CSG Reports Revenue And Operating Profit Growth For 2019

Czechoslovak Groups (CSG) 2019 EBITDA grew by 53.7 percent year on year to 2.97 billion crowns. The company’s revenues increased by 21.3 percent to 28.5 billion crowns. 

“2019 was a very successful year for CSG. Thanks to the growth in our aerospace division, we have transformed into an industrial and technological holding company producing final products with the highest added value. With few exceptions, we did not make new acquisitions and rather developed the companies we already have in the holding,” says Michal Strnad, CSG owner.

TATRA TRUCKS, in which Strnad’s holding owns 65 percent and René Matera´s PROMET GROUP 35 percent, stands for CSG´s largest subsidiary. Last year’s Tatra sales reached CZK 5.88 billion and EBITDA of CZK 365 million. The oldest Czech automaker thus achieved the highest sales since 2010.

Within CSG, rail sector also grew significantly: the sales of the brake systems manufacturer for rail vehicles DAKO-CZ reached CZK 1.14 billion with EBITDA of CZK 265 million. At the same time, in 2018, DAKO CZ reported sales of 927 million and EBITDA of CZK 150 million.

The aviation-related business has also grown significantly. The CSG companies active in aerospace industry produce radars, develop air traffic control software, specialize in aircraft repair and maintenance service, and provide for flight trainings. The Group earned CZK 5.34 billion in the aerospace business. Of this, ELDIS company, producing radars, reported sales of CZK 977 million and EBITDA of CZK 290 million.

Within CSG, the importance of aviation business has preceded the activities carried out by EXCALIBUR ARMY and TATRA DEFENSE VEHICLE, which specialize in the production of special heavy-duty vehicles tailor-made for soldiers and firefighters. This historical part of CSG’s business generated sales of CZK 4 billion in 2019 (the total of both above-mentioned companies).

ELTON hodinářská, the only Czech manufacturer of watches and clockworks, reached sales of CZK 59 million and EBITDA of CZK 4 million. ELTON hodinářská specializes in a luxury PRIM brand watches production.
CSG did not make any major acquisition last year. The Group has expanded to include Hyundai and Mazda car showroom groups and Skyport, an aviation logistics company. The newly acquired companies performed soundly and contributed by CZK 123 million to the EBITDA indicator of the CSG holding.

Last year, the Group also secured advantageous financing for its further development, when it issued and sold bonds worth CZK 2 billion in autumn.

CSG did not make any major acquisitions last year. The group has expanded to include Hyundai and Mazda car showroom groups and Skyport, an aviation logistics company.

Czechoslovak Group companies operate in the automotive, railway, aerospace and watchmaking industries and produce weapons, ammunition and special vehicles. In addition to the Land Systems division, where defense production and trade of land vehicles and ammunition are concentrated, the Aerospace division is developing rapidly, which includes the production of radars at ELDIS Pardubice, civil aircraft service and flight training.