ElringKlinger AG — Earnings Release 2003

Mar 30, 2004

News Details

Corporate | 30 March 2004 15:18

ElringKlinger makes further gains in 2003

Corporate-news announcement sent by DGAP. The sender is solely responsible for the contents of this announcement. ——————————————————————————– ElringKlinger makes further gains in 2003 The ElringKlinger Group, Dettingen/Erms, automotive supplier with global operations, continued its positive development, even in the difficult business year 2003. With a sluggish economy and slumping sales on the automobile markets, and despite the revaluation of the Euro, consolidated sales rose by 6.2% to EUR416.8 million. ElringKlinger attained most of this growth in sales thanks to numerous new products launched in Europe, North America and Asia and the ongoing growth in the diesel sector, in which the company is traditionally very active. Net income increased to EUR27.2 million, up 34.7% from the previous year’s level. The gratifying improvement in earnings was due to the very good capital utilization at nearly all production facilities in 2003 and the turnaround in the previous year of the deficit-ridden subsidiaries in Brazil and Canada. All ElringKlinger subsidiaries and affiliated companies achieved profit in the year under review. In 2003, the ElringKlinger Group invested EUR58 million in equipment, plants and the licensing of a new cylinder-head gasket technology, representing an 80% increase over 2002. The consolidated total assets at the close of the fiscal year was up 7% to EUR343.2 million. Consolidated equity reached EUR113.2 million, 33% of the total assets at the close of the fiscal year. At the end of last year, the ElringKlinger Group employed 3,143 persons, 138 or 4,6% more than in 2002. More than half of these new jobs were created in Germany, 53 of which were at the newly founded ElringKlinger Logistic Service GmbH in Rottenburg a. Neckar. ElringKlinger AG significantly strengthened its position on the capital market in 2003. The price for the ElringKlinger shares, which joined the SDAX on November 13, 2003, increased over the course of the year by 162%, from EUR29 to EUR76 per share. At the end of the year, the company was assessed on the capital market with a value of approximately EUR365 million. At the annual general stockholders’ meeting on June 2, 2004, the Management Board will submit for approval a per-share dividend of EUR3.00 (2002: EUR2.50), resulting in a dividend yield 3.75% at the current share price. Furthermore, the company will propose that bonus shares be issued to double the capital stock from corporate funds. In the first quarter of 2004, business has continued to progress well for the ElringKlinger Group. Despite the sluggish economy in the automobile industry, sales have experienced a single-digit and earnings a double-digit percentage increase. For the remainder of the year, the company is confident that, despite the continuing slump in the economy, it will be able to make further gains in sales and earnings with new products and intensive participation in the growing sub-segments of the market. end of message, (c)DGAP 30.03.2004 ——————————————————————————– WKN: 785602; ISIN: DE0007856023; Index: SDAX Listed: Amtlicher Markt in Frankfurt (Prime Standard) und Stuttgart; Freiverkehr in Berlin-Bremen 301518 Mär 04