Corporate | 30 November 2007 08:00
KWS SAAT AG / Quarter Results
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KWS SAAT AG – strong performance in Q1 of 2007/2008
Forecast of slight increase in net sales and earnings on a par with last
year confirmed for current fiscal year 2007/2008.
(Einbeck, November 30, 2007/No. 34/gf) – The business of KWS SAAT AG (ISIN:
DE 0007074007) fluctuates strongly due to seasonal differences, as is
typical of companies in the agricultural sector. KWS generates an average
of just one tenth of its annual sales in the months July to September,
since the main generators of revenue – corn and sugarbeet – are not planted
until spring. Only winter cereal and winter rapeseed varieties are sown in
the fall.
The KWS Group grew its net sales in the first quarter of fiscal 2007/08
(September 30) to €62 (52) million. The successful fall planting of the
crops rye, barley and rapeseed is reflected in these earnings figures. As a
result of the positive sales development, the KWS Group’s operating income
(EBIT) was better than that of the year before. At € -15 (-20) million,
however, it is negative due to the seasonal nature of its business.
Moreover, the sale of the potato business at July 1, 2007, had a positive
impact on the net income for the first quarter, which amounted to € -5
(-13) million euros.
The investments made in the first quarter of fiscal 2007/08 amounted to €8
(6) million and were aimed at improving seed quality and expanding
production and breeding capacities. They lie clearly above the level of
depreciation at €4 (3) million. In light of the positive development of the
cereals segment as well as expected net sales increases in the corn
segment, combined with stable business in the sugarbeet sector, the outlook
for all of fiscal 2007/08 is for slight growth in net sales compared to the
previous year (€538 million). The strong figure for operating income
achieved last year (€64 million) is expected to be maintained. The
continuing weakness of the dollar will presumably lower net sales for
fiscal 2007/08 by approximately €10 million.
The quarterly report can be downloaded from www.kws.com/ir.
Contact:
Georg Folttmann
- Head of Investor Relations -
Phone:+49 (0)55 61/311-640
g.folttmann@kws.com
30.11.2007 Financial News transmitted by DGAP
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Language: English
Issuer: KWS SAAT AG
Grimsehlstraße 31
37574 Einbeck
Deutschland
Phone: +49 (0)5561 311-0
Fax: +49 (0)5561 311-322
E-mail: info@kws.de
Internet: www.kws.de
ISIN: DE0007074007
WKN: 707400
Indices: S-DAX
Listed: Regulierter Markt in Frankfurt (General Standard), Hannover;
Freiverkehr in Berlin, Düsseldorf, Stuttgart
End of News DGAP News-Service
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