Salzgitter AG - Earnings Release 2017

News Details

Ad-hoc | 24 October 2017 16:58

Salzgitter AG: Salzgitter Group raises its profit forecast

Salzgitter AG / Key word(s): Change in Forecast

Salzgitter AG: Salzgitter Group raises its profit forecast

24-Oct-2017 / 16:58 CET/CEST

Disclosure of an inside information acc. to Article 17 MAR, transmitted by DGAP – a service of EQS Group AG.

The issuer is solely responsible for the content of this announcement.

On October 24, 2017, the Executive Board decided not to exercise the cash settlement option of the portion still due for payment of the bond exchangeable into the shares of Aurubis AG (ISIN: DE000A1AYDS2). Consequently, the derivative liability capitalized in the preceding periods will be released in the fourth quarter of 2017, with effect on income. In combination with the still gratifying profit situation especially of the Strip Steel and Trading segments, this has prompted us to once again raise our profit forecast for the financial year 2017.

We now anticipate:

– a pre-tax profit of between EUR 175 million and EUR 225 million (previously: EUR 150 million and EUR 200 million), as well as

– a return on capital employed that is discernibly higher year on year.

This outlook takes account of the income from the release of the liability, countervailing effects emanating from the proportionate derecognition of the book value of the Aurubis shares to be relinquished as well as the probable impact – with an initially lowering effect on the results – of measures envisaged under the groupwide “FitStructure SZAG” optimization program.

After redemption of the bond, Salzgitter AG is likely to hold a stake of around 16 % in Aurubis AG. Salzgitter AG will therefore remain key shareholder of Aurubis.

More details will be published in the quarterly statement for the first nine months on November 14, 2017.

Contact:

Markus Heidler

Head of Investor Relations Salzgitter AG

Telephone: +49 (0)5341 / 21 -1852

e-mail: [email protected]

www.salzgitter-ag.com

Contact:

Markus Heidler

Head of Investor Relations

Salzgitter AG

Eisenhüttenstraße 99

38239 Salzgitter

Phone +49 5341 21-6105

Fax +49 5341 21-2570

E-Mail [email protected]

24-Oct-2017 CET/CEST The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.

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Language:	English
Company:	Salzgitter AG
	Eisenhüttenstraße 99
	38239 Salzgitter
	Germany
Phone:	+49 5341 21-01
Fax:	+49 5341 21-2727
E-mail:	[email protected]
Internet:	www.salzgitter-ag.de
ISIN:	DE0006202005
WKN:	620200
Listed:	Regulated Market in Frankfurt (Prime Standard), Hanover; Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich, Stuttgart, Tradegate Exchange