SIMONA AG — Earnings Release 2013

Apr 24, 2013

News Details

Ireland | 24 April 2013 11:00

SIMONA: Unsatisfactory revenue and earnings performance in first quarter of 2013

SIMONA Aktiengesellschaft / Release of an announcement according to Article 37x of the WpHG [the German Securities Trading Act]

24.04.2013 11:00

Interim report according to Article 37x of the WpHG, transmitted by
DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.

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Kirn, 24 April 2013. Faced with difficult economic conditions in its core
market of Europe, the SIMONA Group put in a sluggish performance at the
beginning of the year. Sales revenue totalled EUR69.1 million in this
period, down 4.8 per cent on the figure recorded in the first quarter of
2012. Compared to the previous quarter (Q1 2013 to Q4 2012), revenue is
EUR3.0 million higher.

Investment spending within the area of equipment and machinery, which is of
key importance to SIMONA's business, remains in the doldrums. This had a
particularly severe impact on sales volumes relating to polyolefin and
fluoroplastic sheets used in chemical tank and apparatus engineering. By
contrast, the company saw a slight year-on-year upturn in business with
regard to foamed PVC sheets, which are deployed mainly within the field of
exhibition design and structural engineering. Impacted by the long winter,
revenue generated from the sale of polyethylene pipes for civil engineering
applications contracted in the first quarter, whereas business with
polypropylene fittings for industrial applications proved to be more
buoyant.

On the back of lower sales revenue, the company's earnings performance was
also far from satisfactory. Earnings before interest and taxes (EBIT)
amounted to EUR2.0 million, or 2.9 per cent of sales revenue, in the first
three months of 2013. In the same period a year ago, EBIT had stood at
EUR3.3 million, or 4.5 per cent of sales revenue. Earnings before taxes
(EBT) totalled EUR2.1 million (Q1 2012: EUR3.4 million).

There were no significant year-on-year changes to the company's financial
position or cash flows in the first three months of 2013.

The SIMONA Group is targeting revenue of just over EUR300 million and an
EBIT margin in excess of 5 per cent for the financial year 2013 as a whole.
Given the company's weaker first-quarter performance compared to both the
previous year and its forecasts, SIMONA currently considers revenue of
EUR280-290 million to be an achievable figure. The company will use 2013 to
adapt its structures to the current revenue trend in Europe and make
targeted investments in the emerging markets for the purpose of stimulating
growth

The Management Board

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Language: English
Company: SIMONA Aktiengesellschaft
Teichweg 16
55606 Kirn an der Nahe
Germany
Internet: www.simona.de

End of Announcement DGAP News-Service

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