DMG MORI again successful in 2019 with new record values
- Order intake reaches € 2,563.1 million (previous year: € 2,975.6 million)
- Sales revenues at € 2,701.5 million are above the previous year (€ 2,655.1 million)
- EBIT increases to € 221.7 million (previous year: € 217.1 million)
- EBIT margin is 8.2% as in the previous year
- Free cash flow improves to € 168.8 million (previous year: € 154.2 million)
Bielefeld // For DMG MORI AKTIENGESELLSCHAFT 2019 was a very successful year with new record values – and that in a difficult market environment. We achieved best figures in sales revenues, earnings and free cash flow. Whereas the machine tool industry in part suffered significantly higher losses, our order intake performed better and reached € 2,563.1 million as planned. Sales revenues increased by +2% to € 2,701.5 million. EBIT rose to € 221.7 million. This corresponds to an EBIT margin of 8.2%. Free cash flow improved by +9% to € 168.8 million.
All figures are provisional and subject to audit and the approval of the financial statements by the Supervisory Board.
Chairman of the Executive Board Christian Thönes: "DMG MORI has fulfilled its forecasts – and this with increasing economic headwind. The record levels in sales revenues, earnings and free cash flow confirm our course. Even in challenging times we keep pushing the gas. We consistently develop from a machine tool builder to an integrated solution provider in the manufacturing environment. With dynamic and excellence we are actively advancing our future fields automation, digitization and Additive Manufacturing.
In a difficult market environment order intake reached € 2,563.1 million and thus was below the record value of the previous year (€ 2,975.6 million). In the fourth quarter orders amounted to € 554.7 (previous year’s quarter: € 705.0 million). Domestic orders were € 714.8 million (previous year: € 882.6 million). International orders amounted to € 1,848.3 million (previous year: € 2,093.0 million). Thus, the share of international business was 72% (previous year: 70%).
At € 2,701.5 million, sales revenues rose to a new record high in the company’s history. They were up € 46.4 million or +2% compared to the previous year (€ 2,655.1 million). In the fourth quarter sales revenues increased by € 11.5 million to € 808.9 million (+1%; previous year: € 797.4 million).
Results of operations also increased further and reached new record values: EBITDA rose by 7% to € 299.8 million (previous year: € 280.8 million). EBIT reached € 221.7 million (+2%; previous year: € 217.1 million). The EBIT margin was 8.2% as in the previous year. EBT amounted to € 219.3 million (+2%; previous year: € 214.8 million). The group reports an EAT of € 154.6 million as of 31 December 2019 (+3%; previous year: € 149.5 million).
In the fourth quarter EBITDA amounted to € 87.1 million (previous year: € 96.6 million). EBIT was € 67.3 million (previous year: € 74.0 million). EBT reached € 67.0 million (previous year: € 73.1 million). In the fourth quarter the group reports an EAT of € 47.3 million (previous year: € 50.2 million).
Alongside the good earnings performance, the financial position once again developed positively in the financial year: free cash flow increased by +9% to the record figure of € 168.8 million (previous year: € 154.2 million).
Forecast 2020 //
Also 2020 will be a challenging year. The market environment will become noticeably more difficult. According to the Association of German Machine Tool Builders (VDW) and the British economic research institute Oxford Economics the machine tool consumption in Germany at -14.5% should decline noticeably stronger than in many other countries (previous year: +6.5%).
Global consumption of machine tools should also continue to decline in 2020. The VDW and Oxford Economics are forecasting a -0.6% decline to € 71.7 billion (previous year: -2.8%; € 72.1 billion). In view of the existing global uncertainties, these forecasts are likely to be revised during the course of the year.
DMG MORI traditionally started the new financial year with the Open House Pfronten. At this industry highlight, DMG MORI presents 8,000 international customers innovative solutions from the future fields automation, digitization and Additive Manufacturing as well as 4 world premieres right at the beginning of the year: DMU/DMC 65 H monoBLOCK, the modular PH CELL pallet system as well as the LASERTEC 400 Shape for laser texturing and LASERTEC 30 DUAL SLM for additive manufacturing. With dynamic and excellence, we consistently develop from a machine tool manufacturer to an integrated solution provider in the manufacturing environment. On the occasion of the annual press conference on 10 March 2020, we will publish further information on business development.
DMG MORI AKTIENGESELLSCHAFT
The Executive Board
Disclaimer, Forward-looking statement
Company Profile // DMG MORI
DMG MORI AKTIENGESELLSCHAFT is a worldwide leading manufacturer of machine tools with sales revenues of more than € 2.7 billion and around 7,300 employees. As “Global One Company” - together with DMG MORI COMPANY LIMITED – we reach sales revenues of around € 4 billion.
With dynamic and excellence we advance future technologies. Our portfolio comprises turning and milling machines, the Advanced Technologies Ultrasonic, Lasertec and Additive Manufacturing as well as consistent automation and digitization solutions. Our modular products allow quick, easy and scalable access to digital manufacturing and end-to-end digitization along the entire process chain – from planning and preparatory work to production and monitoring to service.
Our technology excellence is bundled within the main sectors of “Aerospace”, “Automotive”, “Die & Mold”, and “Medical”. Our partner program “DMG MORI Qualified Products” (DMQP) allows us to offer perfectly matched peripheral products from a single source. Our customer-focused services covering the entire life cycle of a machine tool include training, repair, maintenance and spare parts service. The modern customer portal, “my DMG MORI” digitizes service processes.
More than 12,000 employees work for “Global One Company”. With 154 sales and service locations – including 14 production plants – we are present worldwide and deliver to more than 100,000 customers from 42 industries in 79 countries.
Forward-looking statements //
This quarterly release contains forward-looking statements, which are based on current estimates of the management regarding future developments. Such statements are based on the management's current expectations and specific assumptions. They are subject to risks, uncertainties and other factors that could cause the actual circumstances including the results of operations, financial position and net worth of DMG MORI AKTIEN-GESELLSCHAFT to differ materially from or be more negative than those expressly or implicitly assumed or described in these statements. The business activities of DMG MORI AKTIENGESELLSCHAFT are subject to a range of risks and uncertainties, which may likewise render a forward-looking statement, estimate or forecast inaccurate. Should one of these factors of uncertainty or other unforeseeable event occur, or should the assumptions on which these statements are based prove incorrect, the actual results may differ materially from the results expressed, expected, anticipated, intended, planned, aimed at, estimated, projected or implied in these statements. Forward-looking statements must not be understood as a guarantee or assurance of the future developments or events contained therein.
There are two companies using the name “DMG MORI”: DMG MORI AKTIENGESELLSCHAFT with registered office in Bielefeld, Germany, and DMG MORI COMPANY LIMITED with registered office in Nara, Japan. DMG MORI AKTIENGESELLSCHAFT is (indirectly) controlled by DMG MORI COMPANY LIMITED. This release refers exclusively to DMG MORI AKTIENGESELLSCHAFT. If reference is made in this release to “DMG MORI“, this refers exclusively to DMG MORI AKTIENGESELLSCHAFT and its controlled companies within the meaning of Section 17 of the German Stock Corporation Act (Aktiengesetz – AktG). If reference is made to "Global One Company", this refers to the joint activities of DMG MORI COMPANY LIMITED and DMG MORI AKTIENGESELLSCHAFT including all subsidiary companies.
ISIN: DE0005878003