KROMI Logistik AG — Earnings Release 2010

Feb 9, 2011

News Details

Corporate | 9 February 2011 08:05

KROMI Logistik AG publishes figures for the first half of the 2010/2011 financial year

KROMI Logistik AG / Key word(s): Half Year Results

09.02.2011 / 08:05

• H1 revenue up 8.2 % to TEUR 16,504 (previous year: TEUR 15,216)
• EBIT at TEUR -399 after first six months (previous year: TEUR 311)
• Full-year forecast confirmed

Hamburg, February 9, 2011 - KROMI Logistik AG ('KROMI'; WKN A0KFUJ, ISIN
DE000A0KFUJ5) today publishes its report for the first six months of fiscal
year 2010/2011 (as of June 30). The company reports 8.2 % revenue growth
for the first half year to TEUR 16,504, compared with TEUR 15,216 in the
previous year. The draw-down obligations for the stocks which KROMI held
for two customers who terminated their supply agreements led to
disproportionately high revenues in December 2009. After adjustment for
this extraordinary factor, revenue growth in the first half of 2010/2011
totaled 17%.These supplies have meanwhile resumed. EBIT operating earnings
declined from TEUR 311 to TEUR -389 due to start-up costs for new
customers, investments in further expansion, and participation at a major
sector trade fair in fall 2010.

Business trends during the reporting period were characterized by continued
recovery in all markets relevant for KROMI Logistik AG. The sharp
production increase in the mechanical engineering sector and in the
automotive supply industry comprised the most important factor in KROMI's
target sectors. The aerospace industry was fairly stable compared to other
customer sectors.

Rising demand for precision work tools as part of the macroeconomic
recovery formed the basis for the revenue growth, and for the increase in
the cost of materials from TEUR 10,981 to TEUR 11,957. The cost of
materials ratio rose from 72.0 % to 72.5 %. As a result of the current
situation on the market, the salary adjustments which were made in the
first half of 2009/2010 expired. Together with the new hires required for
new business, this led to personnel expenses increasing by to EUR 2,680
thousand compared to EUR 2,443 thousand, and the ratio of personnel
expenses to revenues increased from 16.0% to 16.2%. KROMI reported
consolidated earnings after tax of TEUR -378 for the first half of
2010/2011, compared with TEUR 192 in the prior-year period.

'We are satisfied with our business trend and our revenue growth given the
economic upturn, particularly in the second half of the 2010 calendar year.
At the same time, it should be considered that many mechanical engineering
companies and automotive supply firms have not yet recovered to pre-crisis
production volume levels, and that KROMI Logistik did not suffer revenue
plunges during the crisis that were as sharp as in the rest of the sector.
We concluded the half-year with a negative operating result due to start-up
costs for new customers, rising investments arising from our expansion
activity, and our participation at the AMB trade fair. Earnings should
exhibit a more dynamic trend in the second half of the year, among other
things as the result of the start-up of supplies to some new customers,' as
CFO Uwe Pfeiffer commented on the figures. 'Our focus remains on providing
sustainable supplies to our customers. We will not, however, put time
before success,' CEO Jörg Schubert went on to comment.

The company is correspondingly retaining its outlook, which it published on
September 21, 2010, of an increase in revenue to between EUR 37 million and
EUR 38 million, and of growth in EBIT to around EUR 1 million for the full
2010/2011 year. This is also because economic data and forecasts from the
major sector associations indicate a positive economic trend over the
course of 2011. 'Although we are maintaining our forecast until further
notice, were are nevertheless currently unable to assess conclusively
whether some of the new projects will be realised as revenue in this or the
next financial year,' commented CFO Uwe Pfeiffer.

Over the course of the day, KROMI Logistik AG will make available for
download its complete report for the first half of the 2010/2011 financial
year on its website at www.kromi.de, in the Investor Relations area.

Company profile:
KROMI Logistik AG offers manufacturing companies end-to-end outsourcing for
the supply of precision tools (tool management) that is independent of a
specific manufacturer, and it focuses on machining tools for metalworking
and plastics. The Company combines classical tool trading with a peripheral
tool supply that includes output machines in the customer's production area
and an IT-based tool management and controlling system. The objective of
KROMI's business operations is to effectively optimize the supply of tools
for its clients and to secure the availability of the appropriate tools at
the right time and at the right place. The company is already present at
five locations in Germany and four abroad (Slovakia, Czech Republic, Brazil
and Spain), and is active in three other European countries. To date, KROMI
has primarily focused on customers in the engineering, shipbuilding and
aerospace sectors as well as automotive suppliers. In fiscal year
2009/2010, the company recorded revenues on IFRS-basis of EUR 31,198
thousand (previous year: EUR 34,935 thousand). EBIT was at EUR 175 thousand
(EUR -82 thousand).
On the Internet at www.kromi.de

Investor relations contact:

cometis AG
Henryk Deter / Kevin Triebel
Tel.: +49 (0)611-205855-17
Fax: +49 (0)611-205855-66
E-mail: triebel@cometis.de

End of Corporate News

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Language: English
Company: KROMI Logistik AG
Tarpenring 11
22419 Hamburg
Deutschland
Phone: 040/537151-0
Fax: 040/537151-99
E-mail: info@kromi.de
Internet: www.kromi.de
ISIN: DE000A0KFUJ5
WKN: A0KFUJ
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, Hamburg, München,
Stuttgart

End of News DGAP News-Service

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