Industrial Raw Materials
Key highlights for the year
The Industrial Raw Materials, Ag Logistics and Infrastructure volumes grew by 22.0% as a result of larger Cotton volumes in 2016.
Revenues were up 8.1% compared with 2015 as lower sales of Wood Products moderated the growth in revenue in this segment.
However, despite increased GSEZ contribution, overall segment EBITDA for the year declined by 27.0% due to margin pressures in Cotton and Wood Products.
Overall invested capital grew by S$303.4 million compared with 2015 due to increased working capital in Cotton from higher volumes and prices. Fixed capital remained unchanged as reduced fixed capital in GSEZ offset the increase in investments in Rubber plantations in Gabon.
As a result of reduced EBITDA and higher invested capital, EBITDA/IC declined from 9.8% in 2015 to 6.5% in 2016.