As at 30 September 2016, R. STAHL AG achieved order intake amounting to EUR 215.5 m and generated sales revenues of EUR 213.3 m. While order intake and sales thus are within the planned corridor for the full year 2016, the profit situation of the company deteriorated significantly in the third quarter of 2016. Until now, mainly the companies in the oil production sector have been affected by the low oil price; now, companies in the subsequent industry sectors increasingly come under pressure. This customer group now reacts with savings programmes and the postponement of projects. On the explosion protection market, this development leads to a lower order volume, intensified competition and an increased pricing pressure. The consequence for R. STAHL is fewer orders and declining margins. Especially in the Americas and in region Asia/Pacific, sales revenues dropped more strongly than expected, which led to an insufficient coverage of fixed costs in these regions. A change in the product mix of sales, favouring low-margin products, additionally burdened the profit situation.
Due to the above mentioned factors, the profit situation deteriorated significantly in the third quarter 2016, against expectations. The savings in regard to personnel, material and production costs that have been implemented up to now cannot completely compensate for the decline in sales. The Executive Board of R. STAHL AG thus adjusts the forecast for the full year 2016: The figures for order intake and sales will remain unchanged between EUR 275 to 285 m. The forecast corridor for EBIT will be reduced to EUR 6 to 8 m (until now: EUR 11 to 15 m). This results in an EBIT margin of 2 to 3 % (until now: 4 to 5 %).
With focus on the years 2017 and 2018, the Executive Board positions the company to reach the former profitability again, irrespective of a recovery in the oil and gas sector.
Detailed information on the figures of the first three quarters in 2016 will be published on 10 November 2016.
R. STAHL AG
Am Bahnhof 30, 74638 Waldenburg (Württ.)
Bernd Marx (CFO)
Phone: +49 7942 943 1271
Carmen Kulle (Investor Relations)
Phone: +49 7942 943 1395
E-Mail: [email protected]