Ad-hoc | 24 March 2009 07:38
SURTECO SE / Final Results/Preliminary Results
Release of an Ad hoc announcement according to § 15 WpHG, transmitted by
DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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- Consolidated sales 3 % below previous year at EUR 403 million
- One-off effects impact negatively on earnings
- Focus for 2009 on cost efficiency and liquidity management
SURTECO SE, leading manufacturer of surface materials based on plastics and
technical papers for the international construction and furnishing
industry, was unable to build on the record figures achieved in the
previous year due to the effects of the financial crisis in the business
year 2008. Consolidated sales were therefore down 3 % (after exchange-rate
adjustments of 1.2 %) on the value for the previous year of EUR 414.5
million. By the end of the third quarter, sales revenues were still at the
level of the previous year. The Strategic Business Unit Plastics even
generated growth of 3 % with EUR 254.7 million compared with 2007. After
adjustment for the Swedish foil manufacturer Gislaved acquired in September
2007, segment sales would have fallen back by 5 %. The activities of the
Strategic Business Unit Paper reflected the significant consumer restraint
evident throughout the business year. The intensified financial crisis in
the second half of the year reinforced this trend so that segment sales at
EUR 148.3 million fell by 11 % in 2008.
Cost efficiency and liquidity management in focus for 2009
The Board of Management of SURTECO SE responded immediately to the change
in the macroeconomic environment and introduced a comprehensive
restructuring programme. This includes a reduction in the workforce by a
total of 320 employees - around 15 % of the group workforce - and increased
cost efficiency in all areas. There will also be postponements in the
schedule for implementing investment projects. These measures required an
increase in expenditure for restructuring programmes from the original
figure of EUR 4 million to EUR 7.3 million, which impacted negatively on
the operating result (EBITDA) of EUR 58.3 million (2007: EUR 74.4 million).
This and the necessary impairment of EUR 11.5 million on the package of
shares in Pfleiderer AG, Neumarkt, held by SURTECO led to a decline in
pre-tax earnings to EUR 15.8 million (2007: EUR 46.6 million). In view of
these developments and against the background of the difficult environment
expected in 2009, the Board of Man-agement and the Supervisory Board
believes a prudent approach to be a reduction in the payout to shareholders
in SURTECO corresponding to EUR 0.35 (2007: EUR 1.10) per share.
A revival of demand is not anticipated for the current business year 2009.
It is more likely that the consequences of the crisis will continue to
impact negatively on the business activity of the Group until well into the
year 2010. However, the SURTECO Group also perceives opportunities in the
current crisis. Plant shutdowns, site closures or insolvencies among
competitors will bring about consolidation in the sector of surface
manufacturers during the next few years. The SURTECO Group continues to
maintain an effective technological and commercial platform and is
therefore in a position to adjust quickly and flexibly to new market
conditions. Against this background, the objective is to continue long-term
profitable growth of the company after the unusual economic environment
has returned to 'normal', and to continue enhancing market and
technological leadership.
24.03.2009 Financial News transmitted by DGAP
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Language: English
Issuer: SURTECO SE
Johan-Viktor-Bausch-Str. 2
86647 Buttenwiesen-Pfaffenhofen
Deutschland
Phone: +49 (0)8274 99 88-0
Fax: +49 (0)8274 99 88-5 05
E-mail: g.schneller@surteco.com
Internet: www.surteco.com
ISIN: DE0005176903
WKN: 517 690
Listed: Regulierter Markt in Frankfurt (Prime Standard), München;
Freiverkehr in Berlin, Düsseldorf, Stuttgart
End of News DGAP News-Service
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