AI assistant
CEWE Stiftung & Co. KGaA — Earnings Release 2012
Feb 26, 2013
78_rns_2013-02-26_02d89e11-8a24-4d5a-b6f9-0bde02dde8d7.html
Earnings Release
Open in viewerOpens in your device viewer
News Details
Corporate | 26 February 2013 18:50
CEWE turnover rises to exceed EUR 500 million for the first time
CEWE COLOR Holding AG / Key word(s): Final Results/Results Forecast
26.02.2013 / 18:50
CEWE turnover rises to exceed EUR 500 million for the first time
– Record sales of the CEWE PHOTO BOOK: 5.6 million books sold
– Core business contributes strongly to EBIT: EUR 33.7 million
– Sales boosted in new online printing business
– Earnings per share rise to EUR 2.87
– Dividend to be increased slightly
– Planned tax advantage through change in form
Oldenburg, 26 February 2013. CEWE COLOR Holding AG (SDAX, ISIN: DE0005403901) generated turnover amounting to EUR 503.3 million in the business year of 2012 (2011: EUR 469.0 million), thus achieving more than EUR 500 million for the first time in the history of the company. This means that CEWE COLOR has also achieved its own target of sales of at least EUR 500 million. EBIT amounted to EUR 28.9 million (target for 2012: EUR 27 to 33 million) after EUR 30.1 million in the previous year. ‘We have – as we had planned – used some of the substantial income generated with photofinishing to launch a comprehensive marketing campaign in order to boost online printing growth,’ says CEO Dr. Rolf Hollander. Earnings after tax rose by 1.3 percent to EUR 18.8 million. The Board of Management intends to propose a slight dividend increase.
CEWE PHOTO BOOK again the fast seller in Christmas business in 2012
Customers purchased 38 percent of the CEWE PHOTO BOOKS in the fourth quarter of 2012: 2.1 million books (+10.3%) of the total of 5.6 million books sold (+8.4%). The CEWE PHOTO BOOK was thus the fast seller in Christmas business in 2012 as well. Since customers are increasingly choosing superior products, sales of the books increased by as much as 11% in 2012. The brand product once again contributed significantly to the success of the company.
Strong Christmas business: Q4 EBIT increases by 13.3%
The third quarter, with photos from the summer holidays, used to be the main quarter by far, but for years now the seasonal peak has been shifting more and more to the fourth quarter, in which demand for the CEWE PHOTO BOOK and photo calendars, photo greeting cards and wall decorations is high, particularly for use as Christmas gifts. Income from the main business segment of photofinishing again increased accordingly in the fourth quarter. EBIT in the photofinishing segment rose by 16.2% to EUR 28.2 million in Q4, and for the company as a whole by 13.3% to EUR 29.2 million
Core business with excellent result
The core business of the company, comprising photofinishing and photo retailing business, delivered EBIT in the amount of EUR 33.7 million in 2012, which exceeded the EBIT target corridor for the company as a whole in the amount of EUR 27 to 33 million. ‘Success in our core business is the foundation for investing considerably in the growth of the new business sector of ‘online printing’ while at the same time increasing earnings per share,’ Dr. Hollander says in explanation of the income mechanism for the previous business year.
Online printing grows more than anticipated
Comprehensive advertising on television and perimeter advertising at football games as well as costs incurred for the integration of Saxoprint, a company acquired in 2012, have pushed down EBIT for this business sector to EUR -4.8 million, thus boosting turnover in this new line of business from EUR 1.4 million to EUR 43 million. The turnover target of EUR 40 million was thus exceeded by 8%. ‘Our strategy is bearing fruit – the Saxoprint acquisition is paying off. In 2012, online printing progressed to become a veritable new business segment with good prospects for the future of CEWE COLOR,’ says Dr. Hollander.
Change in form to become a limited joint-stock partnership to save EUR 10 million in taxes
The Board of Management of CEWE COLOR Holding AG has resolved to propose a change in the form of the company at the Annual General Meeting on 5 June 2013. The company would take on the legal form of a limited joint-stock partnership, which would conduct the business operated by CEWE, so that a structural tax drawback would no longer apply. In the coming few years, a tax benefit of a probable cash value of around EUR 10 million will be achieved. ‘More than anything else, the tax benefit and the switch from the form of an operating general partnership, which always needed to be explained, to the very popular form of a limited joint-stock partnership make this plan a worthwhile step for our shareholders,’ says Financial Director Dr. Olaf Holzkämper. The transaction still requires the approval of the bodies in charge.
