EANS-News: Progress-Werk Oberkirch AG
PWO with sustained growth in first half of 2011
-------------------------------------------------------------------------------- Corporate news transmitted by euro adhoc. The issuer/originator is solely responsible for the content of this announcement. -------------------------------------------------------------------------------- 6-month report Subtitle: - High growth in revenue and total output - Operating EBIT margin before currency effects improves - Revenue forecast prospectively set to be exceeded due to offsetting of materials prices - EBIT forecast confirmed Oberkirch (euro adhoc) - Oberkirch, August 2, 2011 - Progress-Werk Oberkirch AG has today published its interim financial report for the second quarter and first half of 2011. The Group reports continued high growth. A further improvement was recorded in the first six months of the year in the EBIT margin before currency effects. As announced, both sites in Canada and the Czech Republic are in the process of stabilising their profitability in the series business, and of expanding it gradually. PWO's consolidated revenue and total output underwent sharp increases in the second quarter: revenue was up by 30.9 percent to EUR 83.0 million (p/y: EUR 63.4 million), and total output increased by 21.7 percent to EUR 79.5 million (p/y: EUR 65.3 million). As a consequence, PWO continues to benefit from the persistently good sector economy, and from the start up of new series production runs. Despite burdens arising from series start-ups, operating EBIT before currency effects for the quarter increased to EUR 3.4 million (p/y: EUR 3.2 million). Accounting-based currency effects that result from higher volatilities on currency markets, and do not reflect our sites' operating trends, amounted to EUR -0.1 million in the quarter under review (p/y: EUR 1.3 million). The Group's reported EBIT correspondingly amounted to EUR 3.3 million in the second quarter (p/y: EUR 4.5 million). The below-average growth in operating EBIT in the second quarter results are particularly from a high volume of tool revenues due to the reporting date, and burdens arising from materials prices in the three-month period. EBT for the quarter under review amounted to EUR 1.8 million (p/y: EUR 3.0 million), and net income for the quarter stood at EUR 0.9 million (p/y: EUR 2.0 million). The trend in the first half of 2011 underscores the strength of PWO's current business development, which is more than compensating for the burdens placed on second-quarter EBIT. In the first six months of 2011, revenue increased by 28.2 percent to EUR 160.1 million (p/y: EUR 124.8 million), and total output was up by 22.9 percent to EUR 160.0 million (p/y: EUR 130.1 million). Operating EBIT before currency effects grew to EUR 9.3 million (p/y: EUR 7.1 million), and the margin rose to 5.8 percent (p/y: 5.4 percent). After EUR -1.4 million of currency effects (p/y: EUR 1.7 million), operating EBIT stood at EUR 7.8 million in the first half of 2011 (p/y: EUR 8.7 million). With a look to the six-month period, we significantly limited the increase in the materials expense ratio through passing on raw materials price increases. Earnings before tax for the first half of 2011 amounted to EUR 4.7 million (p/y: EUR 5.5 million), and net income for the first six months stood at EUR 2.5 million (p/y: EUR 3.6 million). First-half earnings were primarily generated by our high-performing home location at Oberkirch. The Canadian site has already largely achieved stable series ramp-up processes in the second quarter of 2011, however, and has already visibly exceeded breakeven in terms of EBIT before currency effects. The Czech location continued to be burdened by losses in its tools business in the second quarter, while there was a pleasing development in its series business. As communicated on several occasions, both of the sites in Mexico and China will become profitable next year, and the year after. With the earnings for the first half of 2011, we have created the basis for achieving our forecast EBIT before currency effects of EUR 19 million for the full 2011 year. We continue to budget revenue from the series business at approximately EUR 300 million. In addition, however, we also anticipate additional revenue effects arising from the offsetting of higher materials prices. Progress-Werk Oberkirch AG The Management Board PWO company profile PWO is one of the world's leading suppliers of advanced metal components for automobile safety and comfort. The company has developed unique knowledge in the forming and joining of metals over the course of its over 90-year history since it was founded in 1919. The German location at Oberkirch today employs around 1,200 staff members. The Group is globally represented with further sites in China, Canada, Mexico and the Czech Republic, and employs around 2,300 staff around the world. PW0 is a partner to the global automotive industry for the development and production of innovative products in the areas of "Mechanical components for electrical and electronic applications", "Safety components for airbags, seats and steering" and "Components and systems for vehicle bodies and chassis". Further inquiry note: Bernd Bartmann (CFO) Phone: +49 7802 / 84-347 Fax: +49 7802 / 84-789 e-Mail: bernd.bartmann@progress-werk.de end of announcement euro adhoc -------------------------------------------------------------------------------- company: Progress-Werk Oberkirch AG Industriestraße 8 D-77704 Oberkirch phone: +49(0)7802 84-0 mail: info@progress-werk.de WWW: http://www.progress-werk.de sector: Automotive Equipment ISIN: DE0006968001 indexes: stockmarkets: regulated dealing/prime standard: Frankfurt, free trade: Berlin, Hamburg, Stuttgart, Düsseldorf, München language: English
Original-Content von: Progress-Werk Oberkirch AG, übermittelt durch news aktuell