Interim Report 1st Quarter 2006
Bielefeld. The worldwide demand for machine tools continues to develop positively. Course of business at GILDEMEISTER developed according to plan in the first quarter. The sales revenues increased to Euro 274.1 million (+14%); the order intake increased to Euro 339.2 million (+21%). The result developed according to plan: EBITDA reached Euro 17.5 million (previous year: Euro 12.9 million), EBIT increased to Euro 9.8 million (previous year: Euro 5.8 million). EBT amounted to Euro 2.2 million (previous year: Euro -1.8 million). The group reports an annual profit of Euro 1.1 million as at 31 March 2006 (previous year: Euro -2.7 million).
For 2006, GILDEMEISTER assumes the overall positive business development announced. In the entire year, we expect an order intake of more than Euro 1.2 billion. In view of our order backlog, we assume that our sales revenues will increase following the order intake. For the financial year 2006, we expect an improvement in EBT and the annual profit by more than 30%. Due to the positive business and performance prospects, we are planning the distribution of a dividend for the current financial year.
Sales revenues reached Euro 274.1 million in the first quarter and were thus 14% above the value of the previous year (Euro 239.6 million). The domestic sales revenues increased by 23% to Euro 120.4 million. The international sales revenues increased by 9% to Euro 153.7 million. The export share was 56% (previous year: 59%).
The order intake increased by 21% to Euro 339.2 million (previous year: Euro 281.0 million) in the first quarter. The domestic orders increased by 27% to Euro 156.1 million (previous year’s quarter: Euro 123.1 million). The international orders increased by 16% to Euro 183.1 million (previous year’s quarter: Euro 157.9 million). The international share was thus 54% (previous year’s quarter: 56%). The positive development of order intake is due both to an increase in the orders for our innovative machine tools and the success of our new service concept. In particular in Asia and Germany, the order intake increased to our great satisfaction at the start of the year.
On 31 March 2006, the order backlog in the group was Euro 397.8 million (+10%).
The development of the performance continued according to plan in the first quarter. EBITDA reached Euro 17.5 million (previous year: Euro 12.9 million), EBIT increased to Euro 9.8 million (previous year: Euro 5.8 million). EBT amounted to Euro 2.2 million (previous year: Euro -1.8 million). The income position has thus continued to improve compared with the previous year. After taxes, GILDEMEISTER reports an annual profit of Euro 1.1 million (previous year: Euro -2.7 million).
The GILDEMEISTER share achieved a performance of 21% in the first quarter. After a price of Euro 5.96 on the first day of trading (2 January 2006) and the highest level of Euro 7.47 (22 March 2006) the share closed on the last day of trading of the quarter at Euro 7.22 (31 March 2006). Currently, the price is listed at Euro 8.25 (5 May 2006).
On 31 March 2006, 5,270 staff members, of which 136 were trainees, were employed (31 December 2005: 5,272). Compared with the end of year 2005, the number of staff members remained virtually unchanged. At the end of the first quarter, 3,120 staff members (59%) worked at the domestic and 2,150 staff members (41%) at the foreign companies. The personnel expenditure was Euro 76.3 million (same quarter of the previous year: Euro 72.8 million). The personnel expenditure quota was reduced to 25.8% (previous year’ s quarter: 28.0%).
GILDEMEISTER assumes an overall positive business development in 2006. Growth stimuli are again coming from Asia – particularly China and Japan. India will gain in importance. In the entire year, we expect an order intake of about Euro 1.2 billion. In view of the order backlog, we assume that our sales revenues will increase following the order intake. For the financial year 2006, we expect an improvement in EBT and in the annual profit of more than 30%. Due to the positive business and performance prospects, we are planning the distribution of a dividend for the current financial year.
The annual report 2005 and the 1st quarterly report 2006 provide detailed information about the development of the GILDEMEISTER group in the current financial year.
GILDEMEISTER Aktiengesellschaft
The Executive Board
Consolidated Financial Statements of GILDEMEISTER Aktiengesellschaft were drawn up in accordance with the International Financial Reporting Standards (IFRS). The Interim Report has not been audited.
Please note: We will be glad to send you the complete interim report of the 1st quarter 2006 on request.
Disclaimer, Forward-looking statement
Statements relating to the future:
This press release contains forward-looking statements, which are based on current estimates of the management of future developments. Such statements are based on the management's current expectations and specific assumptions. They are subject to risks, uncertainties and other factors, which could lead to the actual future circumstances, including the assets, liabilities, financial position and profit or loss of GILDEMEISTER, differing materially from or being more negative than those expressly or implicitly assumed or described in these statements. The business activities of GILDEMEISTER are subject to a series of risks and uncertainties, which may result in forward-looking statements, estimates or forecasts becoming 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 stated, expected, anticipated, intended, planned, aimed at, estimated or projected in these statements. Forward-looking statements must not be understood as a guarantee or assurance of the future developments or events contained therein.