R. STAHL reduces operating EBIT prognosis for 2016

R. STAHL reduces operating EBIT prognosis for 2016 Waldenburg, 11 August 2016 - R. STAHL AG as of 30

R. Stahl AG / Key word(s): Change in Forecast

 

10.08.2016 18:27

 

Disclosure of an inside information according to Article 17 MAR,

transmitted by DGAP - a service of EQS Group AG.

The issuer is solely responsible for the content of this announcement.

 

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R. STAHL reduces operating EBIT prognosis for 2016

 

Waldenburg, 11 August 2016 - R. STAHL AG as of 30 June 2016 generated order

intake of EUR 150.2 million and reached sales revenues of

EUR 142.5 million. Compared to the previous year this signifies a decline

in sales of EUR 21.5 million. The decline resulted from cutbacks in

investments and cost-saving measures of the oil and gas industry which

suffers from the low oil price. Due to the successful implementation of the

cost-saving programme initiated in autumn 2015, the company realized cost

reductions of EUR 12.2 million in the first six months of 2016. The

programme consists of cost savings in personnel expenses, which were

implemented in 2015 and cost savings in material and production cost.

Thanks to these cost reductions the negative impact on the contribution

margin that resulted from the decline in sales could largely be

compensated. R. STAHL's EBIT amounted to EUR 5.3 million as of

30 June 2016 (previous year: EUR 6.8 million), the EBIT-margin reached 3.7%

(previous year: 4.2%).

So far mainly the oil production industry, the so-called upstream industry,

reacted with cutbacks in capital investment and pressure on prices to the

low oil price. In the financial reports for the second quarter of 2016 big

oil corporations now also announced slumps in the refining business, the

so-called downstream industry. This explains the most recently restrictive

market behavior of R. STAHL's customers in this sector.

R. STAHL Group will consequently pursue the initiated measures to secure

profitability. Nevertheless, the Executive Board expects an additional

burden on sales and margins from the downstream business. Due to the

expectable deterioration of the development in the downstream industry, the

Executive Board of R. STAHL AG reduces the operating EBIT prognosis for the

entire financial year 2016 from EUR 14 - 20 million to EUR 11 - 15 million.

The Executive Board now expects values of EUR 275 - 285 million for order

intake and sales revenues (previous prognosis: EUR 280 - 290 million).

Detailed information on the first half of 2016 will be published on

11 August 2016.

 

 

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Information and Explanation of the Issuer to this News:

 

Contact:

R. STAHL AG

Am Bahnhof 30, 74638 Waldenburg (W├╝rtt.)

 

Bernd Marx (CFO)

Phone: +49 7942 943-1271

 

Carmen Kulle (Investor Relations)

Phone: +49 7942 943-1395

 

E-mail: [email protected]

 

10.08.2016 The DGAP Distribution Services include Regulatory Announcements,

Financial/Corporate News and Press Releases.

Archive at www.dgap.de

 

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Language: English

Company: R. Stahl AG

Am Bahnhof 30

74638 Waldenburg

Germany

Phone: +49 (7942) 943-0

Fax: +49 (7942) 943-4333

E-mail: [email protected]

Internet: www.stahl.de

ISIN: DE000A1PHBB5

WKN: A1PHBB

Listed: Regulated Market in Frankfurt (Prime Standard), Stuttgart;

Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg,

Munich, Tradegate Exchange

 

End of Announcement DGAP News-Service

 

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