WashTec AG — Earnings Release 2009

Mar 26, 2010

News Details

Corporate | 26 March 2010 11:25

WashTec AG: Financial and economic crisis impacts business in 2009

WashTec AG / Key word(s): Final Results

26.03.2010 / 11:25

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– Financial and economic crisis impacts business in 2009

– Revenues at EUR 256.3 million; operating Income (EBIT) at EUR 13.1 million

Augsburg, March 26, 2010 – ‘WashTec did not come away unaffected by this year of crisis. The market for carwash equipment shrunk, which led to an approx. 10 percent drop in revenues. While the service, wash-chemicals and operations business remained stable, equipment sales declined by nearly 16 percent’, said CFO Christian Bernert at today’s annual press conference of WashTec AG in Augsburg.

Revenues declined from EUR 285.1 million to EUR 256.3 million for 2009, resulting in an EBITDA of EUR 22.2 million (prior year: EUR 37.1 million). Earnings before interest and taxes (EBIT) amounted to EUR 13.1 million (prior year: EUR 29.4 million), corresponding to an EBIT margin of 5.1% (prior year: 10.3%).

Adjusted for non-recurring costs of EUR 1.7 million for trade receivable write downs in Southern Europe and restructuring costs, the EBIT for 2009 totalled EUR 14.8 million or 5.8% of revenues. The net financial debt (cash minus bank debt minus finance lease liabilities) was reduced significantly by EUR 9.9 million to EUR 37.0 million (prior year: EUR 46.9 million).

Net income after taxes for 2009 was EUR 5.8 million (prior year: EUR 15.3 million). Earnings per share decreased from EUR 1.03 to EUR 0.41.

Outlook

WashTec is not expecting a substantial recovery for 2010. It is expected that in the short term the financing difficulties for individual customer groups and the uncertain economic outlook in a number of markets will continue. As no substantial recovery in revenues is expected, the focus lies on the measures taken mostly in 2009 to improve efficiency and to reduce costs. This shall lead to an increase in profitability in 2010.

Furthermore, WashTec will focus on intensifying the cooperation with selected Key Accounts and on strengthening the sales and service network. As in the past, acquisitions are possible in this context.

Starting 2011, WashTec expects a recovery of the markets combined with rising revenues and a disproportionate increase in earnings. The mid- and long-term outlook remains favorable. The further expansion of offerings along the carwash value chain, the increase in market share above all in North America and growth in countries with an increasing car population will lead to an increase in revenues. Together with the general economic recovery, WashTec aims to reach an EBIT margin of over 12% in the long-term.

Thorsten Krüger commented on this issue: ‘Our targets are achievable, but will be subject to a delay due to the downturn; in other words, we will not be catching up to them in 2010 or 2011.’

Overview of Key Financial Figures:

EUR m, IFRS	2009	2008
Revenues	256.3	285.1
EBITDA	22.2	37.1
EBIT	13.1	29.4
EBIT adjusted for non-recurring costs	14.8	29.4
Net financial debt as of Dec. 31	37.0	46.9

The annual report 2009 of WashTec AG may be downloaded at www.washtec.de.

Contact:

WashTec AG

Argonstrasse 7

86153 Augsburg

Tel.: +49 (0)821 – 55 84 – 0

Fax: +49 (0)821 – 55 84 – 1135

End of Corporate News

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Language:	English
Company:	WashTec AG
	Argonstraße 7
	86153 Augsburg
	Germany
Phone:	+49 (0)821 55 84-0
Fax:	+49 (0)821 55 84-1135
E-mail:	washtec@washtec.de
Internet:	www.washtec.de
ISIN:	DE0007507501
WKN:	750750
Listed:	Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, Düsseldorf, München, Stuttgart

End of News	DGAP News-Service

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