CeWe Color Holding AG / Forecast/Final Results
07.04.2009
Release of a Corporate News, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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CeWe Color expects turnover to increase
* Sales of CEWE PHOTO BOOK to rise by 35 %
* EBT of 10 to 15 million euros planned (2008: 10.7 million euros)
* Free cash flow to increase significantly
* End of restructuring also expected to raise profits in 2010
Oldenburg/Frankfurt/Main, 7 April 2009. Despite a negative general economic
environment, CeWe Color Holding AG (SDAX, ISIN: DE0005403901) expects sales
to grow to reach 429 million to 425 million euros (2008: 420 million euros)
and earnings before tax of 10 million to 15 million euros (2008: 10.7
million euros). The EBT forecast already includes the final 10 million
euros in restructuring costs for the closure of the operations in Paris and
Teplice (Czech Republic), as already announced by the company. With an
anticipated growth rate of 35 %, to 3.5 million books, the CEWE PHOTO BOOK
remains the most successful product in the portfolio. 'On the basis of the
development in the first few months of the current accounting period, we
are most optimistic that we will clearly be able to hold our market leading
position in the photofinishing sector and in sales of photo books,' Dr.
Rolf Hollander, Chairman of the Board of Management of CeWe Color Holding
AG, said when presenting the annual financial statements in Frankfurt/Main.
The company was benefitting from the considerable amount of investment it
had made, its efficient production and the expansion of product marketing
activities. 'This is why we will be reducing capital expenditure for the
current year by one third, to around 22 million euros, thus significantly
reinforcing our cash flow,' Dr. Hollander emphasises.
Projections for 2008 fully achieved - record sales of CEWE PHOTO BOOKS
CeWe Color fulfilled all the predictions made by the company in November
2008: Turnover rose to 420 million euros (2007: 413.5 million euros). The
CEWE COLOR PHOTO BOOK was a significant growth driver here. Sales rose by
74.8 % to a new record of 2.64 million books (2007: 1.51 million books).
The number of digital photos also continued to grow: in 2008 (1.79 billion
photos, +17% to previous year) it was more than twice as high as the number
of photos from films (830 million photos). Earnings before tax and
restructuring met the forecast figure of 22.1 million euros (2007: 25.0
million euros). Reduced expenses for restructuring and a non-recurring tax
effect enabled the European market leader for digital photofinishing to
raise earnings after tax by 19.4% to 7.0 million euros due to a reduction
in restructuring expenses.
2008 consolidated profit to be paid out in full to shareholders
The Board of Management and the Supervisory Board will propose a dividend
payout of one euro per share eligible for dividends to the Annual General
Meeting of the company, to be held on 28 May 2009; this means that the
consolidated profit is being paid out in full to the shareholders.
Completion of restructuring promises increased earnings as of 2010
Since restructuring activities are due to be completed in the current
business year, the Board of Management expects earnings to rise. In March
CeWe Color announced that it would be closing production plants in Paris
and Teplice (Czech Republic). This was the conclusion of a restructuring
phase that has taken five years. During this time earnings had been
reduced by more than ten million euros in restructuring costs every year.
'This process of transformation will be completed in the current business
year. As of 2010 there will no longer be any extra costs to bear. We will
make sure that our shareholders participate in the resulting enhanced
earning capacity and increased free cash flow,' says Dr. Hollander.
Over the past ten years, with investments in digital products amounting to
more than 250 million euros, CeWe Color has made great progress with the
transformation from analogue to digital photography. The company is now
Europe's largest digital printer in the segment for high-quality,
four-colour prints.
Sound financing secures growth trend
CeWe Color reports an extremely capital ratio of 42.9 %. 'This is a healthy
basis for generating further growth, especially given the background of the
current financial crisis,' says Hollander. This stock of available equity
and the strong cash flow result in an enhanced credit standing and scope in
terms of liquidity.
Financial Diary:
20. May 2009 Publication report Q1/2009
28. May 2009 Annual General Meeting - Park Hotel, Bremen (10.00)
About CeWe Color: Photo service company CeWe Color, with actual 15
highly-technical production operations and a staff of around 2,900
employees in 24 European countries, is both market and technological
leader. The company supplied around 2.6 billion photos, more than 2.6
million CEWE PHOTO BOOKS and photo gift articles to more than 50,000 retail
partners in 2008. In 2008 turnover amounted to EUR 420.0 million. CeWe
Color is 'first mover' in the launch of new digital technologies, for
example ordering digital photos in the Internet or with the help of order
terminals (DigiFoto Makers) in retail stores. Sales of personalised CEWE
PHOTO BOOKS are developing extremely well. In 1961, CeWe Color was founded
by Senator h.c. Heinz Neumüller. The company went public under the
leadership of Hubert Rothärmel. CeWe Color Holding AG is listed on the
SDAX.
Should you have any queries, please contact:
CeWe Color Holding AG, Hella Hahm (-400) or Axel Weber (-552)
Tel.: 0441 / 404 - 234, Fax: 0441 / 404 - 421,
Email: IR@cewecolor.de, Internet: www.cewecolor.de or www.cewe-fotobuch.de
DGAP 07.04.2009
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Language: English
Issuer: CeWe Color Holding AG
Meerweg 30-32
26133 Oldenburg
Deutschland
Phone: +49 (0)441 40 4-1
Fax: +49 (0)441 40 4-42 1
E-mail: IR@cewecolor.de
Internet: www.cewecolor.de
ISIN: DE0005403901
WKN: 540390
Indices: SDAX
Listed: Regulierter Markt in Berlin, Frankfurt (Prime Standard);
Freiverkehr in Hannover, München, Hamburg, Düsseldorf,
Stuttgart
End of News DGAP News-Service
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DGAP-News: CeWe Color Holding AG: CeWe Color expects turnover to increase
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