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Ahlers AG

Earnings Release Mar 8, 2012

19_rns_2012-03-08_9587c495-a3d4-4c50-940d-a03a125bb6af.html

Earnings Release

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News Details

Corporate | 8 March 2012 13:37

Ahlers AG reports 6.6 percent sales growth for fiscal 2010/11. Consolidated net income climbs 19 percent to EUR 10.1 million and reaches double-digit territory for the first time in several years.

Ahlers AG / Key word(s): Final Results

08.03.2012 / 13:37


March 8, 2012

PRESS RELEASE

Ahlers reports 6.6 percent sales growth for fiscal 2010/11. Consolidated net income climbs 19 percent to EUR 10.1 million and reaches double-digit territory for the first time in several years.

2010/11 was an eventful fiscal year for the Ahlers Group, which was marked by rising, volatile procurement costs and economic surprises but which was nevertheless a successful year for the company. Sales revenues increased by 6.6 percent. Including the Jupiter Shirts business, which was spun off in 2010, revenues rose by 2.2 percent to EUR 256.2 million (previous year: EUR 250.8 million). Consolidated net income after taxes climbed 19 percent from EUR 8.5 million to EUR 10.1 million.

Sales in the German clothing retail sector increased during the first eight months of 2011, followed by a disappointing autumn business and altogether stagnating sales. A 7.0 percent increase in Germany means that Ahlers gained significant market share (continued activities). Sales revenues in Eastern Europe were up by 21 percent. Growth was especially dynamic in Russia, Ukraine and the Baltic states, which finally recovered from the economic crisis. The important Polish market continued to grow as well. By contrast, sales revenues in the recessionary Western European market declined by 3.6 percent. The export share climbed moderately from 46.4 to 46.9 percent.

Ahlers' Premium brands, Baldessarini, Pierre Cardin and Otto Kern, achieved particularly strong growth. Between them, they grew by 11 percent and increased their contribution to total sales from 52 to 56 percent. The Jeans & Workwear segment achieved a gratifying 6 percent increase in sales. Ahlers' own Retail segment boosted its revenues by 14 percent and contributed 9.4 percent to total Group sales (previous year: 8.5 percent).

Ahlers generated earnings before interest and taxes (EBIT) of EUR 15.9 million in fiscal 2010/11 (+5.3 percent on the previous year's EUR 15.1 million). The EBIT margin climbed from 6.0 to 6.2 percent. The gross profit margin remained stable in spite of rising procurement costs (2010/11: 50.7 percent; previous year: 50.6 percent). Consolidated net income after taxes climbed from EUR 8.5 million to EUR 10.1 million, while earnings per share rose from EUR 0.62 to EUR 0.72 (+16.1 percent). The Management Board and the Supervisory Board will propose a dividend of EUR 0.65 (previous year: EUR 0.55) per common share and of EUR 0.70 (previous year: EUR 0.60) per preferred share to the Annual General Meeting on May 3, 2012. The dividend will thus increase by 18 percent. Based on the share prices as of November 30, 2011 this is equivalent to a dividend yield of 6.4 percent (common share) and 6.7 percent (preferred share).

CEO Dr. Stella A. Ahlers commented on the company's performance: 'Our conservative but growth-oriented strategy is working. We rely on our strong brands and closer integration with retailers and our own Retail stores. Our strategy is based on a highly effective logistic organisation and sound finances.' The CEO is carefully optimistic about the current fiscal year 2011/12, for which moderate sales and earnings growth is projected. The company's own Retail activities will continue to be expanded and should grow strongly. The Premium brands, Baldessarini, Otto Kern and Pierre Cardin, should again be the main growth drivers in 2011/12.

The clothing company plans to open several Pierre Cardin stores in fiscal 2011/12. Also on the agenda is the opening of the first Ahlers multi-brand store in Germany, following several successful openings in Eastern Europe.

Summary of Ahlers Group figures:

in EUR millions 2010/11 2009/10 Change

in %
Sales revenues – continued operations 255.4 239.7 6.6
– incl. Jupiter Shirts 256.2 250.8 2.2
EBIT 15.9 15.1 5.3
EBIT margin (in %) 6.2 6.0 0.2
Net income before taxes 14.7 14.0 5.0
after taxes 10.1 8.5 18.8
Cash flow from operating activities 9.0 20.3 -55.7
Dividend 9.2 7.8 17.9
Dividend per share (EUR) common share 0.65 0.55 18.2
preferred share 0.70 0.60 16.7
Earnings per share (EUR) 0.72 0.62 16.1
Employees at November 30 2,237 2,210 1.2
Equity ratio (in %) 60.6 60.8 -0.2

End of Corporate News


08.03.2012 Dissemination of a Corporate News, transmitted by DGAP – a company of EquityStory AG.

The issuer is solely responsible for the content of this announcement.

DGAP’s 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: Ahlers AG
Elverdisser Straße 313
32052 Herford
Germany
Phone: +49 (0)5221 979-0
Fax: +49 (0)5221 70058
E-mail: [email protected]
Internet: www.ahlers-ag.com
ISIN: DE0005009708, DE0005009732
WKN: 500970, 500973
Listed: Regulierter Markt in Düsseldorf, Frankfurt (Prime Standard); Freiverkehr in Berlin, Hamburg, Stuttgart
End of News DGAP News-Service
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159871  08.03.2012

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