CEWE Stiftung & Co. KGaA — Earnings Release 2005

Apr 11, 2006

News Details

Ad-hoc | 11 April 2006 08:00

CeWe Color achieves best results in five years

Ad hoc announcement transmitted by DGAP – a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. —————————————————————————— CeWe Color achieves best results in five years Oldenburg, April 11, 2006 – CeWe Color Holding AG (SDAX, ISIN DE 0005403901) achieved its best results in five years for the fiscal year of 2005. Earnings before tax (EBT) were raised by 79.7 % to 25.5 million euros, earnings after tax were increased by 883.9 % to 11.5 million euros and cash flow by 13.1 % to 51.4 million euros. The Board of Management and the Supervisory Board would like shareholders to participate in these excellent results. They intend to propose to the annual General Meeting on June 1, 2006 that the dividend be doubled to 1.20 euros (previous year: 0.60 euros). CeWe Color achieved a 2005 growth in turnover of 0.6 %, to 431.1 million euros. Growth was primarily generated in Central Eastern Europe (+ 12.2 %) and Central Europe (+ 2.9 %). The number of digital photos was raised by 63.2 % to 829.8 million euros. The Internet and the order stations installed in stores (DigiFoto Makers) are still proving to be growth promoters for digital photos. For CeWe Color, a decline on the market of around 30 % for film rolls (acc. to GfK) resulted in a decline in the number of photos from film rolls of 13.9 %, to 2.603 billion prints. CeWe Color produced a total of 3.433 billion colour prints (- 2.8 %) and 4.8 million Image CDs (- 0.4 %). 2006 outlook – A high degree of efficiency in production and logistics has enabled CeWe Color to become cost leader in European photofinishing. Market leadership in Europe has always been based on low unit costs and first-class technology. 2006 will be another year of adapting to shifts in technology from conventional to digital photography as well as to shifts on the markets. The company will be putting more effort into product development and marketing in order to attract consumers’ attention to CeWe products. In addition capacities will be adjusted and costs will be reduced in various areas of business. Programs for enhancing the profitability of products, services and supplies to customers are to be implemented to offset a decline in profits generated by photos developed from films. The Board of Management has budgeted for an amount of 10 million euros for measures which have already been commenced. The Board of Management of CeWe Color Holding AG is targeting the following results for turnover, sales and profits for 2006, subsequent to the deduction of costs for restructuring: – Colour prints Conventional 1.90 billion prints – 25.0 % Digital 1.15 billion prints + 40.0 % Total 3.05 billion prints – 12.5 % – Turnover 385 million euros – 10.7 % – Profits Cash flow 45 million euros – 15.0 % EBT 21 million euros – 16.0 % after tax 10 million euros – 15.0 % – Capital expenditure 28 million euros – 25.0 % The process of transformation will be completed in 2007 and 2008. As of 2007 CeWe Color will be generating growth once again, primarily with digital products and services. Should you have any queries, please contact: CeWe Color Holding AG, Hella Hahm, Tel.: 0441 / 404 – 400 (Secretary – 234) or 0171 / 34 50 530, Fax: 0441 / 404-421, email: hella.hahm@cewecolor.de, Internet: www.cewecolor.com (c)DGAP 11.04.2006 ————————————————————————— language: English emitter: CeWe Color Holding AG Meerweg 30-32 26133 Oldenburg Deutschland phone: +49 (0)441 40 4-1 fax: +49 (0)441 40 4-42 1 email: info@cewecolor.de WWW: www.cewecolor.de ISIN: DE0005403901 WKN: 540390 indexes: SDAX stockmarkets: Geregelter Markt in Berlin-Bremen, Frankfurt (Prime Standard); Freiverkehr in Düsseldorf, Hamburg, München, Stuttgart End of News DGAP News-Service —————————————————————————