist and help improve living conditions for those in need. You can read more about how CellMark cares on our website under the heading Sustainability & CSR. In this area we certainly welcome possible partnerships and you are cordially invited to present your suggestions and ideas.
As we remain committed to the development of long-lasting and mutually beneficial relationships, please accept my personal and CellMark’s sincere gratitude for placing your trust and confidence with us. So, closing this review of 2015, I would like to make an invitation to all of you; if you have ideas and need a helping hand, please come forward and discuss how we can best help your business to become even better.