EANS-News: OVB Holding AG /
OVB with stable business development in the first half of 2010
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6-month report
Subtitle: OVB with stable business development in the first half of 2010
Köln (euro adhoc) - OVB publish its results for the second quarter of 2010
Consolidated sales reach EUR95.2 million Central and Eastern Europe on the upswing Consolidated net operating income of EUR2.9 million
Cologne, 12 August 2010 - OVB Holding AG can look back on stable overall business development in the first half of 2010. Total sales commission reached EUR95.2 million (previous year: EUR100.7 million). "Although there is not yet a common growth trend emerging in our 14 European markets, we are nevertheless sensing the general economic recovery and on a good track with our results," says Wilfried Kempchen, CEO of OVB Holding AG. "It is particularly the positive sales performance in the Central and Eastern Europe segment which makes us feel optimistic."
Total sales commission in Central and Eastern Europe rose in the first half of 2010 to EUR43.4 million - representing growth of 3.6% in comparison with the previous year´s period (EUR41.9 million). In the domestic market of Germany salesremained largely constant. Here total sales commission of EUR35.5 million wasachieved from January to June 2010 (previous year: EUR37.5 million). Owing to thestrained economic situation in markets such as Greece and non-recurring effectsin the national companies of Switzerland and France, business development in Southern and Western Europe is still lagging behind that in the other two regions. This segment contributed EUR16.3 million to consolidated sales in the first half of 2010 (previous year: EUR21.3 million).
The Group´s operating income (EBIT) in the first six months of 2010 amounted to EUR2.9 million in the period under review and was therefore below the previous year´s EUR4.9 million. Central and Eastern Europe contributed EUR4.3 million (previous year: EUR5.7 million) to consolidated net operating income. The Germany segment expanded its EBIT from EUR3.0 million to EUR3.7 million. Operating income in Southern and Western Europe amounted to EUR-0.4 million as against positive EBIT of EUR0.9 million in the same period of the previous year. Consolidated net income in the first half of the year came to EUR2.0 million (previous year: EUR3.7 million). Earnings per share amounted to EUR0.14 (previous year: EUR0.26).
The number of financial consultants developed positively: In the second quarter some 200 sales representatives were acquired so that at the end of June 4.607 financial consultants were working for OVB - the signs are therefore pointing towards growth again. With some 2.8 million customers, the client base remained largely unchanged. As in the previous year, fund-linked pension products, which in the first half of 2010 accounted for 55% of new business, attracted the most demand from customers.
Above all since the start of the second quarter there are distinct sign of a business recovery. As the economy gradually recovers, private households increasingly seem able to invest in their pension provision again. "Following the slump brought about by the financial and economic crisis in 2008 and 2009, the 2010 financial year will be a transition year before the long-term growth trend prevails again in 2011," says Wilfried Kempchen. "We have carried out a sustained strengthening of our sales units at home and abroad over the past few months and are confident that the economic upturn will have a positive impact on our business." OVB expects overall sales in 2010 to reach around the same level as the previous year.
About the OVB Group
OVB Group, with its holding company headquartered in Cologne, is one of the leading European financial sales organisations. Since the formation of OVB Vermögensberatung AG in Germany in 1970, customer-oriented consulting for private households in the areas of insurance coverage, asset building and appreciation, pension provision and real estate acquisition have formed the focus of OVB´s business activities. Currently OVB advises some 2.8 million customers across Europe and works together with more than 100 renowned product partners. OVB is presently active in 14 countries, with some 4,400 full-time financial consultants working for the Group. In 2009, OVB Holding AG and its subsidiaries generated total sales commission of EUR201.6 million and EBIT of EUR9.6 million. OVB Holding AG has been listed on the Frankfurt Stock Exchange (Prime Standard, ISIN DE0006286560) since July 2006.
OVB will publish its results for the third quarter on 5 November 2010.
A presentation and the Half-Year Report 2010 can be downloaded from the Investor Relations section of www.ovb.ag.
This Corporate News is also available on the Internet at: www.ovb.ag/Investor Relations/IR Releases
Key figures for the OVB Group 6M/2010
|Key operating figures|Unit |01/01 - |01/01 - |Change | | | |30/06/2009 |30/06/2010 | | |Clients (30/06) |Number |2.79 |2.79 |± 0.0 % | | |million | | | | |Financial consultants|Number |4,920 |4,607 |- 6.4 % | |(30/06) | | | | | |New business |Number of |252,934 |225,811 |- 10.7 % | | |contracts | | | | |Total sales |Euro |100.7 |95.2 |- 5.5 % | |commission |million | | | | |Key financial figures|Unit |01/01 - |01/01 - |Change | | | |30/06/2009 |30/06/2010 | | |Earnings before |Euro |4.9 |2.9 |- 41.7 % | |interest and taxes |million | | | | |(EBIT) | | | | | |EBIT margin* |% |4.9 |3.0 |- 1.9 | | | | | |%-pts. | |Consolidated net |Euro |3.7 |2.0 |- 47.4 % | |income |million | | | | |Earnings per share |Euro |0.26 |0.14 |- 46.2 % | |(undiluted) | | | | |
* Based on total sales commission
Key figures by region 6M/2010
| |Unit |01/01 - |01/01 - |Change | | | |30/06/2009 |30/06/2010 | | |Central and Eastern | | | | | |Europe | | | | | |Clients (30/06) |Number |1.77 |1.79 |+ 1.1 % | | |million | | | | |Financial consultants|Number |2,918 |2,801 |- 4.0 % | |(30/06) | | | | | |Total sales |Euro |41.9 |43.4 |+ 3.6 % | |commission |million | | | | |EBIT |Euro |5.7 |4.3 |- 23.6 % | | |million | | | | |EBIT margin* |% |13.6 |10.0 |- 3.6 | | | | | |%-pts. | |Germany | | | | | |Clients (30/06) |Number |694,400 |688,200 |- 0.9 % | |Financial consultants|Number |1,301 |1,329 |+ 2.2 % | |(30/06) | | | | | |Total sales |Euro |37.5 |35.5 |- 5.3 % | |commission |million | | | | |EBIT |Euro |3.0 |3.7 |+ 22.1 % | | |million | | | | |EBIT margin* |% |8.0 |10.5 |+ 2.5 | | | | | |%-pts. | |Southern and Western | | | | | |Europe | | | | | |Clients (30/06) |Number |322,900 |310,630 |- 3.8 % | |Financial consultants|Number |701 |477 |- 32.0 % | |(30/06) | | | | | |Total sales |Euro |21.3 |16.3 |- 23.4 % | |commission |million | | | | |EBIT |Euro |0.9 |- 0.4 |- | | |million | | | | |EBIT margin* |% |4.2 |-2.4 |- 6.6 | | | | | |%-pts. | * Based on total sales commission ----------------------- OVB Holding AG Heumarkt 1 50667 Cologne
Germany
IR Contact:
Brigitte Bonifer Investor Relations
Phone: +49(0)221 / 2015-288 Fax: +49(0)221 / 2015-325
bbonifer@ovb.de ir@ovb.ag Internet: www.ovb.ag
end of announcement euro adhoc --------------------------------------------------------------------------------
Further inquiry note:
Brigitte Bonifer
Investor Relations
Tel.: +49 (0)221 2015 288
E-Mail: bbonifer@ovb.de
Branche: Financial & Business Services
ISIN: DE0006286560
WKN: 628656
Index: CDAX, Classic All Share, Prime All Share
Börsen: Frankfurt / regulated dealing/prime standard
Berlin / free trade
Hamburg / free trade
Stuttgart / free trade
Düsseldorf / free trade
München / free trade
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