EANS-Adhoc: Kapsch TrafficCom AG Kapsch strengthens the position despite a
mediocre 2013/14 fiscal year
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Financial Figures/Balance Sheet/Company Information
11.06.2014
Kapsch strengthens the position despite a mediocre 2013/14 fiscal year
· Market growth absent in the toll collection area - revenue comparable to
previous year
· Toll systems in South Africa and Belarus successfully put into operation
· Significant improvement in operating results - EBIT increased by 23 %
· Profit for the period down by 83 % - no dividend planned
· Position for the future strengthened by stable revenue base and adapted
strategy
______________________________________________________________________________
|1 April-31 March | 2012/13| +/-| 2013/14|
|__________________|___________________|___________________|___________________|
|Revenues (in | 488.9| 0 %| 487.0|
|millionEUR) | | | |
|__________________|___________________|___________________|___________________|
|EBIT (in million | 16.5| +23 %| 20.3|
|EUR) | | | |
|__________________|___________________|___________________|___________________|
|Profit for the | 16.8| -83 %| 2.9|
|period (in million| | | |
|EUR)______________|___________________|___________________|___________________|
Vienna, 11 June, 2014 - Kapsch TrafficCom AG (ISIN AT000KAPSCH9), listed on the
Vienna Stock Exchange in the prime market segment, reports a mediocre 2013/14
fiscal year in which the forecast growth in the area of electronic toll
collection did not materialize. The reporting period was characterized by
postponements and cancellations of expected projects; in addition, Kapsch
TrafficCom suffered a negative one-time effect in connection with the project in
South Africa. Nevertheless, the group successfully continued its strategic
development and finds itself in a more solid position than one year ago and well
prepared for the future.
One key milestone was the commissioning of the electronic toll collection system
in the South African province of Gauteng, which was delayed for more than one-
and-a-half years and has up to now been the main cause of the mediocre company
results. In Belarus, Kapsch TrafficCom put the first sections of the national
electronic toll collection system according to plan into operation, a system
that will be continuously expanded in the coming years. Additional system starts
as well as new orders were achieved by Kapsch TrafficCom in the U.S.A., in
Australia, Chile, Russia, Kazakhstan and Europe.
The result was a significant further expansion in the enduring revenue mainstays
of the global on-board unit business and ongoing system operation. Furthermore,
Kapsch TrafficCom was able to expand on its competence beyond the area of toll
collection systems in the market for intelligent transportation systems (ITS),
and strengthen its position with the acquisition of the major ITS provider
Transdyn in the U.S.A.
Subtitle: Revenue and earnings
The revenue in the 2013/14 fiscal year was EUR 487.0 million, which is in line
with the previous year's level of EUR 488.9 million. As in the previous year,
major installation projects - other than the Belorussian project - were absent,
and the most recently commissioned systems in South Africa and Belarus are not
yet reflected to their full extent in the revenue and earnings for the reporting
period.
The investments that were made for the predicted market growth were downsized as
far as possible in the reporting period, while at the same time existing
structures were adapted for new operation projects as well as resources and
know-how were maintained for future large projects. In the third quarter, Kapsch
TrafficCom was once again forced to record a negative one-time effect in
connection with the project in South Africa in the amount of EUR 8.5 million.
The operating result nevertheless improved significantly in the 2013/14 fiscal
year due to progress in and expansions of installation projects. At EUR 20.3
million, the EBIT is 22.9 % above the previous year's value of EUR 16.5 million.
The EBIT margin of 4.2 % reflects this improvement, even if it remains far below
the medium-term goal of a two-digit margin.
The financial result recorded an enormous decline, due primarily to largely
unrealized currency losses - above all in the South Africa rand. The profit
before tax decreased as a result to EUR 5.5 million, and the profit for the
period fell from EUR 16.8 million in the previous year to EUR 2.9 million in the
reporting period.
The executive board will propose to the annual shareholders? meeting on 1
September 2014 that no dividend be paid out for the 2013/14 fiscal year in order
to avoid limiting options for further growth.
Subtitle: Outlook
Kapsch TrafficCom has invested in the future during recent years and prepared
its internal structures for the predicted market growth. The company is also
ready for the changes to arise from increasing ITS convergence. With the adapted
strategy, the executive board considers the company's position for the future to
be stronger than ever. Details concerning the developments on the market and
within the Kapsch TrafficCom Group will be published in the 2013/14 annual
report.
Concerted work will continue on existing projects in the 2014/15 fiscal year.
The major project in Belarus will be expanded further, and Kapsch TrafficCom
also expects expansions to the operation project in Poland. Now that the toll
system in South Africa has been in operation since December 2013, the company
plans to work with its customer to further improve the revenue from the project.
The result of the invitation to tender for the nationwide toll collection system
in Russia is expected soon.
Kapsch TrafficCom also expects that some of the postponed projects as well as
others will materialize in the current fiscal year. In parallel to this, the
company continues to actively contact potentially interested parties for toll
systems, an approach that has already proved successful in Belarus.
Subtitle: Notification
An overview of the fiscal year 2013/14 (key aspects and figures) can be found at
http://www.kapsch.net/ktc/investor_relations/presentations_information/download/
Overview/KTC_IR_Overview_FY13-14?lang=en-US. The entire annual financial
statements and the annual report for 2013/14 will be published on 25 June 2014.
Press Contact:
Alf Netek
Chief Marketing Officer
Kapsch AG
Am Europlatz 2, 1120
Vienna, Austria
Phone: +43 50 811 1700
E-mail:
alf.netek@kapsch.net
Investor Contact:
Marcus Handl
Investor Relations Officer
Kapsch TrafficCom AG
Am Europlatz 2, 1120 Vienna, Austria
Phone: +43 50 811 1120
E-mail: ir.kapschtraffic@kapsch.net
Further inquiry note:
Mag. Marcus Handl
Investor Relations Officer
Kapsch TrafficCom AG
Am Europlatz 2
1120 Wien, Österreich
Tel.: +43 50.811 1120
E-Mail: {ir.kapschtraffic@kapsch.net}
[HYPERLINK: mailto:ir.kapschtraffic@kapsch.net]
Press Contact:
Alf Netek
Chief Marketing Officer
Kapsch AG
Am Europlatz 2, 1120
Vienna, Austria
Phone: +43 50 811 1700
E-mail:
alf.netek@kapsch.net
end of announcement euro adhoc
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issuer: Kapsch TrafficCom AG
Am Europlatz 2
A-1121 Wien
phone: +43 1 50811 1122
FAX: +43 1 50811 99 1122
mail: ir.kapschtraffic@kapsch.net
WWW: www.kapschtraffic.com
sector: Technology
ISIN: AT000KAPSCH9
indexes: Prime Market
stockmarkets: official market: Wien
language: English