EANS-News: Progress-Werk Oberkirch AG
PWO: Positive business development in the first quarter of 2012
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quarterly report
Subtitle: - Revenue grew 18.2 percent, EBIT rose 34.4 percent
- Net income for the period and earnings per share nearly doubled
- Expectations for fiscal year 2012 confirmed
Oberkirch (euro adhoc) - Oberkirch, May 3, 2012 - Today, Progress-Werk Oberkirch
AG released its interim finan-cial report for the first quarter of fiscal year
2012. In the first quarter of the financial year 2012, the PWO Group continued
to achieve high growth. Revenue increased by 18.2 per-cent to EUR 91.1 million
(p/y: EUR 77.1 million). The total output rose by 14.5 percent to EUR 92.1
million (p/y: EUR 80.5 million).
EBIT grew 34.4 percent from EUR 4.5 million in the previous year to EUR 6.1
million. The EBIT margin - based on total output - increased from 5.6 percent
to 6.6 percent. Net income for the period benefited from a significantly lower
tax rate of 27.9 percent (p/y: 44.4 percent). The positive earnings performance
at the Czech location allowed the tax-loss carryforwards from that location to
take effect. In addition, non-taxable exchange rate effects were immaterial.
Net income for the quarter rose to EUR 3.2 million (p/y: EUR 1.6 million) and
earnings per share increased to EUR 1.27 (p/y: EUR 0.64).
In the first quarter of 2012, our home base in Oberkirch realised revenue
growth of 12.6 percent to EUR 63.8 million (p/y: 56.7 million). Total output
increased by 10.5 percent to EUR 66.5 million (p/y: EUR 60.2 million). EBIT
amounted to EUR 5.6 million in the reporting quarter after EUR 6.1 million in
the prior year. This slight decrease was solely due to positive extraordinary
effects at the reporting date in the previous year which subsequently reversed
again. For the year as a whole, we continue to expect the German location to
have a positive earnings development.
Our Czech site has developed very favourably. Revenue rose 16.8 percent to EUR
9.3 million (p/y: EUR 8.0 million) and total output increased to EUR 10.2
million (p/y: EUR 10.0 million). EBIT improved to EUR 0.8 million (p/y: EUR 0.4
million). The EBIT margin reached 7.3 percent (p/y: 3.9 percent). At our two
locations in the NAFTA region - Canada and Mexico - there were extensive new
series start-ups and ramp-ups in the second half of 2011. With the further
ramp-ups in the reporting quarter,revenue in the NAFTA region expanded
significantly by 51.5 percent to EUR 16.5 million (p/y: 10.9 million). In
Canada, revenue rose 25.7 percent to EUR 8.1 million and total output rose 30.4
percent to EUR 8.3 million as a result of the higher increase in finished goods
and work-in-progress. In Mexico, revenue and total output grew 86.2 percent and
91.6 percent respectively each to EUR 8.5 million. The EBIT of the NAFTA segment
had achieved breakeven (p/y: EUR -0.8 million). At EUR 1.5 million in the
reporting quarter, the revenue of our Chinese site remained at the previous
year's level. Total output amounted to EUR 1.9 million (p/y: EUR 1.5 million).
The loss at the EBIT level decreased significantly to EUR -0.3 million (p/y: EUR
-0.9 million, which had included currency losses).
PWO Group's total assets rose 5.2 percent as compared to December 31, 2011.
Equity saw an earnings-related increase of 5.3 percent. At 31.1 percent, the
equity ratio was almost unchanged. With net debt of EUR 90.8 million (year-end
2011: EUR 90.3 million), gearing (net debt as a percentage of equity) was 115
percent at the end of March as against 121 percent at the end of 2011. Cash
flow from operating activities was EUR 6.6 million (p/y: EUR 1.5 million).
Thus, investments of EUR 6.8 million were essentially financed internally. Free
cash flow after interest paid and received amounted to EUR -1.2 million (p/y:
EUR -3.5 million).
As previously reported, new business has had a very dynamic development. In the
first quarter of 2012, we have already won contracts with a lifetime volume of
around EUR 170 million. By mid-April the volume had risen to around EUR 210
million. This represents approximately 70 percent of total new orders in 2011.
We remain by our forecasts for 2012 which were given in the 2011 annual report.
We expect revenue of around EUR 360 million (p/y: EUR 331.1 million). The
previous year's figures had included approximately EUR 20 million in material
price increases. For 2012, this effect is expected to be significantly lower
due to falling material prices. We expect profitability to remain stable at our
Oberkirch site and the results of the international sites are expected to
improve quickly. In 2012, we continue to aim at an EBIT in the range of EUR 25
million. The net income for the period should continue to benefit from the
positive effects of the application of tax credits to our Czech and Mexican
locations.
PWO offers today at 10:30 CEST a conference call in German language about the
first quarter 2012 for investors and analysts. The call-in number is available
from the IR-department (tel: +49 7802 84 844). A replay will be available on
www.progress-werk.de.
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 a particular 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 1,400 staff members. The Group is globally represented with
further sites in Canada, the Czech Republic, China and Mexico employs around
2,700 staff members 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
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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: free trade: Berlin, München, Hamburg, Düsseldorf, Stuttgart,
regulated dealing/prime standard: Frankfurt
language: English