KWS SAAT SE & Co. KGaA

Earnings Release • Nov 30, 2006

News Details

Corporate | 30 November 2006 08:43

KWS SAAT AG boosts Q1 sales

Corporate News transmitted by DGAP – a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. —————————————————————————— KWS SAAT AG boosts Q1 sales Sales up 23.9 % at € 51.9 million – forecast for a light increase in profits for the year as a whole confirmed (Einbeck, Nov. 30, 2006/no.38/gf) – In Q1 2006-7 (as at Sept. 30), KWS SAAT AG (ISIN: DE 0007074007) significantly boosted sales. At the Group level, they rose 23.9 % to € 51.9 million from € 41.9 million the prior year. Although Q1 traditionally sources only a small part of total volume for seed companies, the quality of earnings improved: EBIT was minus € 20.1 m, an 18.6 % improvement on minus € 24.7 million for the year-before period; the net loss for the period came to € 13.2 million, or 27.9 % better than the figure for the prior-year period of minus € 18.3 million. The company reaffirmed its forecast for 2006-7 as a whole, of steady sales (2005-6: € 505.0 million) and slightly enhanced earnings (2005-6: e 46.7 million). The growth in sales is mainly the result of higher demand for wheat, rye and rapeseed, while the main sellers, corn and sugar beet seeds, first get planted in the spring. Accordingly, in the first quarter KWS on a multi-year average only books about 10 % of annual sales. This reporting period thus offers no indications on trends for the business year as a whole. In Q1 2006-7, KWS again invested in tangible assets on a scale well above depreciation. The major individual projects are a drying plant corn seed in North America and a new logistics hall at its headquarters of Einbeck. The company expects growth to be stimulated above all in its corn segment, its stronger presence in international markets, and additional sales opportunities for renewable feedstocks for biodiesel and biogas generation. Details on the product segments: in € m (as at Sept. 30) Q1/2006-2- Q1 Prior +/- 007 year Sales (Group) 51.9 41.9 +23.9% Sugar beet 6.9 10.4 -33.6% Corn 14.0 7.6 +84.2% Cereals 29.6 22.6 +31.0% Breeding & Services 1.4 1.3 +7.7% Operating loss (Group) -20.1 -24.7 +18.6% Net loss for the year (Group) -13.2 -18.3 +27.9% Cash flow from operating -63.5 -50.4 +26.0% activities The quarterly report can be downloaded from www.kws.de/ir. For further details please contact: Georg Folttmann Phone.: 0 55 61 / 311-245 g.folttmann@kws.com (c)DGAP 30.11.2006 ————————————————————————— Language: English Issuer: KWS SAAT AG Grimsehlstraße 31 37574 Einbeck Deutschland Phone: +49 (0)5561 311-0 Fax: +49 (0)5561 311-322 E-mail: info@kws.de WWW: www.kws.de ISIN: DE0007074007 WKN: 707400 Indices: S-DAX Listed: Amtlicher Markt in Hannover; Geregelter Markt in Frankfurt (General Standard); Freiverkehr in Berlin-Bremen, Düsseldorf, Stuttgart End of News DGAP News-Service —————————————————————————