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- Revenue totalled EUR 294 million in trading year 2007/08.
- Net losses came to EUR 45.9 million.
- Initial restructuring measures already successfully implemented
Krems, 18 August 2008.
Eybl International AG (ISIN: AT0000908157) - an internationally
respected manufacturer of components for automotive interiors,
specialising in the production of car textiles and the manufacture of
seat upholstery in fabric and leather, with around 4,100 employees at
nine production locations in Austria, Hungary, Romania, Germany and
Slovakia - has released its key accounting figures for the trading
In the trading year 2007/08 Eybl posted revenue of EUR 294.1 million,
corresponding to a drop of about 12% compared to the previous year
(EUR 332.8 Mio.). The key factor precipitating this decline was the
uncertain financial situation of the company which let customers only
restrainedly place orders. The largest decreases were registered in
revenues generated by the following customers: VW/Audi (EUR -19.1
Mio.) and Daimler AG (EUR -13.9 Mio.).
Breaking down revenue according to technology shows minor shifts in a
year-on-year comparison with manufacturing accounting for 63.3%
(previous year: 65.7%), textile surfaces 24.2% (previous year: 23.5%)
and interiors 12.5% (previous year: 10.8%).
The difficult financial situation of the company starting from the
end of 2007 resulted repeatedly in key suppliers imposing suspensions
of delivery, which impacted negatively on the company's just-in-time
production and supply processes. Consequently, significant costs
(approximately EUR -11 million) were incurred due to the necessity of
special trips and inefficiencies (productivity deviations, additional
shifts) in order to meet supply obligations.
The sharp drop in revenues compared to the previous year (EUR -38.7
million) and the insufficient reduction of the company's fixed costs
to offset the losses combined to put a considerable strain on the
company´s balance sheet.
In addition, re-evaluations resulted in impairment losses in the
company's working capital of around EUR 6.8 million (inventories: EUR
2.8 million, trade accounts receivable: EUR 2.5 million, trade
accounts payable EUR 1.5 million).
EBIT from the 2007/08 trading year came to EUR -35.9 million, a
significant decline from EUR 7.4 million in a year-on-year
comparison. The EBIT margin amounted to -12.2%, also a clear
shortfall in comparison to the previous year 2006/07 (2.2%). Net
losses for the 2007/08 trading year reached EUR -45.9 (compared to a
net profit of EUR 1.5 million in the 2006/07 trading year).
The balance sheet total as at 31 March 2008, fell considerably due to
the reduction of fixed assets from EUR 232.9 million (as at 31 March
2007) to EUR 228.1 million. Equity ratio came to 2.7% (previous year:
Success on the German automobile market
The Eybl Group's incoming orders in its 2007/08 trading year came to
EUR 212 million. The negative development was chiefly attributable to
the drop in prices on the market that Eybl could not pass on, at
least in part, to its customers who for their part focused on
significant cost-cutting measures as well. Also a factor were
performance problems in quality, production and supply as a result of
the difficult economic situation the Eybl group found itself in.
However, the Eybl Group was still able to land numerous international
orders in its most recent trading year, making it possible for the
company to equip nearly every current AUDI model and to produce
around 50% of the textile volume for the AUDI Q5. Eybl was also able
to obtain the future-oriented contract for the new VW Passat Coupé
and will be responsible, in conjunction with the VW subsidiary
SITECH, for developing and manufacturing all of the textiles for that
make car. Eybl's cooperation with SEAT also developed very
In this way, Eybl secured a EUR 35 million order for manufacturing of
the high-quality seats featuring comfort leather "Klimaleder" for a
new model made by a Southern German automobile manufacturer. This
luxury seat upholstery was designed in close cooperation with the
competent departments of the car maker in question, whereby the Eybl
technology "virtual reality" proved once again to be the decisive
factor for the company's success. By landing this order, Eybl
International successfully added another chapter to its cooperation
with the Germany premium manufacturer after having successfully
equipped the M class series 3.
As at 31 March 2008, the Eybl Group's order volume came to
approximately EUR 900 million.
