Corporate | 27 November 2008 08:40


STEICO Aktiengesellschaft: QIII/2008 figures and outlook

STEICO Aktiengesellschaft / Quarter Results

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QIII/2008 figures and outlook

  - Revenues up despite difficult economic environment

  - Strong pressure on prices, restructuring costs and one-off factors
    depress earnings

  - Earnings fall further despite the program's initial success

Feldkirchen (Munich), November 27, 2008 – The economy clouded still further
in the third quarter. STEICO (ISIN DE000A0LR936) is countering the changed
conditions with a comprehensive restructuring and cost-cutting program. In
addition to procurement and production activities, key positions in the
Group have been re-staffed and it has underwent a strategic reorientation.
In addition to continued price pressure and the cost situation which
continued in the third quarter, expenses for the restructuring program also
depressed earnings. Initial successes could be seen at the end of the third
quarter, however these could not significantly prevent earnings from
falling still further.

Select key financial indicators

In T€                                 9M 2007  9M 2008  Q3 2007  Q3 2008
Revenues                               72,239   78,790   24,306   27,274
Revenue growth (in %)                   15.2%     9.1%     6.2%    12.2%
Total operating revenue                75,973   82,830   24,917   25,601
EBITDA                                 11,918    5,467    3,197      554
EBITDA margin 
(% of total operating                   15.7%     6.6%    12.8%     2.2%
revenue)
EBIT                                    7,022     -834    1,516   -1,639
EBIT margin
(% of total operating                    9.2%    -1.0%     6.1%    -6.4%
revenue)
Cash and cash equivalents              38,406*  29,418        –        –
Equity ratio  
(in %)                                  72.1%*   65.3%        –        –


* as at Dec 31, 2007 Outlook Despite the success that the restructuring program has already achieved, the charges at the end of the year are expected to outweigh the success. This means that - for the first time - an annual loss is forecast. The Managing Board believes that the restructuring program will have a sustained, positive effect. The target is thus to lead STEICO back into the profit zone despite the cloudy economic outlook in 2009. However, the anticipated increase in revenues is expected to go hand-in-hand with margins that will be still low in 2009. In the first few months of the year business is traditionally influenced by the weather and its impact on construction activities. If the upcoming winter is significantly more severe than last year, this could veil the positive effects of the restructuring program in the first quarter of 2009. The STEICO Group's equity ratio of 65.3% shows that it has solid foundations and its cash and cash equivalents of around € 29.4 million as of September 30 mean that it has sufficient resources to come out of the current crisis in a stronger position. Contact: Andreas Schulze STEICO Aktiengesellschaft Hans-Riedl-Strasse 21 85622 Feldkirchen Fon: +49-(0)89-99 15 51-48 Fax: +49-(0)89-99 15 51-97 E-Mail: schulze@steico.com www.steico.com 27.11.2008 Financial News transmitted by DGAP ---------------------------------------------------------------------- Language: English Issuer: STEICO Aktiengesellschaft Hans-Riedl-Str. 21 85622 Feldkirchen Deutschland Phone: +49 - (0)89 - 99 15 51 - 0 Fax: +49 - (0)89 - 99 15 51 - 99 E-mail: info@steico.com Internet: http://www.steico.com ISIN: DE000A0LR936 WKN: A0LR93 Listed: Freiverkehr in Berlin, Düsseldorf, München; Entry Standard in Frankfurt End of News DGAP News-Service ---------------------------------------------------------------------------