Interim Report first six months 2008. Annual profit doubled as of the mid-year point
Bielefeld. Worldwide demand for machine tools continues to develop predominantly positively. GILDEMEISTER has also been growing profitably in the second quarter: it has been possible to increase order intake, sales revenues and earnings according to plan. At mid-year order intake rose to Euro 1,133.4 million (+32%); sales revenues increased to Euro 851.5 million (+20%). Profitability continued to develop positively: EBITDA reached Euro 84.6 million (previous year: Euro 60.4 million); EBIT amounted to Euro 70.0 million (previous year: Euro 45.7 million). EBT rose to Euro 54.3 million (previous year: Euro 30.4 million). The group annual profit at mid-year doubled to Euro 33.8 million (previous year: Euro 16.7 million).
GILDEMEISTER plans to grow with a focus on profits in the financial year 2008. We are expecting further stimuli, in particular, from our newly designed innovative machines and the important autumn trade fairs – the IMTS in Chicago, the AMB in Stuttgart and the BIMU in Milan. We are expecting a well-sustained trade fair business and are assuming stable worldwide demand for our machine tools, services and solar technology.
For the financial year 2008 we are again planning record figures: in the whole year we now want to exceed the two billion Euro threshold regarding order intake for the first time. We are working on increasing sales revenues to more than Euro 1.8 billion. We are expecting an increase in ebt and in the annual profit of more than 50% compared to the previous year. If business development continues in line with plans, we will further increase the dividend for the financial year 2008.
As planned, sales revenues in the second quarter of Euro 459.5 million exceeded the value of the first three months (Euro 392.0 million). In the first half year, sales revenues reached Euro 851.5 million and were thus 20% above the previous year’s level (Euro 709.2 million). In the “Machine Tools” segment an increase in sales revenues could be achieved in the first six months of Euro 65.3 million (+13%) compared to the previous year. The “SunCarrier“ division contributed Euro 40.1 million to the increase in sales revenues. Domestic sales revenues rose by 29% to Euro 402.7 million, international sales revenues grew 13% to Euro 448.8 million. The export share amounted to 53% (same period in previous year: 56%).
In the second quarter, order intake rose by 23% to Euro 541.5 million (previous year: Euro 441.7 million). Overall, in the first half year, the order intake increased to Euro 1,133.4 million and thus was 32% or Euro 275.6 million higher than the same period in the previous year (Euro 857.8 million). The “SunCarrier“ division contributed Euro 29.2 million to the increase in order intake in the second quarter. Overall, a+f GmbH achieved order intake of Euro 142.0 million with the “SunCarrier” in the first half year. In the reporting period order intake within the group rose both domestically and abroad. Domestic orders grew by 24% to Euro 478.7 million (previous year: Euro 386.1 million). International orders rose 39% to Euro 654.7 million (previous year: Euro 471.7 million). International orders accounted for 58% of orders (previous year: 55%).
Order intake in the second quarter fulfilled our expectations and thus proceeded very satisfactorily in the reporting period. GILDEMEISTER was able to achieve particular success at the METAV in Düsseldorf and at the DIE & MOULD in China.
As at 30 June 2008 the order backlog within the group amounted to Euro 1,031.3 million (+73%) and thus was above one billion Euros for the first time.
The profitability of the GILDEMEISTER group continued to develop positively: EBITDA and EBIT rose again in the second quarter according to plan. EBITDA amounted to Euro 51.2 million (previous year: Euro 36.3 million). EBIT rose to Euro 44.1 million (previous year: Euro 29.3 million). As at the end of the first six months EBITDA reached Euro 84.6 million (previous year: Euro 60.4 million); EBIT amounted to Euro 70.0 million (previous year: Euro 45.7 million). EBT rose to Euro 54.3 million (previous year: Euro 30.4 million). The group annual profit doubled as of 30 June to Euro 33.8 million (previous year: Euro 16.7 million).
The GILDEMEISTER share performed better than the MDAX in the second quarter. Following a share price of Euro 16.40 on 1 April, the share reached its “all time high” of Euro 23.38 on 22 May and closed the quarter at Euro 17.99 (30 June 2008). The share is currently quoted at 17.42 Euro (30 July 2008).
As at 30 June 2008, GILDEMEISTER had 6,239 employees, of whom 195 were trainees (31 Dec. 2007: 5,998). In comparison with year-end 2007, the number of employees has risen by 241. In the “Services“ segment the increase in employees took place at the newly founded DMG Spare Parts GmbH. Moreover, we have further expanded our sales and service capacity in Asia and Europe. In the “Machine Tools“ segment, additional employees were recruited, in particular, at our production sites in Shanghai and Pleszew, as well as at DMG Electronics. At the end of the first six months, 3,692 employees (59%) worked for the national companies and 2,547 employees (41%) for our international companies. Personnel expenditure amounted to Euro 196.2 million (previous year’s period: Euro 177.8 million); the personnel expenditure ratio decreased to 20.1% (previous year: 24.2%).
Forecast:
GILDEMEISTER plans to grow with a focus on profits in the financial year 2008. We are expecting further stimuli, in particular, from our newly designed innovative machines and the important autumn trade fairs – the IMTS in Chicago, the AMB in Stuttgart and the BIMU in Milan. We are expecting a well-sustained trade fair business and are assuming stable worldwide demand for our machine tools, services and solar technology.
For the financial year 2008 we are again planning record figures: in the whole year we now want to exceed the two billion Euro threshold regarding order intake for the first time. We are working on increasing sales revenues to more than Euro 1.8 billion. We are expecting an increase in EBT and in the annual profit of more than 50% compared to the previous year. If business development continues in line with plans, we will further increase the dividend for the financial year 2008.
GILDEMEISTER Aktiengesellschaft
The Executive Board
The Interim Consolidated Financial Statements of GILDEMEISTER Aktiengesellschaft were prepared in accordance with the International Financial Reporting Standards (IFRS), as applicable within the European Union. The Interim Financial Statements have not been audited.
Note: We will be pleased to provide you with the complete Interim Report for the first six months 2008 upon 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.