Corporate | 31 May 2010 07:00
ARAGON AG / Miscellaneous 31.05.2010 07:00 Dissemination of a Corporate News, transmitted by DGAP - a company of EquityStory AG. The issuer / publisher is solely responsible for the content of this announcement. --------------------------------------------------------------------------- - Aragon begins 2010 with strong growth in sales and earnings - 65 per cent rise in sales revenues to EUR 23.7m, positive EBIT - Product sales up 29 per cent to EUR 349m - Board anticipates record sales in 2010 In what is still a difficult climate for the financial services industry, Aragon AG, one of Germany's leading financial sales companies, followed up the positive trend of the previous quarter by making a successful start to 2010 with a historically strong first quarter. Sales revenues in the first quarter of 2010 climbed 65 per cent on the same quarter last year to reach EUR 23.7m (Q1 2009: EUR 14.3m). Earnings before interest, tax, depreciation and amortization (EBITDA) rose to EUR 0.5m against a fall of EUR 0.4m in Q1 2009. Earnings before interest and tax (EBIT) also improved, to EUR 0.1m (Q1 2009: EUR -0.8m). 'We are delighted that our consistent work during the financial crisis has now paid off: the first quarter of 2010 is the strongest first quarter in terms of sales in the history of the company. This is all the more pleasing given that we have managed it in what is still a difficult market environment which has seen many other market players suffering sometimes sharp drops in sales. Profitability will follow suit in the course of the year', said Dr. Sebastian Grabmaier, CEO of Aragon AG. Assets under administration by Aragon AG rose 81 per cent to some EUR 3.8bn compared with the end of March 2009 (March 2009: EUR 2.1bn). Aragon AG also continues to be in positive territory as regards the relevant balance sheet figures: on 31 March 2010 equity stood at EUR 53.1m and the equity ratio at 55 per cent. Liquid assets climbed 6 per cent to EUR 10.9m (31.12.2009: EUR 9.4m). The continued business units of Aragon AG performed as follows: With sales of EUR 16.8m in the first quarter of 2010 (previous year: EUR 11.9m), the Broker Pools unit was again the strongest business unit of Aragon AG in terms of sales. Earnings before interest, tax, depreciation and amortization (EBITDA) came to EUR 0.3m in this period compared with EUR -0.5m in Q1 2009. In the first quarter of 2010 earnings before interest and tax (EBIT) stood at EUR -0.01m, above the EBIT for Q1 2009 (Q1 2009: EUR -0.9m). Despite positive figures from Jung, DMS & Cie. AG, the unit continues to suffer from the difficult environment for closed-end funds and the resulting drag on earnings for BIT Treuhand AG. With a 215 per cent rise in sales revenues to EUR 6.8m (Q1 2009: EUR 2.2m), the Financial Consulting business unit is again in 2010 the segment recording the greatest growth in Aragon AG. The main drivers were the strong operating performance of Compexx AG, which enjoyed one of the best quarters in its history, the first consolidation of Scopia AG (formerly MLP Finanzdienstleistungen AG, Vienna), which managed to achieve a positive net result in the first quarter following several years of losses, and the first consolidation of inpunkto GmbH, Mönchengladbach, in the previous quarter. Earnings before interest, tax, depreciation and amortization (EBITDA) came to EUR 0.6m in Q1 2010 (Q1 2009: EUR 0.3m). Earnings before interest and tax (EBIT) stood at EUR 0.5m in Q1 2010 (Q1 2009: EUR 0.3m). Given the increases that have historically always been expected in this business unit by the end of the year, the unit is expected to deliver a significant improvement in results in the second half. The Institutional Sales business unit saw a decline in sales of EUR 0.1m in the first quarter of 2010 (previous year: EUR 0.3m). Earnings before interest, tax, depreciation and amortization (EBITDA) came to EUR -0.1m in Q1 2010 (Q1 2009: EUR 0.1m). Earnings before interest and tax (EBIT) stood at EUR -0.1m in Q1 2010 (Q1 2009: EUR 0.1m). The Institutional Sales unit continues to suffer from the reluctance of institutional investors to buy equities and certificates. The Holding business unit, which since the third quarter of 2008 has likewise included the stake in biw Bank für Investments und Wertpapiere AG, consolidated only pro forma at equity, saw earnings before interest, tax and amortization (EBITDA) remain steady at EUR -0.3m in Q1 2010 compared with Q1 2009 (Q1 2009: EUR -0.3m). biw also maintained its positive trend into the first quarter of 2010: in comparison with the end of the fourth quarter of 2009, biw was able to increase the number of managed accounts by 7 per cent to some 116,000 (31.12.2009: 109,000). The number of security orders it handled rose about 28 per cent to approx. 1.2 million (Q1 2009: 0.9 million). Further growth for 2010 expected While the general conditions for the financial services industry remain difficult, particularly for the brokering of investment products, Aragon is focused on achieving the biggest annual sales in the history of the company in 2010. 'Our growth strategy really took off in the first quarter. Since the fourth quarter of 2009 we have been able to buck the general market trend by posting dynamic growth again. The excellent results in what is, for seasonal reasons, a typically weak first quarter allow us to look ahead optimistically to the second half of 2010. Aragon AG will step up the pace of growth still further, so even now we anticipate that annual sales will exceed the EUR 120m mark', explained Wulf Schütz, a director of Aragon AG. The quarterly report is now available to download from the company's website at www.aragon.ag. The results for the second quarter of 2010 are scheduled for publication on 31 August 2010. About Aragon AG Aragon AG is a broadly diversified financial services group with four business units: Broker Pools, Financial Consulting, Institutional Sales and Holding. Aragon AG is actively engaged in the market with several independent subsidiaries. The aim is to integrate a variety of sales models under one roof without any of the sales teams losing their own identity. The effect is a broad diversification across various asset classes and sales types, with a consequently high stability in corporate earnings. Further information about the company and its subsidiaries can be found at www.aragon.ag. Contact: Aragon Aktiengesellschaft Ralf Funke Investor Relations Tel.: +49(0)611 890 575-0 Fax: +49(0)611 890 575-99 E-Mail: ir@aragon.ag 31.05.2010 Ad hoc announcement, Financial News and Media Release distributed by DGAP. Media archive at www.dgap-medientreff.de and www.dgap.de ---------------------------------------------------------------------------