AI assistant
Mersen — Earnings Release 2013
Apr 29, 2013
1518_10-q_2013-04-29_fc684ac7-2fb9-4e57-957e-adb4da2fc41d.pdf
Earnings Release
Open in viewerOpens in your device viewer
Mersen: 2013 first quarter sales In line with fourth quarter 2012, and consistent with Group's expectations
Paris, April 29, 2013 - Mersen (Euronext FR0000039620 – MRN), a global expert in materials and equipment for extreme environments and for the safety and reliability of electrical equipment, recorded consolidated sales of €186.5 million for the first quarter of 2013.
"As we had anticipated, the volume of business at the start of the year was in line with the end of 2012 and we expect this trend to continue through the first half of the year. Our outlook for 2013 remains unchanged and takes into account a recovery in our business activities during the second half of the year. We are also continuing to roll out our adaptation and efficiency plans to ensure our future strength and performance," commented Luc Themelin, Chairman of Mersen's Management Board.
Sales for the first quarter of 2013 were down 1.1% on a like-for-like basis compared with the fourth quarter of 2012.
2013 first-quarter sales
The Group's sales decreased by 9.4% on a like-for-like basis compared with the first quarter of 2012. This change was affected by a very unfavorable basis effect due to the strong business activity recorded at the beginning of 2012, particularly in Asia.
| (in € million) | Q1 2013 | Q1 2012 | Total Growth |
Organic Growth |
|---|---|---|---|---|
| Advanced Materials and Technologies | 76.7 | 83.8 | -8.5% | -8.5% |
| Electrical Components and Technologies | 109.8 | 123.5 | -11.2% | -10.0% |
| Group total | 186.5 | 207.4 | -10.1% | -9.4% |
| Europe | 72.1 | 73.8 | -1.6% | -2.4% |
| Asia-Pacific | 37.9 | 51.1 | -25.9% | -24.0% |
| North America | 67.6 | 71.6 | -5.6% | -4.9% |
| Rest of the World | 8.9 | 10.8 | -18.3% | -19.0% |
| Group total | 186.5 | 207.4 | -10.1% | -9.4% |
Unaudited figures
Sales figures restated for businesses held for sale
While economic conditions in Europe remained depressed, the Group benefited from the SABIC contract in this region, limiting the decline in sales to 2.4%. The most significant contraction was experienced in Germany, which posted strong sales in the first quarter of 2012.
In Asia, the economic environment remains positive, but the Group benefited from substantial one-time sales during the first quarter of 2012, particularly in wind power and rail transportation. On the chemical market, strong deliveries in Asia last year shifted towards Europe and North America.
In the Americas, the decline is primarily due to the slowdown in process industries, but also factors in the comparison with very high sales during the same period the previous year.
Sales in the Advanced Materials and Technologies segment show an organic contraction of 8.5%, owing to the slowdown in the solar energy market and most notably a decline in deliveries to polysilicon manufacturers. Excluding solar energy (organic growth of +1.6%), the Group benefited from substantial ongoing deliveries to the chemicals sector and the solid performance of the aeronautics market, although sales to process industries declined.
Sales in the Electrical Components and Technologies segment are down 10% on a like-for-like basis. The decline mainly affected process industries and the wind power sector due to a high comparison base.
Financial position
At the end of March 2013, the Group's debt level was in line with levels from the end of 2012.
Outlook
The Group confirms its 2013 targets, announced on March 20, 2013 when its 2012 annual results were published, namely 2013 sales in line with 2012 on a like-for-like basis, EBITDA margin of around 14% and an operating margin before non-recurring items of around 9% for the year.
---End---
Financial calendar
2013 H1 sales: July 26, 2013 before start of trading
About Mersen
Global expert in materials and solutions for extreme environments as well as in the safety and reliability of electrical equipment, Mersen designs innovative solutions to address its clients' specific needs to enable them to optimize their manufacturing process in sectors such as energy, transportation, electronics, chemical, pharmaceutical and process industries.
With 6,800 employees in over 40 countries, Mersen achieved consolidated sales of €811 million in 2012.
The Group is listed on NYSE Euronext Paris – Compartment B Visit our website www.mersen.com
Contact Press Contact Mersen Tel: +33 (0)1 47 03 68 10
Véronique Boca Nicolas Jehly / Guillaume Granier VP Financial Communication FTI Consulting Strategic Communications Tel: + 33 (0)1 46 91 54 40 Email: [email protected] / Email: [email protected] [email protected]