SW Umwelttechnik Stoiser & Wolschner AG

Earnings Release • Aug 7, 2002

News Details

Ad-hoc | 7 August 2002 08:30

SW Umwelttechnik english

SW Umwelttechnik announces results for 1st half of 2002 Ad-hoc-announcement transmitted by DGAP. The issuer is solely responsible for the content of this announcement. ——————————————————————————– SW Umwelttechnik announces results for 1st half of 2002 * 13% increase in EBITDA * Further capacity increase in Hungary * Success with new biogas and water conservation products As expected, SW Umwelttechnik’s revenue registered a year-on-year fall in the first half of 2002, dropping by 4.9% to EUR 27.8 million (m), while operating output was down by 5.7% to EUR 28.8m. The reasons lay in the weeding out of low- margin products from the product range in 2001 and in slight delays in Hungarian public sector project approvals due to the elections. The latter factor cut the share of revenue accounted for by Hungary from 56% to 54%; 36% of revenue was generated in Austria, and 10% in Germany and other EU member states. The breakdown in business segment terms was as follows: Water Conservation sector 44%; Engineering sector 24%; and Infrastructure sector 32%. Earnings before interest and tax (EBIT) decreased by EUR 0.6m, moving into a loss of EUR 0.5m, owing to EUR 0.6m in one-time writedowns of tangible assets, undertaken because of the continuing decline in prices as a result of current economic conditions. Earnings before interest, tax, depreciation and amortisation (EBITDA) – the best indicator of SW Umwelttechnik’s financial strength – rose by 13%. from EUR 1.9m to EUR 2.2m. The disposal of a minority stake in a Hungarian company led to a positive financial result, reducing the first-half loss on ordinary activities to EUR 0.4m (positive POA in HY 2001 EUR 0.1m). The payroll as 30 June was 5% lower, at 770 employees. Investment Some 55% of the company’s EUR 5m investment programme was implemented in the first half of 2002. Some 75% of capital expenditure for the period went to further expansion of capacity at the Hungarian factories. The second expansion stage of the South Budapest factory construction project will be commissioned on time in September. SW Umwelttechnik has acquired an interest in a sewer project development company in eastern Hungary. In the second half of 2002 work will commence on the construction of a factory in Romania; production start-up is scheduled for 2003. The formation of an engineering company marked SW Umwelttechnik’s entry to the Slovak market. end of ad-hoc-announcement (c)DGAP 07.08.2002 Issuer’s information/explanatory remarks concerning this ad-hoc-announcement: Strategy and outlook SW Umwelttechnik has responded to the difficult economic environment by taking action to achieve a sustained improvement in its competitive position: * Large-scale investment programme in Hungary aimed at strengthening the market positions of all the group’s business sectors; * Streamlining of the product range in Austria and Germany, and dropping of low- margin, commodity products; * Concentration of the Infrastructure sector’s Austrian production capacity at a single site; * SW Unwelttechnik’s pilot biogas plant in Upper Austria has operated successfully, opening the way for the first orders in Austria and Hungary in the second half of the year; * Strong demand for water conservation solutions due to the rapid growth in road traffic volumes. SW Umwelttechnik is extremely well placed to succeed in this highly promising area of business. Management expects further progress in implementing group strategy to lead to growth in order backlog, which should to increase by 4% to EUR 34m as of the end of 2002, resulting in a slight improvement in revenue and EBIT. Contacts Bernd Wolschner, member of the Management Board Tel: +43 (0)7259 31350; fax: +43/7259/31 356 Christian Riel, Finance & Investor Relations Tel: +43 (0)664 4337105; fax: +43 (0)1 3688686; e-mail: christian.riel@sw- umwelttechnik.at Website: http://www.sw-umwelttechnik.at ——————————————————————————– WKN: 080820; ISIN: AT0000808209; Index: Listed: Amtlicher Handel in Wien; Freiverkehr in Berlin, Düsseldorf und Stuttgart 070830 Aug 02