EANS-News: Salzgitter AG
First Quarter of 2011
Successful start to the financial year 2011
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3-month report
Subtitle: Successful start to the financial year 2011
Salzgitter (euro adhoc) - Backed by the continued favorable economic environment and the resulting recovery in the business activities of almost all subsidiaries, the Salzgitter Group was off to a good start to the new financial year in the first quarter of 2011.
The Group's external sales climbed by almost one fifth to EUR 2,307.6 million (first quarter of 2010: EUR 1,924.8 million). Salzgitter AG generated a pleasing pre-tax profit of EUR 56.3 million in the first quarter (first quarter of 2010: -EUR 17.1 million). This result includes a contribution of EUR 29.0 million made by the stake in Aurubis AG included at equity (first quarter of 2010: EUR 11.2 million). Profit after tax stood at EUR 44.0 million (first quarter of 2010: -EUR 13.3 million). With an equity ratio of 43 % and a net cash position of EUR 1.1 billion, the Group continues to operate from an exceptionally sound financial basis.
External sales by Division (EUR million):
Q1 2011 (Q1 2010) Steel 698.4 (516.1) Trading 782.3 (657.7) Tubes 445.2 (449.4) Services 119.5 (88.0) Technology 242.9 (199.8) Other 19.2 (13.8) Group 2,307.6 (1,924.8)
Earnings before tax (EBT) by Division (EUR million):
Q1 2011 (Q1 2010) Steel 9.4 (-31.0) Trading 23.3 (4.0) Tubes 14.7 (2.6) Services 5.0 (5.1) Technology -8.3 (-13.3) Other/Cons. 12.2 (15.5) Group 56.3 (-17.1)
As before, the accuracy of our planning is considerably restricted by shorter contractual cycles and greater price volatility on the procurement and on the sales side. Based on the information currently available in the divisions, we believe that it should be possible for the Salzgitter Group to achieve a pre-tax profit of up to EUR 150 million in the financial year 2011.
As in recent years, we make special reference to the fact that opportunities and risks from currently unforeseeable trends in selling prices, input materials and capacity utilization developments, as well as changes in the currency parity, may still affect performance considerably over the course of the financial year 2011. The resulting fluctuation in the consolidated pre-tax result may be within a considerable range, either to the positive or to the negative. The dimensions of this range become clear if one considers that, assuming the sale of around 8 million tons of steel products by the Steel, Trading and Tubes divisions over the remainder of the financial year, an average EUR 25 contraction in the margin per ton is sufficient to cause a variation in the annual result of more than EUR 200 million.
end of announcement euro adhoc --------------------------------------------------------------------------------
Further inquiry note:
Bernhard Kleinermann
Tel.: +49 (0) 5341-21-1852
E-Mail: kleinermann.b@salzgitter-ag.de
Branche: Iron & Steel
ISIN: DE0006202005
WKN: 620200
Index: Midcap Market Index, MDAX, 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
Hannover / free trade
München / free trade
Original-Content von: Salzgitter AG, übermittelt durch news aktuell