GRAMMER AG — Earnings Release 2004

May 4, 2005

News Details

Ad-hoc | 4 May 2005 07:30

Grammer AG: Profitable growth for Grammer AG in fiscal 2004

Ad hoc announcement §15 WpHG fiscal year 2004 Grammer AG: Profitable growth for Grammer AG in fiscal 2004 Ad hoc announcement transmitted by DGAP. The issuer is solely responsible for the content of this announcement. —————————————————————————— Profitable growth for Grammer AG in fiscal 2004 May 4, 2005 Grammer AG, Amberg, increased Group sales to EUR 824.6 million in fiscal year 2004. This corresponds to an increase of 4.8 % over the previous year (EUR 786.5 million). Foreign sales increased to 46.7% of total sales (previous year: 45.6%). Once again, the Automotive segment was the main pillar of sales, contributing EUR 540.0 million (previous year: EUR 539.5 million) to Group sales despite unfavorable market conditions. Sales in the Driver Seat segment rose 18.9% to EUR 238.9 million (previous year: EUR 200.9 million). The Passenger Seats segment achieved sales of EUR 47.5 million (previous year: EUR 46.8 million). Earnings of the Grammer Group grew at an even higher rate than sales as a result of successful optimization initiatives and the generally positive business trend. Profits from ordinary activities increased more than one-third to EUR 33.4 million. EBIT grew 29.1% to EUR 39.9 million. Net income reached EUR 20.6 million after EUR 10.4 million in the previous year. The net return on sales was thus nearly doubled to 2.5% (previous year: 1.3%). Based on the positive business and earnings trend, a dividend of EUR 0.50 per share for 2004 will be proposed to the Annual Shareholders” Meeting. In the past year, the Grammer Group employed an average of 7,707 people (previous year: 7,369), one-third of these in Germany. The Company adopted the International Financial Reporting Standards (IFRS) at the start of 2005. Preliminary figures for the first quarter of the current year indicate that Grammer achieved a Group sales volume of approximately EUR 197 million (previous year: EUR 209 million). Earnings before interest and taxes (EBIT) will presumably amount to over EUR 9 million. Earnings were negatively impacted by lower quarterly sales due to the start of series production and market influences as well as extremely high raw materials prices and increased transportation costs. For the future, we have set a course for sustained profitable growth. Grammer anticipates a slight increase in Group sales for 2005 as a whole as well as a stable earnings situations amidst continued high demand in the Seating Systems segment, provided the raw materials and currency markets do not present any further surprises. Grammer AG The Board of Management The Annual Press Conference (Webcast) can be viewed in the Internet on May 4 at 10:00 a.m. ( www.grammer.de/finanzen/bpk.html ). Ansprechpartner/Contact: Grammer AG Barbara Zanzinger Telefon: +49-9621/880 216 Telefax: +49-9621/880 796 eMail: barbara.zanzinger@grammer.com Grammer AG Postfach 14 54 92204 Amberg Deutschland ISIN: DE0005895403 WKN: 589540 Listed: Amtlicher Markt in Frankfurt (General Standard) und München; Freiverkehr in Berlin-Bremen, Düsseldorf und Stuttgart End of ad hoc announcement (c)DGAP 04.05.2005 040730 Mai 05