EANS-News: Basler AG
Second quarter better than expected - incoming orders
continue increasing
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Financial Figures/Balance Sheet
Ahrensburg (euro adhoc) - Continued increasing demand for digital cameras Incoming orders: EUR 17.8 million (previous year: EUR 6.8 million, +163 %) Sales: EUR 13.3 million (previous year: EUR 8.1 million, +64.3 %) Pre-tax earnings: EUR 1.7 million (previous year: EUR -4.9 million, EUR +6.6 million) Free cash flow: EUR 0.6 million (previous year: EUR -0.8 million, EUR +1.4 million) Forecast for 2010 increased after publication of preliminary figures on July 13
Ahrensburg, August 05, 2010 - The second quarter was successful and better than expected for Basler AG. Incoming orders and sales were distinctly above the previous year's and the previous quarter's figures. The pre-tax earnings turned out solidly positive. We made further progress in streamlining our product portfolio by sellling our product line for the inspection of solar wafers. The pre-tax return of more than 12 %, reached in the reporting period, clearly shows that the strategic focusing that was started in 2009 is proceeding successfully.
The group´s sales amounted to EUR 13.3 million in the second quarter which is 64.3 % above the previous year´s figure of EUR 8.1 million. In the second quarter of 2010, Basler achieved a result before taxes (EBT) for the group of EUR 1.7 million. This corresponds to an increase by EUR 6.6 million above the previous year's value of EUR -4.9 million that was strongly influenced by special items. The earnings before interest and taxes (EBIT) for the "Components" business segment amounted to EUR 3.2 million (previous year: EUR 0.4 million, EUR +2.8 million). The "Solutions" business segment reached an EBIT amounting to EUR -0.1 million (previous year: EUR -3.6 million, EUR +3.5 million). At a pre-tax return of 13 %, Basler AG reached the zone of a return of >10 % in the second quarter of 2010, as desired by the Management Board for the medium term.
The operating cash flow amounted to EUR 2.0 million in the second quarter (previous year: EUR 0.8 million). The free cash flow amounted to EUR 0.6 million, and thus increased by EUR 1.4 million (previous year: EUR -0.8 million). At the end of the reporting period, liquid assets amounted to EUR 5.3 million and thus decreased by EUR 1.4 million compared to the end of the comparison period (-25 %). Compared to December 31, 2009, the funds available declined slightly by EUR 0.2 million.
Basler AG realized sales in the second quarter of 2010 in the "Components" business segment, amounting to EUR 10.7 million. The revenue from digital cameras for industry and for video surveillance increased in the reporting period by 91 % (previous year: EUR 5.6 million), marking a new record level. Due to decreased production costs and positive exchange rate effects the gross margin also developed positively. With the business segment's earnings before interest and taxes in the second quarter of EUR 3.2 million (previous year: EUR 0.4 million, EUR +2.8 million) the business segment demonstrated its solid profitability. At EUR 13.3 million, incoming orders reached a new record level, surpassing the record-setting preceding quarter. Incoming orders increased by 117 % in the reporting period, compared to the previous year's value of EUR 6.1 million.
We recorded sales revenues in the second quarter amounting to EUR 2.6 million (previous year: EUR 2.5 million, +4 %) in the "Solutions" business segment. Accordingly, we recorded increasing sales for the first time after seven consecutive quarters with declining revenue. As announced in the quarterly report for the first quarter of 2010, the positive sales trend and a distinctly declined cost level compared to the previous year, result in improved key figures. The earnings before interest and taxes for the segment amounted to EUR -0.1 million and thus improved by EUR 3.5 million compared to the previous year (EUR -3.6 million). The gross margin was still below the previous year's value due to the sales structure. Personnel expenses decreased by 26 % in absolute terms compared to the previous year. At EUR 4.5 million, the incoming orders were in the reporting period again on the level of the fourth quarter of 2009. This is an expression of the high demand in the LCD industry that will continue in the following quarters from today's perspective. The demand for solar thin film inspection solutions continued to be very weak in the reporting period. We sold our product line for the inspection of solar wafers to Semilab Zrt., based in Budapest, Hungary. Semilab Zrt. is a technologically leading global company in the field of measurement technology for the semiconductor and photovoltaic industry. The transfer of assets to Semilab Zrt. was concluded within the course of the reporting period.
Outlook The recovery of the general economic conditions continued in the second quarter of 2010. The economic research institutes currently expect the positive trend to continue at least until the end of the third quarter. Afterwards, risks persist for a temporary economic slowdown. In its current forecast for the German image processing industry, the German Engineering Federation (Verband Deutscher Maschinen- und Anlagenbau) assumes a growth in sales for 2010 amounting to +10 % compared to the previous year.
Basler AG clearly surpassed its own business planning in the second quarter. The main reasons were the dynamically growing components business and the improved profit situation in the solutions business. The Management Board assumes that the components business will develop positively also in the second half-year, gaining double-digit growth rates compared to 2009. We continue to expect approximately stable sales revenues for our solutions business compared to the previous year.
Based on the preliminary results for the second quarter and assuming a continuous business development, the Management Board increased the forecast for fiscal year 2010 on July 13, 2010, and has since been expecting sales revenues within a corridor of EUR 43 to 45 million (previous forecast: EUR 39 to 41 million; previous year: EUR 33.5 million) and pre-tax earnings not below EUR 3.5 million (previous forecast: > EUR 1.5 million; previous year: EUR -8.0 million).
end of announcement euro adhoc --------------------------------------------------------------------------------
Further inquiry note:
Maren Schuster
Investor Relations
Telefon: +49(0)4102 463-100
E-Mail: ir@baslerweb.com
Branche: Semiconductors & active components
ISIN: DE0005102008
WKN: 510200
Index: CDAX
Börsen: Frankfurt / regulated dealing/prime standard
Berlin / free trade
Hamburg / free trade
Stuttgart / free trade
Düsseldorf / free trade
München / free trade
Original content of: Basler AG, transmitted by news aktuell