GRAMMER AG — Earnings Release 2004

Aug 12, 2004

News Details

Ad-hoc | 12 August 2004 10:19

Grammer posts strong first-half earnings’ growth

Ad-hoc-announcement transmitted by DGAP. The issuer is solely responsible for the content of this announcement. ——————————————————————————– Grammer posts strong first-half earnings’ growth EBIT surges to EUR 27.7m (previous year EUR 16.2m) and net profits to EUR 16.5m (previous year EUR. 6.2m) – Group sales increase 6 % to EUR 424.5m Growth in earnings expected to out-pace the increase in sales for 2004 as a whole Amberg, August 12, 2004 – Grammer AG, the worldwide supplier of components and systems for car interiors as well as driver and passenger seats appreciably boosted Group earnings in comparison with the relatively low figures for the year-before period: Consolidated EBIT rose from EUR 16.2m to EUR 27.7m, while earnings from ordinary activities climbed from EUR 12.7m to EUR 24.7m. Net income for the first six months totaled EUR 16.5m, up from EUR. 6.2m for H1 2003. Calculated in line with the DVFA method, this translates into EPS of EUR 1.69 (prior year: EUR 0.59). This positive trend is attributable to higher sales which rose 6% from EUR 400,6m to EUR 424,5m and to the “Grammer Offensive 2004+”, a program initiated during the second half of 2003 aimed at cutting costs and increasing efficiency throughout the Group. In the first six months of 2004, reductions in administration costs, increased purchasing efficiency and optimization of logistic processes generated considerable savings. For 2004 as a whole the Grammer Group still anticipates to see a slight increase in sales and a greater rise in EBIT. This should enable the Company to repeat the sound returns achieved before 2003 on the back of the positive impact of the “Grammer Offensive 2004+”. With a new concept devised for Grammer Automotive Metall GmbH and Grammer AG wage negotiations with the employee representatives having been successfully completed for this year, the structure of personnel costs should improve in the second half of the year. As a consequence, Grammer will be able to increase its international competitive edge. Contact: Alois Ponnath, Grammer AG, Tel.: +49 9621 880 364, investor- relations@grammer.com end of ad-hoc-announcement (c)DGAP 12.08.2004 Issuer’s information/explanatory remarks concerning this ad-hoc-announcement: Grammer AG, Amberg, is a world leader in the development and manufacture of innovative components and systems for automobile interiors as well as driver and passenger seats. Wherever people travel world-wide, Grammer products ensure they enjoy high standards in terms of safety, comfort and ergonomics. Automotive is the Company’s largest product division and supplies headrests, armrests and center consoles not to mention integrated child booster seats to reputable automakers and system suppliers to the automobile industry. The Company’s second product division, Driver Seats provides seats for trucks and offroad vehicles (tractors, construction machinery, fork-lifts) and is active both as a first- time supplier and a retrofitter. Passenger Seats are supplied to first-time equippers and operators of trains and buses. In 2003, the Grammer Group posted sales fo EUR 786,5m, with EBIT of EUR 30.9m. With over 7,000 employees and 20 consolidated companies, Grammer operates in 13 different countries worldwide. Grammer shares are traded in the first segment of the Munich and Frankfurt stock exchanges, through the Xetra electronic trading platform as well as over the counter at the Stuttgart, Berlin and Hamburg exchanges. At the Frankfurt Stock Exchange the share is listed in the “General Standard” segment. The full interim report can be downloaded at http://www.grammer.com as of August 18, 2004. ——————————————————————————– WKN: 589540; ISIN: DE0005895403; Index: Listed: Amtlicher Markt in Frankfurt (General Standard) und München; Freiverkehr in Berlin-Bremen, Düsseldorf und Stuttgart 121019 Aug 04