Rohwedder AG / Profit Warning
19.08.2008
Release of a Adhoc News, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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Bermatingen, August 19, 2008. As assessed by the Rohwedder AG Management
Board today, the Rohwedder Group can no longer achieve its EBIT target of
around 4.0 million for 2008. Due to non-recurring expenditure, earnings
before interest and taxes will probably be negative.
The reasons are to be found in the negative business development of the
Mechatronics Production Solutions (MPS) segment. In several projects the
technical complexity has led to problems with implementation, causing heavy
losses. In addition, the downturn in the North American automotive industry
has resulted in several orders placed with Rohwedder already being
suspended for longer periods.
Due to this trend, one-off goodwill writedowns totaling around 2.6
million were also made in Canada and Bruchsal. Furthermore, this has
necessitated 2.1 million in extraordinary depreciation of deferred taxes
on capitalized loss carryovers. Neither the goodwill writedowns nor the
correction of deferred taxes, together amounting to 4.7 million, have any
effect on liquidity.
Although business development in the Electronics Production Solutions (EPS)
segment is above plan, this will only partially offset the losses including
non-recurring expenditure.
After adjustment for goodwill writedowns and special items, the operating
result to June 30, 2008 is roughly on a par with the positive result for
the first quarter of 2008.
The Management Board has submitted to the Supervisory Board for approval a
reconstruction concept for the MPS division to counteract the negative
business trend. The resulting measures may lead to further costs. That is
why an updated forecast for the current financial year is not possible at
present.
Issuer:
Rohwedder AG
Kesselbachstrasse 1
D-88697 Bermatingen
Germany
SIN 705 770, ISIN DE0007057705,
listed on the Frankfurt (Prime Standard) and Stuttgart stock
markets
Harald Löhle
Chief Financial Officer
Tel. +49 7544 502 400
Fax +49 7544 502 470
E-mail: harald.loehle@rohwedder.com
www.rohwedder.com
DGAP 19.08.2008
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Language: English
Issuer: Rohwedder AG
Kesselbachstraße 1
88697 Bermatingen
Deutschland
Phone: +49 (0) 7544 502-219
Fax: +49 (0) 7544 502-275
E-mail: info@rohwedder.com
Internet: www.rohwedder.com
ISIN: DE0007057705
WKN: 705770
Listed: Regulierter Markt in Frankfurt (Prime Standard), Stuttgart;
Freiverkehr in Berlin, München
End of News DGAP News-Service
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DGAP-Adhoc: Rohwedder Group Cannot Achieve EBIT Target for 2008
| Source: EQS Group AG