R. Stahl AG / Key word(s): Preliminary Results/Final Results
R. STAHL publishes preliminary results for fiscal year 2014:
Waldenburg, 27 February 2015 - R. STAHL, leading supplier of products and systems for explosion protection, today published its first preliminary results for fiscal year 2014:
- Order intake of EUR 335.2 million (previous year: EUR 304.1 million; +10.2%) and order backlog of EUR 90.5 million on 31.12.2014 (previous year: EUR 66.0 million; +37.1%) at new record levels.
- Sales up 1.4%, year-on-year, at EUR 308.5 million (previous year: EUR 304.4 million).
- EBIT reaches EUR 18.3 million (previous year: EUR 24.9 million; -26.6%), EBIT margin of 5.9% (previous year: 8.2%); EBT down to EUR 14.7 million (previous year: EUR 21.3 million, -31.1%), EBT margin of 4.8% (previous year: 7.0%).
The results presented today are in line with the targets for order intake and earnings set for 2014. The former rose by 10.2% and at EUR 335.2 million exceeded the forecast corridor. R. STAHL has thus set a new record for order intake. The order backlog amounted to EUR 90.5 million on the balance sheet date. This high level reflects the increased volume of long-term projects for which revenue will not be recognized until later. This was also the reason why sales in 2014 failed to match the high order intake level, and, at EUR 308.5 million, fell short of the targeted figure. This resulted in a book-to-bill ratio of 1.1.
R. STAHL benefits from its strong international presence. There was a particularly encouraging increase in demand in the regions Asia/Pacific and the Americas: order intake here rose by 48.1% and 20.4%, respectively. R. STAHL's subsidiary in India, which moved to a larger location in 2013, for example, won a prestigious major order for LED luminaires. Similar success stories were also reported by R. STAHL's subsidiary in Texas.
"This strong demand confirms our expansion strategy," states R. STAHL's CEO Martin Schomaker. "Despite the takeover attempt by Weidmüller Beteiligungsgesellschaft mbH, we never wavered from our long-term growth strategy, as our order intake figures impressively demonstrate."
Although the company has continued its expansion programme, efforts to fend off the hostile takeover bid resulted in a temporary dip in earnings in 2014. With EBIT of EUR 18.3 million, however, the company reached its forecast corridor.
CFO Bernd Marx commented: "Fiscal year 2014 was dominated by the hostile takeover bid, which, above all, left its mark on earnings: with a direct impact from additional consulting fees and an indirect impact from postponed revenues." The extraordinary situation also tied up considerable management capacities.
At the same time, R. STAHL continued its current investment programme to expand facilities around the world as planned. The costs incurred by capacity increases have not yet been fully offset by sales growth in the early phase of expansion. As capacity utilization rises, however, economies of scale will become more apparent.
Outlook for 2015
In view of the high order backlog and further strong demand, management currently expects sales growth of 4% to 7% in fiscal year 2015. Improved utilization of the expanded capacities will also lead to greater profitability. Moreover, the launch of new high-margin products will help enhance earnings.
The massive slump in oil prices over the past six months is not reflected in R. STAHL's 2014 business. However, the company has prepared for weaker investment in the oil industry by elaborating a number of possible scenarios. R. STAHL is already focusing more strongly on those regions where it still sees good opportunities thanks to lower local production costs. In addition, the company is closely monitoring projects in the chemical industry in an attempt to partly offset the effects of low oil prices by strengthening its presence in other sectors.
Key figures of R. STAHL Group according to IFRS
The full report for the fiscal year 2014 will be published on 14 April 2015.
Financial calendar 2015
14 April Publication of annual report 2014
About R. STAHL
Bernd Marx (CFO)
Nathalie Dirian (Investor Relations)
Frank Schwarz (Investor Relations)
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|Company:||R. Stahl AG|
|Am Bahnhof 30|
|Phone:||+49 (7942) 943-0|
|Fax:||+49 (7942) 943-4333|
|Listed:||Regulated Market in Frankfurt (Prime Standard), Stuttgart; Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich|
|End of News||DGAP News-Service|