Reka earnings edge up amid lower volumes

Aura, Finland – Reka Industrial has reported a slight earnings improvement in the rubber segment despite low order volumes.

Reka Rubber Ltd, currently the group’s only business, posted earnings (EBITDA) of €1.4 million for 2024, up from €1.2 million reported the year before.

Full year sales fell 11% to €27.2 million on lower volumes, said Reka 27 Feb.

The general economic situation and uncertainty in the market were reflected in the decreased order volumes, explained president and CEO Sari Tulander.

The challenging market situation, she went on to add, is estimated to continue in 2025.

Profitability, according to Tulander, was burdened by decreased volumes and increased costs.

The group aims to reflect the higher costs in selling prices “as quickly as possible”, with further plans to invest in improving productivity and cost efficiency.

Moreover, Tulander said Reka aims to enable future growth by developing its product offering and production technology.

Reka is currently going through a restructuring process to increase shareholder value.

“While the strategy work is in progress, the funds are mainly invested in low-risk investments,” the group leader added.