Serious commitment from the key shareholder
In the context of the agreements reached in 2008 to restructure the
Eybl Group, the key shareholder, the Fries Familien-Privatstiftung
private foundation, injected EUR 32.4 million in capital into the
company, making a sizable contribution toward securing the future of
the Eybl Group.
This will enable the company to position itself on the market once
again as a reliable partner for automobile manufacturers.
Optimistic outlook despite difficult situation
Based on the findings resulting from the preparation of the annual
statements for the 2007/08 trading year, the new management team at
Eybl International AG, made up of the two members of the board Otto
Zwanzigleitner (CEO) and Peter Löschl, as well as Markus Gahleitner
as CFO and Anton Glockner as Head of Operations, has defined the
following operative objectives as the central areas for action in the
2008/09 trading year:
- Stabilising and optimising productivity in the operative areas.
This concerns productivity, internal quality and a structured net
working capital management; - Full commitment to implement process
orientation in all direct and indirect areas, coupled with active
change management; - Restructuring and reinforcing of the Internal
Control System ("IKS") in the Eybl Group; - Active indirect cost
management in order to achieve a corresponding cost structure for a
revenue volume from EUR 350 million to EUR 380 million; -
Implementing the capital restructuring package finalised on 25 June
2008, with the objective of reducing the company's financial
liabilities from EUR 134 million to approximately EUR 60 million,
disposing of assets not essential to business operations and
achieving an equity ratio of around 40%.
According to CEO Otto Zwanzigleitner, on the strategic level Eybl
plans to tackle the following areas: - Increasing value-added depth
by extending processes in a targeted way within the context of
vertical integration; - Concentrating on core markets with a focus on
opening up new customer areas within the context of horizontal
integration; - Eybl is to differentiate itself from its competition
vis-à-vis its customers by strengthening its one-group advantage and
by focusing on its design competence in textile surfaces; - With its
already well-established "virtual reality" Eybl will play a decisive
role in designing seats together with automobile manufacturers and
system suppliers in the future; - Eybl plans to take over a
leadership position in costs and in time-to-market competence; - Eybl
is to define partnerships with customers and suppliers as a core
element in a long-term success strategy; - The company as "Eybl New"
intends to be among the best in its field and the focus of Eybl
International AG is on customer satisfaction as a long-term key
indicator for the managing of the company; - Eybl International AG is
also planning to develop a new effective organisational structure for
purchasing and, together with suppliers, will set new standards with
the aim of establishing itself in the short-term as a sought-after
partner on the market.
After the initial measures have been rolled out, the management team
expects the quality and productivity situation to stabilise starting
from the third quarter of the 2008/09 trading year. The management
team is subsequently planning to advise key customers during regular
top-level customer visits with respect to progress in the
restructuring of the company.
Key operating figures:
Revenue (in EUR mn) 294.1 332.8
EBIT (in EUR mn) -35.9 7.4
EBIT margin (in %) -12.2 2.2
EBITDA (in EUR mn) -15.4 23.7
EBITDA margin (in %) -5.2 7.1
Earnings from normal operations (in EUR mn) -44.8 0.7
Net loss/profit (in EUR mn) -45.9 1.5
Balance sheet total (in EUR mn) 228.1 232.9
Equity ratio (in %) 2.7 23.2
Return on capital employed / ROCE (in %) -12.4 5.6
Headcount (average) 4.060 4.199
Dividend per share (in EUR) 0.00 0.20
Earnings per share (in EUR) -12.76 0.41
Order volume (in EUR mn) 212 311
Changes to the balance sheet date
Unlike under Austrian law, which applies to the financial statements
of Eybl International AG, the increase in capital stock cannot be
reported in the group financial statements, which are drawn up
according to IFRS, until the respective resolution has been taken and
entered into the Commercial Register. So that the restructured group
accounts may be documented as quickly as possible, it is necessary to
prepare the next annual report with minimal delay and thus to move
the balance sheet date from 31 March to 30 September.
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ots Originaltext: Eybl International AG
Im Internet recherchierbar: http://www.presseportal.ch
Further inquiry note:
Eybl International AG
Tel.: +43 (0) 2732 881-300
Fax: +43 (0) 2732 881-79
Branche: Speciality stores
Index: WBI, Standard Market Auction
Börsen: Wiener Börse AG / official market