Dürr AG — Earnings Release 2000

Aug 10, 2000

News Details

Ad-hoc | 10 August 2000 08:02

Ad hoc-Service: Dürr AG Halbjahreszahlen engl

Ad-hoc announcement sent by DGAP. The sender is solely responsible for the contents of this announcement. —————————————————————————— Dürr technology group is growing further -EBITDA nearly doubled -Strong growth in sales and incoming orders -Leading supplier of integrated production systems and services Stuttgart,10.8.2000 – Dürr AG announces key figures for the first six months of the fiscal year 2000. In the financial statement of the Dürr Group for first six months based on the US-GAAP format, values have been determined statistically for Carl Schenck AG (consolidated since 1.4.2000) for the second quarter of 2000. The values for the Dürr business units do not yet include the activities of the respective Schenck corporate divisions. The companies of Alstom Automation, renamed Dürr-AIS now, have been included at their equity level. The Dürr technology group has continued its successful development in the first six months of the fiscal year 2000. Earnings before tax (EBT) of EUR 12.5 m exceed the previous year level of EUR 11.1 m by 12.6 %. Earnings before tax were influenced mainly by amortizations on the goodwill of acquired companies. Earnings before interest, taxes, depreciation and amortization (EBITDA) amounted to EUR 34.2 m, which is a rise of 88 % compared to the previous years figure (EUR 18.2 m). Sales in the Dürr Group totalling EUR 684 m in the first six months of this year were 68 % above the last years level of EUR 408 m. Besides increases in Dürr’s traditional business (+ 26 %), the acquired companies accounted in particular for the strong growth. In incoming orders amounting to EUR 912 m, Dürr saw an increase of 63 % on last year’s level (EUR 560 m). Orders on hand have risen by 18 % to EUR 1,275 m (EUR 1,085 m in the previous year) which means that the capacities of the Dürr Group will be utilized well into the next fiscal year. The number of people employed in the Dürr Group rose compared to the end of 1999 (7,255) to 11,052 people as at 30.6.2000. Thereof 3,938 people are Carl Schenck employees. One of the main reasons for the Dürr Group’s positive development in the first six months of this year is the generally favourable investment climate in the automotive industry. Here Dürr profited in particular from contracts involving modernization and streamlining of production systems. The economic upswing in important markets such as the electronics and chemical industry has had a positive effect on activities in the non-automotive industry. The Paint Systems business unit achieved sales of EUR 357 m and EBITDA of EUR 18.5 m in the first six months. Incoming orders stood at EUR 436 m. The business unit was able to considerably increase its order volume in vehicle body painting through modifications and updating of existing systems. Increases were also achieved by the biggest Dürr business unit in the non- automotive industry with painting facilities for plastic components. Sales achieved by the Automotion business unit stood at EUR 33 m in the first six months of the year 2000. EBITDA stood at EUR 2.2 m, incoming orders at EUR 120 m. The high level of demand in the automotive industry, in particular in final vehicle assembly, results mainly from the necessity of developing further streamlining benefits with systems of a higher efficiency. An example for this is the major contract handled jointly by Dürr Automotion and the Schenck corporate division Test and Automation Systems for a complete final assembly line covering a value of EUR 75 m to be installed at the Opel works in Rüsselsheim. The Environmental business unit achieved sales of EUR 33 m, EBITDA of EUR -2.0 m and orders on hand of EUR 33 m. The specialist for environmental systems in the Dürr Group is benefiting from a good project situation in its markets. In Europe in particular, demand has picked up since the previous year. Demand in the USA remains at the same high level. High outlays incidental to a major project have continued to have a burdening effect on earnings, however, as a result, Dürr has been able to develop a trendsetting technology platform for the incineration of pollutants contained in waste water. Sales of the Protecs business unit stood at EUR 71 m, EBITDA at EUR 6.3 m, and orders on hand at EUR 114 m. Together with Schenck’s corporate division Balancing and Diagnostic Systems, Dürr Protecs was able to further extend its system capabilities for engine and transmission manufacturing. The Industrial Cleaning Systems and Coolant Filtration Systems product lines are profiting from a strong order backlog and buoyant demand. The Services business unit achieved sales of EUR 55 m, with EBITDA at EUR 3.8 m. Orders on hand stood at EUR 60 m. The markets for manufacturing support services in the automotive industry are characterized by steady growth. This business unit has extended its capabilities by adding technical training and further education services to its range. Carl Schenck AG on a growth trend The Carl Schenck Group achieved sales of EUR 238 m in the first six months of the current fiscal year. This is equivalent to a rise of 29 % compared to the first six months of 1999. Incoming orders reached EUR 292 m (+ 30 %). EBITDA stood at EUR 6.1 m. Schenck is expecting sales of over EUR 500 m for the whole year. In earnings, Schenck is – for accounting reasons – expecting proportionately higher increases for the second six months of this year compared to the first six months, and anticipates the operative result over the whole year to reach the same level as a year earlier. Outlook for the Dürr Group for the whole year 2000 Thanks to the extension of its systems and services capabilities, Dürr – together with Carl Schenck – has excellent growth prospects for qü>-_V_ m%Q! the automotive industry. For all stages of the value chain covered, Dürr expects a consistently high level of demand. Dürr expects the positive business environment to provide further support in the growth trend. In particular in Asia, South America and in several states of Eastern Europe a revival of project activities is expected. For the fiscal year 2000, Dürr is expecting Group sales of over EUR 1.7 bn, and a double-digit percentage rate at growth in earnings. G. Zaiss, 0049-(0)711-136 1095, S. Langer, 0049-(0)711-136 1785 Fax: 0049-(0)7 11-136 17 16 E-Mail:corpcom@durr.com End of Message