Ludwig Beck am Rathauseck-Textilhaus Feldmeier AG

Earnings Release • Mar 14, 2006

News Details

Ad-hoc | 14 March 2006 13:01

Ludwig Beck AG: LUDWIG BECK presents its group accounts for the financial year 2005 and announces a dividend payout

Ad hoc announcement transmitted by DGAP – a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. —————————————————————————— Munich, 14 March 2006 – The LUDWIG BECK group (ISIN DE 0005199905) significantly increased its sales and earnings in the financial year 2005, returning to profitability in the process. Development of sales The Munich-based clothing company increased its gross sales at group level by 1.2% to EUR 101.7 million (previous year: EUR 100.5 million). Like-for-like sales even increased by 3.1% compared with the previous year. LUDWIG BECK thus continues to decouple itself successfully from the industry trend on the German textiles and clothing market, which again showed a negative trend with sales decreasing by 2% (TextilWirtschaft). Earnings situation Thanks to the positive development of sales, gross profits increased by 1.9% from EUR 40.2 million to EUR 41.0 million. The net profit margin consequently totalled 46.7%, an improvement of 0.3 percentage points over the previous year (46.4%). Earnings before interest, taxes, depreciation and amortisation (EBITDA) increased to a total of EUR 9.5 million (previous year: EUR 7.0 million). The EBITDA margin in relation to net sales came to 10.9% (previous year: 8.1%) in the financial year ended. Operating earnings (EBIT) also posted a disproportionate increase, totalling EUR 5.8 million compared with EUR 3.3 million in the previous year. This represents an increase of 76.1%. In relation to net sales, this corresponds to 6.6%, compared with 3.8% in the financial year 2004. LUDWIG BECK finished the financial year 2005 with overall net income for the year, before minority interests, of EUR 1.2 million. This represented an improvement of EUR 1.4 million over the previous year’s figure of EUR -0.2 million. After allowing for minority interests, net income for the year amounted to EUR 0.6 million. Earnings per share in the financial year 2005 amounted to EUR 0.19, EUR 0.43 higher than the previous year’s earnings per share (EUR -0.24). Dividend payout The persistently positive course of business in 2005 prompted the board of directors and the supervisory board to propose to the General Meeting of Shareholders on 24 May 2006 that a dividend payment of EUR 0.10 per share be reintroduced. The resumption of dividend payouts is a signal that LUDWIG BECK has finally achieved turnaround, and is also a clear expression of thanks to the company’s shareholders for their trust. Outlook Even the beginning of the year was excellent, a trend that was confirmed in February: in the first two months, sales at group level grew by 1.4% compared with the previous year. Gross sales thus amounted to EUR 13.1 million (previous year: EUR 12.9 million). Like-for-like sales increased even more strongly, by 5.1% compared with the previous year. Earnings (EBIT) increased by EUR 0.4 million to EUR -0.6 million (previous year: EUR -1.0 million). LUDWIG BECK is assuming that it will continue with the past year’s positive trend and that it will again post much stronger growth than the market as a whole in the current financial year. LUDWIG BECK expects to increase EBIT from EUR 5.8 million up to EUR 6.9 million. Net income for the year, before minority interests, should be increased from EUR 1.2 million to EUR 1.9 million. Key group ratios as of 31.12.2005 in EUR (m) Gross sales 101.7 (100.5); Net profits 41,0 (40.2); EBITDA 9.5 (7.0); EBIT 5.8 (3.3); Investments 1.6 (4.7); Employees (number) 540 (587) Investor Relations contact: Buchanan Capital Group Metis-Corinna Tarta +49 81 51 95966–25 m.tarta@buchanan-ag.com Ludwig Beck Accounts contact: Ludwig Beck am Rathauseck Martin Gehrke +49 89 23691–788 martin.gehrke@ludwigbeck.de (c)DGAP 14.03.2006 ————————————————————————— language: English emitter: Ludwig Beck am Rathauseck-Textilhaus Feldmeier AG Marienplatz 11 80327 München Deutschland phone: +49 (0)892 36 91-0 fax: +49 (0)892 36 91-6 00 email: info@ludwigbeck.de WWW: www.ludwigbeck.de ISIN: DE0005199905 WKN: 519990 indexes: stockmarkets: Amtlicher Markt in Frankfurt (Prime Standard), München; Freiverkehr in Berlin-Bremen, Düsseldorf, Hamburg, Stuttgart End of News DGAP News-Service —————————————————————————