Outlook: More investments in strong-growth online printing
As in 2012, the Board of Management expects CEWE PHOTO BOOKS, photo calendars, greeting cards and wall decorations to secure the same high level of turnover and income in 2013, while online printing is to contribute more growth impulses in the short term and also additional income in the medium term. In 2016 at the latest, online printing is to generate more than EUR 100 million in turnover. For this reason the Board of Management intends to invest some of the income generated with photofinishing into online printing growth. ‘With the huge step taken in online printing, 2012 was an important year for the development of our company. The high-yield, stable photofinishing segment in particular will accelerate online printing growth with some of its income in 2013 as well,’ Hollander explains how the business segments correlate. Online printing is to increase to generate turnover amounting to EUR 60 million (+40%), so that Group sales will increase by 1 to 5%, to EUR 510 to 530 million. Due to investments in online printing, EBIT in 2013 is also to be in the range of EUR 27 to 33 million, and earnings per share are to be in the range of EUR 2.44 and 3.06 per share.
The information is all based on preliminary results which have not yet been audited. CEWE COLOR will present full, audited annual financial statements during an annual report and analysts’ press conference to be held in Frankfurt am Main on 27 March 2013.
Business segments
| CEWE COLOR | Unit | Q4-2011 | Q4-2012 | 2011 | 2012 |
| (1) Photofinishing (PF) | |||||
| Turnover | in EUR m. | 129.6 | 132.0 | 355.5 | 355.4 |
| EBIT | in EUR m. | 24.8 | 28.8 | 30.5 | 32.0 |
| EBIT margin | % | 19.1% | 21.8% | 8.6% | 9.0% |
| (2) Retailing (R) | |||||
| Turnover | in EUR m. | 30.9 | 30.5 | 112.2 | 105.0 |
| EBIT | in EUR m. | 1.6 | 1.5 | 2.4 | 1.7 |
| EBIT margin | % | 5.2% | 5.0% | 2.2% | 1.6% |
| Core business (PF + R) | |||||
| Turnover | in EUR m. | 160.5 | 162.5 | 467.6 | 460.4 |
| EBIT | in EUR m. | 26.4 | 30.3 | 33.0 | 33.7 |
| EBIT margin | % | 16.5% | 18.7% | 7.0% | 7.3% |
| (3) Online printing | |||||
| Turnover | in EUR m. | 0.5 | 14.4 | 1.4 | 43.0 |
| EBIT | in EUR m. | -0.7 | -1.2 | -2.8 | -4.8 |
| EBIT margin | % | -141% | -78.7% | -205% | -11.1% |
| CEWE COLOR Group | |||||
| Turnover | in EUR m. | 161.0 | 176.9 | 469.0 | 503.3 |
| EBIT | in EUR m. | 25.8 | 29.2 | 30.1 | 28.9 |
| EBIT margin | % | 16.0% | 16.5% | 6.4% | 5.7% |
| 2012 targets | Turnover | 500 – 525 | |||
| EBIT | 27 – 33 | ||||
| EBIT margin | 5.1% – 6.6% |
Information
(1) Photofinishing: Production and sale of photo products such as the CEWE PHOTO BOOK, photo greeting cards, calendars, wall decorations and individual (analogue and digital) photos as well as other photo products
(2) Retailing: Trading in CEWE’s own retail stores in Norway, Poland, the Czech Republic and Slovakia with photo hardware such as cameras and lenses
Core business: Aggregate of photofinishing and retailing
(3) Online printing: Production and sale of commercial print products in the online printing portals at CEWE-PRINT.de, Saxoprint.de and Viaprinto.de
2012 in a comparison with the previous year
| CEWE COLOR Group | Unit | 2011 | 2012 target | 2012 actual | 2013 target |
| Digital prints | in billion units | 2.25 | 2.13 – 2.18 | 2.30 | 2.10 – 2.15 |
| Prints from films | in billion units | 0.25 | 0.16 – 0.18 | 0.16 | 0.10 – 0.11 |
