Nabaltec AG — Earnings Release 2011

Aug 23, 2011

News Details

Corporate | 23 August 2011 09:59

Nabaltec AG: record results in the first half of 2011;

Nabaltec AG / Key word(s): Half Year Results

23.08.2011 / 09:59

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Nabaltec AG: record results in the first half of 2011;
- EBIT up from EUR 3.5 million to EUR 8.4 million;
- revenues up 31.3%, to EUR 70.1 million;
- 2011 forecast confirmed.

Schwandorf, 23 August 2011 - Nabaltec AG's outstanding growth in previous
quarters continued in the second quarter of 2011. Consolidated revenues
were up 19.6%, climbing from EUR 29.1 million in the second quarter of 2010
to EUR 34.8 million in the reporting quarter. During the same period, total
performance improved to a record high of EUR 36.8 million. Revenues in the
first half of 2011 were EUR 70.1 million, up 31.3% from the first half of
2010, when revenues were EUR 53.4 million.

Nabaltec's earnings grew at a significantly faster pace than revenues, as
operating result (EBIT) was up 80.0%, from EUR 2.5 million in the second
quarter of 2010 to EUR 4.5 million in the reporting quarter. Due to the
fact that earnings growth continues to accelerate, EBIT rose to EUR 8.4
million in the first six months of 2011, up from EUR 3.5 million in the
first half of last year. Nabaltec's EBIT margin (EBIT as a percentage of
total performance) increased from 6.7% to 11.6%. This relatively fast
growth in operating result is attributable above all to Nabaltec's ability
to develop products with especially high added value, as the long-term
product strategy of focusing on high-quality and concentration on specialty
products has had the desired effect. Earnings before taxes improved
considerably, from EUR 1.3 million to EUR 5.2 million. After taxes and
non-controlling interests, consolidated result after taxes for the first
six months of the year was EUR 3.5 million, and earnings per share were EUR
0.43, up from EUR 0.06 in the same period of last year.

The results for both of Nabaltec AG's business divisions, 'Functional
Fillers' and 'Technical Ceramics,' underscore the fact that prospects for
growth in international markets are very much intact, with revenues in the
'Functional Fillers' division up 19.4% in the second quarter and revenues
in the 'Technical Ceramics' division up 21.3%. Over the first six months of
the year, revenues in the 'Functional Fillers' division came to EUR 47.6
million, up 31.5% from the first half of 2010, when revenues were EUR 36.2
million. This growth was driven above all by the outstanding growth in fine
precipitated hydroxides, i.e. eco-friendly flame retardant fillers, e.g.
for the wire & cable industry. Revenues in the 'Technical Ceramics'
division increased by EUR 5.3 million to EUR 22.5 million in the first half
of the year, as this division continued its strong growth.

According to Johannes Heckmann, member of the Nabaltec AG Management Board:
'the growth trend in our two newest innovative product segments, additives
and boehmite, is also intact and accelerating, whether in the replacement
of heavy metal-based additives in PVC production, PCB production or other
applications. The groundwork has been laid for noticeable and sustained
growth, as we have been able to successfully obtain approval from many
well-known manufacturers, which in some cases involved undergoing extensive
approval procedures. However, we are still not at the end of our
possibilities to develop new applications by optimizing the composition of
our materials.'

Based on this outlook, Nabaltec has confirmed its 2011 forecast. Nabaltec
expects its revenues to climb to over EUR 135 million in 2011, which would
represent revenue growth of at least 20% over 2010, when revenues were EUR
112.7 million. Nabaltec projects its operating result (EBIT) to grow at a
substantially faster pace in 2011, to more than EUR 12 million. By way of
comparison, Nabaltec's EBIT improved to EUR 6.5 million in 2010, up from
EUR -2.7 million the year before.

About Nabaltec AG:
Nabaltec AG, with registered office in Schwandorf, a chemicals business
which has received multiple awards for innovativeness, manufactures,
develops and distributes highly specialized products based on aluminum
hydroxide ('ATH') and aluminum oxide, as well as other raw materials, on an
industrial scale through its 'Functional Fillers' and 'Technical Ceramics'
divisions. The company's product range includes halogen-free flame
retardant fillers and eco-friendly additives for the plastics industry.
Flame retardant fillers are used e.g. in cables in tunnels, airports,
high-rise buildings and electronic devices, while additives replace
stabilizers containing heavy metals in PVC processing. Nabaltec also
produces base materials for use in technical ceramics, the refractory
industry and catalysis. Unlike halogenated flame retardant fillers, the
products manufactured by the company's 'Functional Fillers' division
contain no hazardous substances and do not require separate disposal.
Rather, the company's flame retardant fillers actually decrease the
development of fumes hazardous to human health and the environment in the
event of fire. Nabaltec maintains production sites in Germany and the US
and plans to continue to consolidate its market position by expanding
capacity, further optimizing processes and quality and making strategic
extensions to its product range. On the strength of its specialty products,
the company strives to attain the market leadership in each segment.

Contact:
Heidi Wiendl
Nabaltec AG
Phone: +49 9431 53-202
Fax: +49 9431 53-260
E-mail: InvestorRelations@nabaltec.de

Frank Ostermair
Better Orange IR & HV AG
Phone: +49 89 8896906-14
Fax: +49 89 8896906-66
E-mail: frank.ostermair@better-orange.de

End of Corporate News

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Language: English
Company: Nabaltec AG
Alustraße 50-52
92421 Schwandorf
Germany
Phone: +49 9431 53-0
Fax: +49 9431 53-260
E-mail: info @nabaltec.de
Internet: www.nabaltec.de
ISIN: DE000A0KPPR7, DE000A1EWL99
WKN: A0KPPR, A1EWL9
Listed: Freiverkehr in Berlin, Düsseldorf, München, Stuttgart;
Entry Standard in Frankfurt

End of News DGAP News-Service

136581 23.08.2011