DGAP-Adhoc: KRONES AG:Krones’ growth continues strong in the first three quarters of 2008

Krones AG / Quarter Results

29.10.2008 

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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During the first nine months of 2008 Krones remained on course for growth,
despite the cyclical downturn. On a like-for-like basis, sales rose by 12.5
% to reach Euro 1,765.9 m. During the period under review, the company
benefited from the increasing number of clients looking for all-inclusive
job packages. Another growth driver during the year’s first three quarters
was the group’s Plastics Technology Division. Krones is the world’s leading
vendor of machines and lines for producing bottles from PET and other
plastics, and for bottling beverages in plastic containers.

Order bookings were up by 6.1 % during the first three quarters of 2008
compared to the preceding year, to reach Euro 1,870.4 m. The order backlog,
at Euro 996.3 m, was 6.0 % higher on 30 September 2008 than the preceding
year’s equivalent figure.

Earnings before taxes (EBT), at Euro 126.8 m, rose by 20.8 % in the year’s
first nine months on a like-for-like basis. The EBT margin, meaning
earnings before taxes in relation to sales, improved from 6.7 % to 7.2 %.
Earnings after taxes were up by 31.3 % to reach Euro 86.8 m.

Outlook 

Krones’ long term goal is to increase its revenues by 5 to 10 % each year.
In view of the group’s good performance during the year’s first three
quarters, the Executive Board expects that the growth in sales for 2008
will lie at the upper end of the forecast corridor, and that profits will
exceed the Euro 2.3 bn mark. Earnings before taxes (the EBT margin) are set
to improve still further in 2008 (preceding year: 7.1 %). Since the company
is benefiting from the reform of German corporation tax, earnings after
taxes will increase more substantially than pretax profits. Krones is thus
well on course to achieve the ninth record year in succession in terms of
both sales and profits.

Whether 2009 will prove to be a tenth record year is difficult to assess at
present. The worldwide financial crisis is hitting the global economy hard.
In view of the uncertainty surrounding the market’s future performance, it
would be irresponsible at present to make

anything more than a tentative prognosis for the 2009 business year. In its
internal planning, however, Krones is proceeding on the assumption that
following a possible dip in the first half of 2009 modest growth can again
be anticipated in the year’s second half.


Your contact person:
Olaf Scholz
Head of Investor Relations Krones AG
Tel.: +49 9401 70-1169
Mobile: +49 151 12248730
Email: olaf.scholz@krones.com


Contact:
Olaf Scholz
Leiter Investor Relations
Tel.: +49 (0) 9401 - 701169
E-Mail: olaf.scholz@krones.com


DGAP 29.10.2008 
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Language:     English
Issuer:       Krones AG
              Böhmerwaldstraße 5
              93073 Neutraubling
              Deutschland
Phone:        +49 (0)9401 703258
Fax:          +49 (0)9401 703786
E-mail:       investor-relations@krones.com
Internet:     www.krones.com
ISIN:         DE0006335003
WKN:          633500
Indices:      MDAX
Listed:       Regulierter Markt in Frankfurt (Prime Standard), München;
              Freiverkehr in Berlin, Düsseldorf, Hamburg, Stuttgart
End of News                                     DGAP News-Service
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