MPC Münchmeyer Petersen Capital AG

Earnings Release • Feb 28, 2005

News Details

Corporate | 28 February 2005 08:02

MPC Capital AG:Preliminary Result 2004 and Outlook 2005

Corporate-news announcement sent by DGAP. The sender is solely responsible for the contents of this announcement. —————————————————————————— MPC Capital AG reports record result for 2004 – Sales and earnings rise by 51% and 57%, respectively – Dividend increased to EUR 4.00 – Outlook on 2005 Hamburg, February 28, 2005 – MPC Münchmeyer Petersen Capital AG, the MDAX- listed financial service provider, increased its sales by 51% from the previous year’s EUR 159.2 million to EUR 240.2 million. The basis for this growth was laid by equity placements of EUR 1.093 billion (2003: EUR 748 million), which helped the Hamburg-based issuing house expand its market- leading position in Germany. Earnings before interest and taxes rose by 55% to EUR 72.0 compared to EUR 46.4 million in 2003. Consolidated net profit climbed 57% from the previous year’s EUR 33.3 million to EUR 52.3 million. Accordingly, earnings per share rose from EUR 3.14 million to EUR 4.93 million. The result allows the company to raise its dividend again from EUR 3.00 to EUR 4.00. The dividend proposal will be decided by the Managing Board and the Supervisory Board on March 8, 2005. As of the balance sheet date, MPC Capital had total assets of EUR 176.8 million (2003: EUR 152.5 million). The equity ratio increased from 75.3 % to 76.5%. The balance sheet shows an equity capital of EUR 135.3 million (2003: EUR 114.8 million). Key figures for 2004: in EUR `000 Dec. 31,2004 Dec. 31,2003 +/- Sales 240,227 159,208 51% EBIT 72,008 46,369 55% Net Profit 52,293 33,269 57% EPS in EUR 4.93 3.14 57% Dividend in EUR 4.00 3.00 33% Total Assets 176,779 152,490 16% Equity 135,251 114,759 18% Headcount (av.) 182 147 24% With EUR 494 million in equity raised, closed real estate funds were the most successful product group. These funds comprise properties in the Netherlands, Canada and now also in the UK and represent 44% (2003: 53%) of total sales. Ship investments saw the strongest growth, as equity placements more than doubled to EUR 397 million which is equivalent to 42% of total sales (2003: 31%). Life insurance funds are the third product group accounting for EUR 142 million in equity raised during the period. They contributed 12% to total sales (2003: 13%). Business Segment 2004 in EUR m 2003 in EUR m +/- Real estate funds 494 430 15% Corporate Investments 410 197 108% thereof ship investments 397 191 108% Life insurance funds 142 107 33% Private Equity-Funds 20 16 25% Investmentfunds 28 -2 — TOTAL 1,093* 748 46% *Potential differences due to rounding Sales generated outside Germany accounted for 10% of total sales, up from approx. 7% in the previous year. Business was particularly dynamic in Austria. Sales generated by the local subsidiary increased by 159% to EUR 14.4 million. This success is mainly attributable to the extension of the product range for the Austrian market and the expansion of the company’s position as an independent product supplier to the banking sector. Since 1994, more than 97,000 customers (2003: 68,000) have invested EUR 3.8 billion equity in 194 funds with a total investment volume in excess of EUR 10 billion. “In the tenth year in our history, our team has reached many milestones. Extraordinary projects were completed in 2004, which was yet another record year. A dividend of EUR 4.00 will again give our stockholders a direct share in this success,” said Dr. Axel Schroeder, Chairman of the Managing Board of MPC Capital AG. Outlook on 2005 MPC Capital had a successful start into the financial year 2005. Besides its traditional business segments, the company launched the first product innovation in February. Together with JPMorgan, MPC Capital structured a capital-guaranteed note (JPMorgan Fortrust note), which is targeted at investors who wish to participate in the value increase of hedge funds but still want to benefit from a 100% capital guarantee. Designed to be marketed by banks and savings banks, the new product expands MPC Capital’s position as an independent product supplier for institutional distribution partner. In contrast to the traditional closed-end funds, the new product offers the chance to increase the percentage of recurring revenue from the current level of 7% in the medium term if sufficient volumes are generated. Another new capital investment that will increase the percentage of recurring revenue is scheduled to be launched in the second quarter. At present, the Managing Board projects a placement volume of EUR 750 – 800 million for the current fiscal year. Due to shifts in the product mix, net profit for the year will amount to between EUR 30 and 35 million, so that earnings per share will stand at between EUR 2.83 and 3.30. This should enable the company to maintain its shareholder-friendly dividend policy and to pay out an attractive dividend. “MPC Capital attaches great importance to credibility. The forecast published presents the placement volume and profits that appear to be realistic from today’s point of view. Our business model is largely project-driven and depends on the ability to use opportunities, which is something we are very well capable of thanks to our positioning, our market position and our organisation. However, we have a policy of using only those opportunities that will contribute to MPC Capital’s success in the long term. The long-term viability of an excellent track record and a strong brand are more important to us than product volumes that can be generated in the short term. Our existing pipeline with a contracted equity volume that is on a par with the previous year forms a good basis for the year 2005. As in the previous years, we will report on potential changes in a timely manner,” Dr. Axel Schroeder added. For inquiries please contact: Andreas Schwarzwälder, Investor Relations Phone: +49 (0)40 / 38022-347, fax: +49 (0)40 / 38022-878, e-mail: ir@mpc-capital.com end of message, (c)DGAP 28.02.2005 —————————————————————————— WKN: 518760; ISIN: DE0005187603; Index: MDAX Listed: Amtlicher Markt in Frankfurt (Prime Standard) und Hamburg; Freiverkehr in Berlin-Bremen, Düsseldorf, Hannover, München und Stuttgart 280802 Feb 05