Mayr-Melnhof Karton AG — Earnings Release 2000

Feb 21, 2001

News Details

Ad-hoc | 21 February 2001 08:47

Ad hoc-Service: Mayr-Melnhof Karton AG english

Ad-hoc announcement sent by DGAP. The sender is solely responsible for the contents of this announcement. ——————————————————————————– 2000: Successful year for Mayr-Melnhof – Strong increase in results, Operating profit +26.9 %, Net income +44.9 % Current market situation: Cartonboard customers reduce inventories – Substantially lower cartonboard order backlog; The Cartonboard Division selectively adjusts production volume in line with demand – Good utilization of capacities in the Packaging Division Outlook: Satisfying development of business expected for 2001 Preliminary US GAAP consolidated results for 2000: consolidated in EUR mill. 2000 1999 +/- Net sales 1,078.0 906.6 +18.9% Operating profit 102.0 80.4 +26.9% Net income 65.8 45.4 +44.9% Cash Earnings 144.0 130.8 +10.1% During fiscal year 2000 the development of business of the Mayr-Melnhof Karton AG was characterized by good demand from Western and Eastern Europe, benefiting both the Cartonboard and Packaging Division. The primary challenges throughout the year focused upon passing on several cartonboard price increases due to a massive rise in fibre and energy costs, as well as the timely adjustment of cartonboard production in line with the heavy decrease in customer stock levels in the fourth quarter. Both the Cartonboard and Packaging Division performed very well under these circumstances, achieving significant increases in sales and income. Current market situation: Even though the European economic environment is still positive, the Cartonboard Divisions customers have continued placing new orders with great caution during the first few weeks of 2001. The Packaging Division, however, remains operating at a satisfying level of capacity utilization. The Asian market has weakened significantly since mid 2000. However, our worldwide sales network has made it possible to utilize most of the board machines capacity. The order backlog in the Cartonboard Division went down to about 55,000 tons currently, stabilizing at this level. Production will therefore still be adjusted to demand by selective downtime. As a consequence, European cartonboard sales prices could still be kept stable despite falling fibre prices. Due to the favorable cost position of the Mayr-Melnhof Group, satisfying results can also be expected from a current perspective for the year 2001. end of Ad hoc-announcement, (c) DGAP 21.02.2001 ———————————————————————– WKN: 093820; Index: ATX Listed: Freiverkehr in Berlin, Frankfurt, Hamburg, München und Stuttgart; Wien 210847 Feb 01