Ad-hoc | 10 August 2011 16:00
Funkwerk AG / Key word(s): Profit Warning
10.08.2011 16:00
Dissemination 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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Funkwerk AG reduce sales and earnings forecast for full fiscal 2011 and
introduces comprehensive reorientation
Funkwerk AG, the specialist in professional information and communication
technology for transport and security, has retracted its forecast for the
full 2011 financial year. The Executive Board now anticipates sales in the
group to better the prior-year figure of EUR 211.0m by only a slight
margin. The operating result from today's point of view is expected to be
slightly negative. The company had previously predicted sales to increase
by around 8 per cent along with a positive earnings result.
The correction comes amid continuously slack business in the second
quarter. Budget cuts, in particular, along with a generally restrained
propensity to invest placed a burden on earnings at Funkwerk AG. On the
other hand, the company has introduced comprehensive reorientation measures
to reposition the group more efficiently with a clearer direction; this
will have an adverse effect on the operating result in 2011. Specific focus
will be given to the company's core business segments, Traffic & Control
Communication, Security Communication and Automotive Communication. The
mainstay of Traffic & Control Communication will clearly be train and rail
transport, whereas Automotive Communication will be centred on supply
business with automobile and lorry manufacturers. This will go hand in hand
with a split from peripheral areas and product lines; appropriate sell-offs
are currently in preparation. The Security Communication units, currently
operating independently, will be combined to form an integral segment
organisation. The reorientation will increase synergies in the company and
optimise its value added. The restructuring measures will also affect the
personnel sector with readjustments which, however, will not show effect
until the latter half of the year.
According to preliminary figures, consolidated sales of around EUR 94.3m in
the first six months lagged by some 6 per cent behind the prior-year figure
of EUR 100.7m. The operating result totalled EUR -4.0m, compared to EUR
-2.1m in the first half of 2010.
A full report will be available on presentation of the interim report on 12
August 2011.
For further information contact:
Funkwerk AG
Im Funkwerk 5
99625 Kölleda / Thüringen
Germany
Jörg Reichenbach
Investor Relations
Phone: 0 36 35 / 600-3 46
Fax: 0 36 35 / 600 -5 07
reichenbach@funkwerk.com
10.08.2011 DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
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Language: English
Company: Funkwerk AG
Im Funkwerk 5
99625 Kölleda
Germany
Phone: +49 (0)3635 600 0
Fax: +49 (0)3635 600 507
E-mail: info@funkwerk.com
Internet: www.funkwerk.com
ISIN: DE0005753149
WKN: 575314
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, Düsseldorf, Hamburg, München, Stuttgart
End of Announcement DGAP News-Service
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