| Total prints | in billion units | 2.50 | 2.29 – 2.36 | 2.46 | 2.20 – 2.26 |
| CEWE PHOTO BOOKS | in m. units | 5.1 | 5.7 – 5.9 | 5.6 | 5.8 – 6.0 |
| Turnover | in EUR m. | 469.0 | 500 – 525 | 503.3 | 510 – 530 |
| EBIT | in EUR m. | 30.1 | 27 – 33 | 28.9 | 27 – 33 |
| EBIT margin | % | 6.4% | 5.1% – 6.6% | 5.7% | 5.1% – 6.5% |
| EBT | in EUR m. | 29.2 | 25 – 31 | 26.7 | 25 – 31 |
| Earnings after tax | in EUR m. | 18.6 | 16 – 20 | 18.8 | 16 – 20 |
| Earnings per share | in euros/share | 2.84 | 2.44 – 3.06 | 2.87 | 2.44 – 3.06 |
Fourth quarter in 2012
| CEWE COLOR Group | Unit | Q4-2011 | Q4-2012 | Diff. % | Diff. abs. |
| Digital prints | in billion units | 0.71 | 0.75 | +4.8% | +0.04 |
| Prints from films | in billion units | 0.05 | 0.03 | -36.5% | -0.02 |
| Total prints | in billion units | 0.76 | 0.78 | +2.2% | +0.02 |
| CEWE PHOTO BOOKS | in m. units | 1.9 | 2.1 | +10.3% | +0.2 |
| Turnover | in EUR m. | 161.0 | 176.9 | +9.9% | +15.9 |
| EBIT | in EUR m. | 25.8 | 29.2 | +13.3% | +3.4 |
| EBIT margin | % | 16.0% | 16.5% | +0.5% pts | |
| EBT | in EUR m. | 25.6 | 28.7 | +12.4% | +3.2 |
| Earnings after tax | in EUR m. | 18.1 | 22.0 | +21.4% | +3.9 |
Percentage deviations have all been calculated at the exact values.
Should you have any queries, please contact:
CEWE COLOR Holding AG, Axel Weber (Investor Relations)
Tel.: 0441 / 404 – 2288, Fax: 0441 / 404 – 421, e-mail: [email protected]
Internet: www.cewecolor.de , www.cewe.de , www.cewe-fotobuch.de , www.cewe-print.de
www.viaprinto.de , www.saxoprint.de
Now available in the Apple App Store: The CEWE Investor Relations app for your iPad(R), including annual reports and quarterly reports as well as sustainability reports.
Financial schedule:
27.03.2013: Publication of the 2012 business report
27.03.2013: Annual report and analysts’ press report, Frankfurt/Main
13.05.2013: Publication of the interim report for Q1-2013
05.06.2013: 2013 Annual General Meeting
14.08.2013: Publication of the mid-year financial report for Q2-2013
07.11.2013: Publication of the interim report for Q3-2013
About CEWE COLOR: The online printing and photo service company CEWE COLOR, with 13 highly-technical production operations and a staff of around 3,300 employees in 24 European countries. In 2012 CEWE COLOR delivered around 2.5 billion prints, 5.6 million CEWE PHOTO BOOKS and photo gift articles to more than 34,000 retail partners to generate consolidated turnover of 503.3 million euros. CEWE COLOR is a ‘first mover’ in the introduction of new digital technologies and products. In the new business segment of online printing, printed material for advertising is marketed through the sales platforms CEWE-PRINT, saxoprint and viaprinto. CEWE COLOR celebrated its 50th company anniversary in 2011. In 1961 CEWE COLOR was founded by Senator h. c. Heinz Neumüller. The company went public under the leadership of Hubert Rothärmel in 1993. CEWE COLOR Holding AG is listed on the SDAX.
End of Corporate News
26.02.2013 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: | CEWE COLOR Holding AG |
| Meerweg 30-32 | |
| 26133 Oldenburg | |
| Germany | |
| Phone: | +49 (0)441 40 4-1 |
| Fax: | +49 (0)441 40 4-42 1 |
| E-mail: | [email protected] |
| Internet: | www.cewecolor.de |
| ISIN: | DE0005403901 |
| WKN: | 540390 |
| Indices: | SDAX |
| Listed: | Regulierter Markt in Berlin, Frankfurt (Prime Standard); Freiverkehr in Düsseldorf, Hamburg, Hannover, München, Stuttgart |
| End of News | DGAP News-Service |
| - - - |
| 202422 26.02.2013 |