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ElringKlinger AG — Earnings Release 2015
Sep 18, 2015
138_rns_2015-09-18_e4f98460-53b1-40eb-9154-7aa41fbf36a8.html
Earnings Release
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News Details
Ad-hoc | 18 September 2015 21:36
ElringKlinger AG: Business performance affected by high capacity utilization
ElringKlinger AG / Key word(s): Profit Warning
18.09.2015 21:36
Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted
by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
ElringKlinger: Business performance affected by high capacity utilization
Dettingen/Erms (Germany), September 18, 2015 +++ Based on preliminary
figures, the ElringKlinger Group saw sales revenue expand by 13.6% to EUR
240.1 (211.3) million in the months of July and August 2015. At an organic
level, i.e. without the effects of acquisitions and currency translation,
growth totaled 5.3%. Adjusted for non-recurring items, earnings before
interest and taxes (EBIT) amounted to EUR 22.7 (24.9) million before
purchase price allocation.
As anticipated on the basis of developments in the first half of the 2015
financial year, business in the Original Equipment segment has continued to
be driven by high levels of capacity utilization in the third quarter to
date. Individual divisions within this segment recorded a sustained surge
in demand. The additional costs associated with increased demand, e.g. for
extra shifts and additional freight movements, have thus had an impact on
the company's cost base for July and August; it rose by around EUR 6
million as a result of these factors. Measures already initiated for the
purpose of improving the company's cost structures have yet to take full
effect. With this in mind, ElringKlinger no longer anticipates that it will
be able to achieve the guidance figure previously targeted for the current
fiscal year.
The ElringKlinger Group is still looking to generate organic revenue growth
of 5 to 7% for the 2015 fiscal year as a whole. Additionally, the
consolidation of ElringKlinger Automotive Manufacturing Inc. (formerly M&W)
will contribute around EUR 30 million to Group revenue in the financial
year as a whole.
The special charges outlined above, earnings contributions from acquired
entities that are as yet below the Group average and sluggish demand in the
E-Mobility division will have a dampening effect on ElringKlinger Group
earnings in 2015. The company anticipates that the measures initiated for
the purpose of addressing the issue of capacity utilization will not take
full effect until the end of the year. ElringKlinger is likely to incur
additional exceptional charges of around EUR 20 to 30 million (first half:
EUR 9 million) over the course of the second half of 2015 as a whole as a
result of the fact that specific divisions are operating at their upper
capacity limits. Against this backdrop, EBIT adjusted for non-recurring
items and before purchase price allocation is expected to be within a
corridor of EUR 135 to 145 million (previous target: around EUR 165
million) for the 2015 financial year.
An explanatory conference call has been scheduled for Monday, September 21
(9 a.m. CET) in connection with this announcement.
Contact:
For further information, please contact:
ElringKlinger AG - Investor Relations/Corporate PR
Sabrina Haufler
Max-Eyth-Straße 2
72581 Dettingen/Erms
Tel.: +49 (0)7123-724-137
E-Mail: [email protected]
18.09.2015 The DGAP 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: ElringKlinger AG
Max-Eyth-Straße 2
72581 Dettingen/Erms
Germany
Phone: 071 23 / 724-0
Fax: 071 23 / 724-9006
E-mail: [email protected]
Internet: www.elringklinger.de
ISIN: DE0007856023
WKN: 785602
Indices: MDAX
Listed: Regulated Market in Frankfurt (Prime Standard), Stuttgart;
Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg,
Hanover, Munich
End of Announcement DGAP News-Service