Earnings Release • Apr 2, 2015
Earnings Release
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Corporate | 2 April 2015 11:07
Muehlhan AG: Muehlhan publishes results for fiscal year 2014
Muehlhan AG / Key word(s): Final Results
2015-04-02 / 11:07
PRESS RELEASE
Muehlhan publishes results for fiscal year 2014
– Group forges ahead with restructuring
– Consolidated sales and EBIT increased
– Conservative outlook
Hamburg, 2 April 2015 – In fiscal year 2014, the Muehlhan Group (Entry Standard; ISIN DE000A0KD0F7) continued its upward trend in a persistently tough maritime market environment. Despite a mixed sales performance, the Group posted EUR 2.3 million of net income. The Group’s EBIT rose by EUR 0.9 million to EUR 6.0 million based on consolidated sales of EUR 218 million (+ 5%).
Three consecutive years of improved earnings highlight the necessity and effectiveness of the strategy adopted by the Executive Board and the Supervisory Board to compensate for the decline in the Ship segment by turning toward the Oil & Gas and Industry segments. The positive earnings trend is due not least to management’s indefatigable work in many critical operating areas.
A regional breakdown shows that sales again rose significantly in Europe , increasing by 7.8% to EUR 180.7 million. EBIT increased by EUR 0.4 million to EUR 10.2 million.
In America , sales totaled EUR 18.2 million, EUR 1.0 million lower than in the previous year. EBIT dropped by EUR 2.2 million to EUR 0.7 million. However, the previous year’s figures included EUR 2.3 million income from settlements of two pending lawsuits.
In Asia , sales decreased from EUR 20.4 million to EUR 19.0 million. This decrease reflected the sale of the subsidiary in China and the disappointing business performance in Singapore. The order situation did not improve, as forecasted by the customer, but in fact deteriorated. In addition to operating losses totaling EUR 1.5 million, EBIT was negatively affected by EUR 0.8 million of impairment losses to goodwill. In the Middle East, by contrast, Muehlhan’s fire protection business benefited from the construction boom in the United Arab Emirates. For Asia as a whole, EBIT totaled to EUR -0.4 million, compared to EUR -4.7 million in the previous year.
Despite the still crisis-stricken maritime markets, the Ship Newbuilding business segment managed to significantly increase sales revenues by expanding its market share. Overall, the segment reported a profit of EUR 0.5 million on sales of EUR 35.5 million. The Ship Repair segment again posted lower sales and earnings figures. Ship Newbuilding and Ship Repair together comprised only 30% of consolidated sales and contributed EUR 0.0 million to earnings.
The Energy business segment posted the biggest increase in sales, which improved by EUR 10.0 million to EUR 60.2 million. Earnings remained virtually unchanged at EUR 2.6 million.
In the Industry business sales improved again, increasing by 5.6% in 2014 to EUR 52.5 million. Earnings rose by EUR 2.8 million to EUR 3.4 million.
Both of the businesses included in the Other Services segment, Scaffolding and Steel Construction, reported stable sales and earnings, contributing EUR 40.1 million to consolidated sales and EUR 4.5 million to Group EBIT.
The Executive Board expects the Group’s upward trend to continue. Management intends to accelerate this process by acquisitions in the Oil & Gas and Industry growth segments, assuming that suitable acquisitions targets are available. Nevertheless, the Executive Board’s outlook for 2015 is conservative. The decline in the oil price, which has resulted in a subdued investment and maintenance policy on the part of oil and gas customers, could have a negative impact on the company’s business.
For additional information on fiscal year 2014 and details on the outlook for 2015, please consult the Muehlhan Annual Report published on 2 April 2015.
The Company’s key financial indicators are shown in the following table:
| in EUR million | Fiscal year 2014 | Fiscal year 2013 |
| Sales | 218.0 | 207.8 |
| EBITDA | 11.9 | 13.4 |
| EBIT | 6.0 | 5.2 |
| Net profit for the year | 2.3 | 1.5 |
| Cash flow | 11.6 | 12.6 |
| Fixed assets | 47.6 | 39.7 |
| Equity | 61.3 | 58.3 |
| Equity ratio in % | 52 | 52 |
| Total assets | 118.5 | 112.7 |
| Employees (annual average) | 2.675 | 2.390 |
About Muehlhan: Worldwide, the Muehlhan Group is a reliable partner in industrial services and high-quality surface protection. As one of the few full-service providers, we offer our customers a broad range of services designed to meet the exacting quality standards expected in professional industrial services. Our customers benefit from our exceptional organizational skills, on-time delivery, the technical expertise that differentiates us from our competitors and our more than 130 years of experience.
Our operations are divided into five business segments: Ship Newbuilding, Ship Repair, Energy, Industry and Other Services. With our workforce of more than 2,600 employees at over 30 locations worldwide, we generated sales revenues of EUR 218 million in 2014. We intend to use this stable foundation to further expand our business in the coming years and to continue moving our Group forward through proximity to our customers in the global market.
For more information, visit www.muehlhan.com.
Press contact: Muehlhan AG; Tel: +49 40 75271-150; e-mail: [email protected]
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| Language: | English |
| Company: | Muehlhan AG |
| Schlinckstrasse 3 | |
| 21107 Hamburg | |
| Germany | |
| Phone: | +49 40 75271 0 |
| Fax: | +49 40 75271 130 |
| E-mail: | [email protected] |
| Internet: | www.muehlhan.com |
| ISIN: | DE000A0KD0F7 |
| WKN: | A0KD0F |
| Listed: | Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich, Stuttgart; Open Market (Entry Standard) in Frankfurt |
| End of News | DGAP News-Service |
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| 340959 2015-04-02 |
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