029 Group SE

Earnings Release • Aug 14, 2003

News Details

Ad-hoc | 14 August 2003 19:02

Armstrong DLW AG english

Business Performance of the Armstrong DLW AG for the First Half of 2003 Ad-hoc-announcement processed and transmitted by DGAP. The issuer is solely responsible for the content of this announcement. ——————————————————————————– Interim Report in Accordance with Paragraph 44b of the German Stock Exchange Law in Connection with Paragraphs 53 ff of the Listing Regulation Business Performance of the Armstrong DLW AG, Bietigheim-Bissingen, for the First Half of 2003 Sales Performance In the first half of 2003, the sales of the Armstrong DLW Group declined from 207.1 million euros to 185.8 millions euros compared to the first half of 2002 and the sales of the Armstrong DLW AG decreased from 85.2 million euros to 76.2 million euros. The continuing poor overall construction activity throughout Europe had continuing effects on the sales situation in the first half of this year. Although the DLW AG sales to overseas increased, these could not compensate for the losses in Europe. Earnings For the Armstrong DLW Group, the net loss for the first half of the year amounted to 6.4 million euros compared to the past year’s figure of a minus 3.8 million euros and the earnings before taxes were a minus 9.7 million euros versus the past year’s results of a minus 6.0 million euros. The operating income at the end of the first half of 2003 was a minus 5.4 million euros compared to the previous year with a minus 3.9 million euros. The Armstrong DLW AG shows a net profit of 1.2 million euros for the first half of 2003 and is thus significantly above the past year’s value of a minus of 0.5 million euros. Pretax profits amounted to 1.1 million euros versus the previous year’s value of a minus 1.1 million euros. The operating profit at the end of the first half of the year 2003 totaled 1.7 million euros compared to the past value of a minus 0.3 million euros. Orders Received and Orders On Hand In the Armstrong DLW Group, the orders received were at a level of 185.8 million euros versus the previous year with 270.5 million euros. The orders on hand stood at 43.2 million euros, which is below the comparable value for the past year of 65.1 million euros. The Armstrong DLW AG received orders amounting to 68.5 million euros compared to the past period with 78.3 million euros. The orders on hand of 14.7 million euros are lower than the value for the previous year of 16.7 million euros. Investments and Financing The investments for the first half of 2003 for the Armstrong DLW Group stood at 3.9 million euros versus the previous year’s value of 7.0 million euros. The Armstrong DLW AG invested 1.6 million euros in 2003 and for the past year this value was 4.3 million euros. Employees As of June 30, 2003, the Armstrong DLW Group employed 2517 personnel and the past total was 2646. The change is basically due to the restructuring in the Armstrong DLW AG. With the integration of the resilient and carpet flooring segments in Europe, many positions and areas had redundant elements. In the future, the entire flooring business will be managed by one team with integrated departments. The Armstrong DLW AG had 1100 employees as of June 30, 2003 versus 1253 personnel last year. August 14, 2003 Gerard L. Glenn end of ad-hoc-announcement (c)DGAP 14.08.2003 Issuer’s information/explanatory remarks concerning this ad-hoc-announcement: Future Developments The poor economic situation in Europe and in particular the overall construction activity which continues to show no improvement. This will have sustained effects on the second half of the year for the Armstrong DLW Group. The integration of both of the large flooring segments, namely the resilient and carpet business lines, will be completed in all areas during the second half of the year. The resulting cost savings and the productivity increases will show their effects in 2004. The consolidation of sales and the concentration on the segments of health care, education, retail, office and hospitality will make the Armstrong DLW a strong market partner for the future. ——————————————————————————– WKN: 551800; ISIN: DE0005518005; Index: Listed: Amtlicher Markt in Berlin-Bremen, Düsseldorf, Frankfurt (General Standard), Hamburg, Hannover, München und Stuttgart 141902 Aug 03