Mints Report Increased Profits

Growth at every level for Mint of Poland

Reporting on 2023, the Mint of Poland Group announced that revenues from sales exceeded PLN 1.2 billion. Operating profit was more than doubled year-on-year, amounting to total PLN 110.6 million. Earnings before interest, taxes, depreciation, and amortisation (EBITDA) were PLN 60 million more than the previous year, amounting to PLN 130.6 million.

The Group noted that the results generated ‘confirm the company’s strong position and financial stability’, although it did note that investment gold sales are highly dependent on the geopolitical situation.

Increased revenues were attributed to areas outside of investment gold, within the remaining areas of monetary activity, in electronic payments and the real estate development segments.

Mint products

Revenues in the Mint’s core business segment declined somewhat from 2022, reported at PLN 858.7 million in 2023 – a reduction of around PLN 201.5 million. The segment result amounted to PLN 43 million (PLN 57 million in 2022) and EBITDA to PLN 49.7 million (PLN 62.7 million a year earlier).

The Mint reported a continuation in its stable cooperation with the National Bank of Poland, which resulted in a collective order for the production and delivery of circulation coins for the year 2024 with a total value of over PLN 131 million.

The company also rapidly developed its operations in foreign markets, winning tenders in Uruguay, the Dominican Republic, Argentina, Guatemala, Armenia, Colombia, Albania, Nicaragua, Turkmenistan, Georgia and Costa Rica. In 2023, the Mint won 11 tenders for the production and supply of circulation coins, collector coins and investment products. Some of these were completed last year, while others will be implemented or continued this year.

The Mint commented that it was very active in developing its investment product distribution network – opening five sales offices for gold, as well as its modern mint online shop for investment, collectable and gift products. Private label investment products accounted for more than 60% of the value of all gold sales, which the Mint said showed confidence in the brand. Nearly 1.8 tons of gold went to the customers of the Mint of Poland in 2023, mainly in the form of bars and bullion coins. Proprietary gold ducats and silver thalers with the image of Kazimierz Pułaski proved to be a bestseller.

Growing activity and a confirmed recovery for France

Monnaie de Paris reported a 9% increase in turnover from the previous year, at €162.1 million for 2023. This level of activity represents the highest turnover since the creation of the Mint as a public establishment in 2007. The growth in activity was driven by all business segments: French circulating currency, foreign country circulating currency (export), collector’s coin programmes, art products, and the operation of the 11 Quai de Conti site (museum, exhibitions and space rentals – and also the home base of the Mint).

Circulating coin production topped 1.3 billion coins, up 23% from the previous period. The operating result, at €5.6 million, is up sharply compared to 2022 – an increase of 65%. The Mint said that this underlines the efforts made in terms of cost control, in an inflationary context. This corresponds to 3.4% of turnover against 2.1% on average over the years 2020 to 2022. The net result amounts to €4.4 million, positive for the fourth consecutive year following three years of losses (20172019).

For France's euro circulating coinage, orders increased by 5%, generating a turnover of €39.3 million. This comprised a quarter of the total turnover, compared to a third of the total turnover five years ago.

Export turnover was €34.5 million, close to the highest level achieved in 2007, and an increase of 13% compared to 2022. This was attributed to both historic customers and new international tenders. 800 million common foreign coins were produced in 2023 (+50% compared to 2022) and just over 570 million pieces exported (an increase of 7%).

Collectible coin activity reached a turnover of €65.9 million, up 8% compared to 2022, driven by sales of gold coins – which increased by 16%. The Ors de France (Napoléon III) collection and success of traditional coin collections for the Paris 2024 Olympic and Paralympic Games largely contributed to this figure.

Art products generated a turnover of €13.1 million, an increase of 3% from 2022, driven by the increase in revenue from mini-medals, in particular at cultural and tourist sites. Overall turnover was €5 million, up 25% compared to 2019.

The turnover from business created from the operation of the 11 Quai de Conti site grew by 25% compared to the previous year, driven by increasing revenue linked to ticketing (for the museum and exhibition) and space rentals. Site visitation has increased by 11%, with 163,000 visitors, the highest figure since 2018 – which is the first year that the site reopened.

Turnover growth of €12.8 million, compared to 2022, meant the generation of an additional margin of almost €6 million. The continuation of inflationary tensions did impact expenses for the 2023 financial year, with the cost of energy noted as a particular tension, at double that of 2022.

Last year’s operating profit amounts to €5.6 million, an increase of 65% compared to 2022 (€2.2 million). This corresponds to 3.4% of turnover – compared to 2.1% on average over the years 2020-2022.

The net result amounts to €4.4 million, in line with those of 2021 and 2022.

Monnaie de Paris also reported on the first year of its implementation of the ‘Ambition 2027’ strategic plan, which contains four pillars:

  • Develop activity: after €162.1 million in 2023, the 2024 budget expects an activity volume of more than €170 million.
  • Provide better service to customers: the ‘service rate’ improved from 77% of orders delivered on time in 2022 to 86% in 2023.
  • Accelerate the ecological transition: ongoing decarbonisation of metal purchases, acceleration of the energy sobriety plan (11% reduction in energy consumption between 2021 and 2023), and a ‘zero plastic’ policy.
  • Be a good place to work: the year saw the deployment of initiatives aimed at making the Mint more inclusive, developing equality between women and men and fighting against all forms of discrimination.