Media | 14 November 2012 07:31
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MLP posts significant rise in earnings after nine months – Revenue growth in Q3 – 9M: EBIT climbs from EUR 4,6 million to EUR 26.7 million – reflecting the continuing benefits of MLP’s early implementation of its efficiency program – Q3: Slight uptrend in old-age provision, high momentum in wealth management – total revenue increase by 4 percent – Assets under Management total EUR 20.9 billion (30.6.: EUR 20.2 billion) – Full year: Operating EBIT margin goal of 15 percent still achievable despite difficult market conditions – Further pick-up expected in old-age provision and health insurance Wiesloch, 14th November 2012 – MLP, the independent financial services and wealth management consulting company, significantly increased its earnings in the first nine months of 2012 and continued to benefit from the early implementation of its efficiency program. Supported by stable revenue development, earnings before interest and taxes (EBIT) climbed from EUR 4.6 million to EUR 26.7 million; the increase in operating EBIT (EBIT before one-off exceptional costs) amounted to 43 percent. Group net profit rose sharply from EUR 2.0 million to EUR 18.6 million. As in the second quarter, MLP was also able to maintain the very dynamic momentum in wealth management throughout the period from July to September. Despite the difficult framework conditions there was a slight pick-up in both the old-age provision and the health insurance business areas which should strengthen during the final quarter. Overall, revenue in the third quarter amounted to EUR 121.5 million, corresponding to an increase of 4 percent compared to the same period in the previous year and 8 percent compared to the second quarter 2012. ‘MLP continues to operate in difficult markets. The deteriorating economy and the discussions surrounding the European debt crisis are causing many investors throughout the industry to remain hesitant – particularly towards long-term contracts for old-age provision,’ comments MLP Chief Executive Officer Dr. Uwe Schroeder-Wildberg. ‘However, in recent years we have shown that we are able to perform successfully even in challenging markets – as also highlighted by the results in the first nine months. At the same time we are reaping the benefits of our efficiency program whilst also profiting from the broadening of our business model, above all the strengthening of our wealth management business.’
9M: Significant growth in wealth management
The revenue breakdown by consulting areas shows that MLP benefited above all from the continuing dynamic momentum in wealth management. In the first nine months, revenue rose by 41 percent to EUR 83.7 million (EUR 59.2 million). Viewing the third quarter in isolation, the increase amounted to 82 percent. This growth was substantially supported by positive business development at the subsidiary Feri, which has become an important pillar for MLP. Non-life insurance also developed successfully – revenue in the first nine months amounted to EUR 26.7 million, equating to an increase of 7 percent compared to the previous year (EUR 25.0 million). In private health insurance, revenue in the first nine months amounted to EUR 45.5 million and thus remained significantly below the previous year (EUR 56.8 million). This fall was attributable to a change in the law from 1st January 2011 which made it easier for employees to switch to private health insurance. This led to a catch-up effect, particularly in the first quarter 2011. Third quarter revenue totalled EUR 13.7 million and thus remained below the same period in the previous year (Q3 2011: EUR 15.1 million) but above the second quarter (Q2 2012: EUR 12.7 million). In the third quarter an upward trend was also evident in old-age provision. The premium sum for new business stood at EUR 1.0 billion and thus remained at the level of the previous year (Q3 2011: EUR 1.0 billion). Following a pick-up in business, particularly in September, this development is not yet fully reflected in the revenue. In the third quarter, revenue amounted to EUR 54.9 million and were therefore below the same quarter in the previous year (Q3 2011: EUR 62.7 million) but above the second quarter 2012 (Q2 2012: EUR 48.4 million). Revenue in old-age provision for the first nine months of 2012 totalled EUR 152.3 million (9M 2011: EUR 169.6 million).
9M: EBIT rises to EUR 26.7 million
The successful earnings development reflects, above all, the benefits of MLP’s early implementation of its efficiency program. After taking account of the one-off exceptional costs in the previous year, the operating fixed costs in the first nine months fell by EUR 12.4 million compared to the same period in 2011 and by EUR 22.8 million compared to the first nine months of 2010. ‘Our efficiency program is therefore still fully on track,’ comments MLP Chief Financial Officer Reinhard Loose. The balance sheet strength of MLP is reflected in an equity ratio of 25 percent at 30th September 2012. At this reference date, the core capital ratio stood at 17.7 percent which far exceeds the 8 percent level prescribed by the supervisory body for banks such as MLP.
Q3: Total revenue increase by 4 percent
Assets under Management increase significantly to EUR 20.9 billion
21,600 new clients
Renewed positive rating by clients
Outlook: Further pick-up expected – EBIT margin goal achievable
Overview of the key figures
*) 30th June 2012 About MLP: MLP is Germany’s leading independent consulting company. Supported by comprehensive research, the Group provides a holistic consulting approach that covers all economic and financial questions for private and corporate clients, as well as institutional investors. The key aspect of the consulting approach is the independence from insurance companies, banks and investment firms. The MLP Group manages total assets of more than EUR 20.9 billion and supports more than 805,000 private and 5,000 corporate clients or employers. The financial services and wealth management consulting company was founded in 1971 and holds a full banking licence. The concept of the founders, which still remains the basis of the current business model, is to provide long-term consulting for academics and other discerning clients in the fields of provision, financial investment, health insurance, non-life insurance, loans and mortgages and banking. Private individuals with assets above EUR 5 million and institutional clients benefit from extensive wealth management and consulting services as well as receiving economic forecasts and ratings provided by the subsidiaries of the Feri Group. Supported by its subsidiary TPC and the joint venture HEUBECK-FERI Pension Asset Consulting GmbH, MLP also provides companies with independent consulting and conceptual services in all issues pertaining to occupational pension schemes and remuneration as well as asset and risk management. End of Media Release Issuer: MLP AG Key word(s): Finance 14.11.2012 Dissemination of a Press Release, transmitted by DGAP – a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. DGAP’s Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de |
| Language: | English | |
| Company: | MLP AG | |
| Alte Heerstraße 40 | ||
| 69168 Wiesloch | ||
| Germany | ||
| Phone: | +49 (0)6222-308-1135 | |
| Fax: | +49 (0)6222-308-8351 | |
| E-mail: | investorrelations@mlp.de | |
| Internet: | www.mlp-ag.de | |
| ISIN: | DE0006569908 | |
| WKN: | 656990 | |
| Indices: | SDAX | |
| Listed: | Regulierter Markt in Frankfurt (Prime Standard), Stuttgart; Freiverkehr in Berlin, Düsseldorf, Hamburg, Hannover, München; Terminbörse EUREX | |
| End of News | DGAP-Media |
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| 193099 14.11.2012 |