Bechtle AG — Earnings Release 2011

Nov 10, 2011

News Details

Corporate | 10 November 2011 07:30

Bechtle AG: Substantial upsurge in revenues and earnings in Q3

Bechtle AG / Key word(s): Quarter Results/Interim Report

10.11.2011 / 07:30

---

Bechtle AG: Substantial upsurge in revenues and earnings in Q3

• Revenue up 16.5 per cent to 497.3 million euros

• EBT grows by 36.1 per cent to 21.8 million euros

• Executive Board expects record year

Neckarsulm, 10 November 2011 - In the third quarter, the business
performance of Bechtle AG continued to benefit from the good investment
climate in the IT industry. The persistently high demand furnished the
basis for the continuation of the growth recorded in the prior quarters.
Year on year, the revenues in the period from July to September 2011
increased by 16.5 per cent to 497.3 million euros (prior year: 426.9
million euros). In the third quarter, the group generated EBT of 21.8
million euros, 36.1 per cent more than in the prior year (16.1 million
euros). The EBT margin improved significantly from 3.8 per cent to 4.4
percent. Earnings per share increased by 31.2 per cent to 0.76 euros,
compared to 0.58 euros in the prior year.

'In the third quarter, we managed to keep up the strong performance of the
first half of the year. We are looking forward to new revenue and earnings
records in 2011,' says Dr. Thomas Olemotz, Chairman of the Executive Board
of Bechtle AG.

System houses significantly above prior year
In the third quarter, the IT system house & managed services segment
generated revenues of 334.0 million euros (prior year: 287.4 million
euros), a growth of 16.2 per cent. In this segment, Bechtle benefits from
its customers' ongoing willingness to invest and a strong competitive
position on the IT market. Moreover, the acquisitions of the first half of
the year had a positive effect. Organically, the revenue amounted to 319.1
million euros, 11.0 per cent more than in the prior year (287.4 million
euros). In the third quarter of 2011, the segment EBIT increased by 38.9
per cent to 13.6 million euros (prior year: 9.8 million euros). The EBIT
margin was 4.1 per cent, compared to 3.4 per cent in the prior year. All
regions had a share in this development. Apart from the revenue increase,
the improvement in earnings was mainly caused by the much higher gross
earnings in this segment.

E-commerce with excellent profitability
In the reporting period, the IT e-commerce segment boosted its revenues by
17.1 per cent from 139.5 million euros to 163.4 million euros. Though the
growth was high in all countries, it was slightly higher in Germany,
reaching 18.8 per cent, compared to 16.4 per cent in the foreign trading
companies. In the quarter, the segment generated EBIT of 8.5 million euros,
47.6 per cent more than in the prior year (5.7 million euros). The margin
reached an impressive 5.2 per cent, compared to 4.1 per cent in the
prior-year quarter. This development was made possible by the higher gross
margin due to an optimised product mix.

Sound asset and financial structure
Though the cash and cash equivalents including time deposits and securities
dropped by 23.9 million euros due to factors such as the payments for the
acquisitions of the previously leased company buildings, the construction
activities in Neckarsulm, Germany, and the acquisitions, they remained at a
comfortable level of 105.9 million euros (31 December 2010: 129.8 million
euros). The equity increased from 371.5 million euros to a record value of
399.5 million euros as of 30 September 2011. As a result of the balance
sheet extension, the equity ratio amounted to 56.1 per cent, only slightly
under the value of 56.8 per cent as of 31 December 2010. The extrapolated
return on equity increased from 11.6 per cent in the prior year to 16.3 per
cent. In the nine-month period, the cash flow from operating activities
amounted to 22.2 million euros, compared to 4.7 million euros in the prior
year.

Another record year in sight
Despite the generally expected economic slowdown, the Executive Board
expects the Bechtle Group's positive business performance to carry on in
the fourth quarter. However, as the business figures of the prior year were
already very strong, the growth rates of the final quarter are likely to
slacken. Nevertheless, the management confirmed its goals for 2011, which
it had announced at mid-year. 'We look towards the traditionally important
year-end business with optimism and are confident that we will be able to
increase the group revenues to approximately 2 billion euros. Moreover, the
earnings and margin will also exceed the prior year considerably,' explains
Dr. Thomas Olemotz.

Bechtle KPIs for Q3 and 9M/2011

                   Q3/2011  Q3/2010    +/-    9M/2011    9M/2010    +/-

Revenue thou. euros 497,332 426,881 16.5% 1,410,470 1,156,616 21.9%
Domestic thou. euros 332,679 293,207 13.5% 917,714 768,682 19.4%
Abroad thou. euros 164,653 133,674 23.2% 492,756 387,934 27.0%
IT sh&ms thou. euros 333,959 287,423 16.2% 924,480 759,096 21.8%
IT e-c thou. euros 163,373 139,458 17.1% 485,990 397,520 22.3%
EBIT thou. euros 22,114 15,561 42.1% 59,605 36,095 65.1%
IT sh&ms thou. euros 13,641 9,822 38.9% 34,747 20,271 71.4%
IT e-c thou. euros 8,473 5,739 47.6% 24,858 15,824 57.1%
EBT thou. euros 21,847 16,058 36.1% 59,883 37,323 60.4%
EBT margin % 4.4 3.8 4.2 3.2
EAT thou. euros 15,923 12,134 31.2% 43,580 28,042 55.4%
EPS euros 0.76 0.58 31.2% 2.08 1.34 55.4%
OCF thou. euros 13,118 -2,860 22,215 4,696 373.1%

                                      30.09.2011   31.12.2010      +/-

Cash and cash equivalents* thou. euros 105,870 129,750 -18.4%
Equity ratio % 56.1 56.8
Employees 5,357 4,766 12.4%

*Including time deposits and securities

                              \*\*\*

Contact
Bechtle AG
Bechtle Platz 1
D-74172 Neckarsulm, Germany

Investor Relations Corporate Communications
Thomas Fritsche Sabine Brand
thomas.fritsche@bechtle.com sabine.brand@bechtle.com
Tel: +49 7132 981-4121 Tel: +49 7132 981-4115
Fax: +49 7132 981-4116 Fax: +49 7132 981-4116

About Bechtle
With more than 60 IT system houses in Germany, Austria and Switzerland and
trading companies in 13 countries, Bechtle AG is one of Europe's leading IT
e-commerce providers. Founded in 1983, the company is headquartered in
Neckarsulm, Germany, and currently has more than 5,300 employees. Bechtle
offers its more than 56,000 customers from the fields of industry and
trade, the public sector and the financial market a comprehensive,
cross-vendor portfolio of IT infrastructure and IT operation solutions.
Bechtle has been quoted on the stock exchange since 2000 and has been
listed in the TecDAX technology index since 2004.

End of Corporate News

---

10.11.2011 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: Bechtle AG
Bechtle Platz 1
74172 Neckarsulm
Germany
Phone: +49 (0)71 32/ 9 81-0
Fax: +49 (0)7132/ 9 81 - 8000
E-mail: ir@bechtle.com
Internet: www.bechtle.com
ISIN: DE0005158703
WKN: 515870
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, Hamburg, Hannover,
München, Stuttgart

End of News DGAP News-Service

145224 10.11.2011