Corporate | 14 November 2014 07:30
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SURTECO SE / Key word(s): 9-month figures
Press Release
SURTECO continues dynamic growth
Buttenwiesen-Pfaffenhofen, 14 November 2014 – SURTECO SE – one of the world’s leading manufacturers of decorative surface materials – generated growth of 59 % to achieve sales revenues of EUR 470.1 million (nine months 2013: EUR 295.9 million) in the first nine months of the business year 2014. Growth was driven by consolidation of the Süddekor Group, taken over at the end of 2013. The business experienced organic growth of 2.5 %. Earnings before Interest, Tax, Depreciation and Amortization (EBITDA) increased by 42 % to EUR 57.2 million (nine months 2013: EUR 40.3 million). The pretax result (EBT) increased by 54 % to EUR 27.5 million (nine months 2013: EUR 17.9 million). Against this background, the company confirms the predicted increase in pretax result compared with the value for the previous year (EUR 28.1 million), although it is important to bear in mind that the previous year’s result was impacted by a non-operating positive one-off effect of EUR 13.5 million. In view of the general slowdown in economic conditions, the sales target has been adjusted to between EUR 615 million and EUR 625 million. “Although the overall conditions in the current business year are not favourable, we can be satisfied with the business performance so far. After completing the integration of the Süddekor Group, we are expecting a significant increase in earnings from 2016,” according to the Friedhelm Päfgen , Chairman of the Board of Management of SURTECO SE. Organic growth in both Strategic Business Units As a result of acquisition, the paper segment posted an increase in sales amounting to 146 % with a rise to EUR 297.7 million. The segment underwent moderate organic growth of 2.1 %. Although sales for the Strategic Business Unit Plastics at EUR 172.4 million fell slightly short of the level for the previous year (EUR 174.8 million), adjusted by the sale of the cladding business, the plastics division also generated growth of 2.7 %. While earnings for the paper segment were significantly above the values for the previous year, the plastics segment remained virtually stable. The disproportionately low increase in earnings per share from EUR 1.12 to EUR 1.24 is due to the increase in the number of shares following the capital increase in November 2013 from 11.1 million to 15.5 million. Unchanged high level of balance sheet quality, free cash flow significantly up The equity ratio of 49.6 % was at the level for the close of 2013 (49.7 %). The gearing (level of debt) was reduced slightly to 48 % (end of 2013: 49 %), while the net financial debt at EUR 151.8 million remained at the year-end level for 2013 (EUR 151.2 million). The increased business volume led to an increase in free cash flow by 35 % from EUR 11.6 million to EUR 15.7 million. Earnings forecast confirmed – sales target slightly adjusted to take account of more difficult framework conditions SURTECO continues to operate in a difficult environment with the customer focus on the furniture industry. In view of the slowdown being experienced by the European economy in particular and the conflicts in the Ukraine region, the Board of Management has adjusted the previous consolidated sales target from between EUR 630 million and EUR 640 million to between EUR 615 million and EUR 625 million. Nevertheless, the projected increase in pretax result compared with the value for the previous year (EUR 28.1 million) has been confirmed. However, this forecast does not include any restructuring expenses requiring the formation of reserves, which will arise from the merger of the decor printing division. The integration of Süddekor continues to proceed according to plan and the initial synergies will be included in the result from 2015. You can find the report for the first three quarters of 2014 and other information about SURTECO SE on the Internet by going to www.surteco.com.
Profile of SURTECO
Cautionary note regarding forward-looking statements
Contact:
Important indicators of SURTECO SE (in EUR million)
(1) Q1-3 2014: based on 15,505,731 no-par-value shares (including capital increase from December 2013), Q1-3 2013: number of shares: 11,075,522 (2) Net debt / Equity 14.11.2014 Dissemination of a Corporate News, transmitted by DGAP – a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The DGAP 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: | SURTECO SE | |
| Johan-Viktor-Bausch-Str. 2 | ||
| 86647 Buttenwiesen-Pfaffenhofen | ||
| Germany | ||
| Phone: | +49 (0)8274 99 88-0 | |
| Fax: | +49 (0)8274 99 88-5 05 | |
| E-mail: | ir@surteco.com | |
| Internet: | www.surteco.com | |
| ISIN: | DE0005176903 | |
| WKN: | 517 690 | |
| Indices: | SDAX | |
| Listed: | Regulierter Markt in Frankfurt (Prime Standard), München; Freiverkehr in Berlin, Düsseldorf, Hamburg, Hannover, Stuttgart | |
| End of News | DGAP News-Service |
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| 296985 14.11.2014 |