DGAP-News: Francotyp-Postalia Holding AG: Francotyp-Postalia Presents Annual Report 2008

Francotyp-Postalia Holding AG / Final Results/Final Results

28.04.2009 

Release of a Corporate News, transmitted by DGAP - a company of EquityStory AG.
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Francotyp-Postalia Presents Annual Report 2008

* FP Group confirms preliminary figures
* Revenues reached EUR142.4m
* EBITDA came to EUR22.2m, excluding restructuring
* Restructuring in progress

Birkenwerder, April 28, 2008. Francotyp-Postalia Holding AG, a worldwide
service provider for the outgoing mail market, presents its Annual Report
2008 today. The report contains no significant changes to the preliminary
figures released on February 24, 2008 - in fact, EBITDA was slightly better
than previously reported.

Despite difficult economic conditions, the Francotyp-Postalia Group
achieved total revenues of EUR142.4m in FY 2008, compared to EUR145.1m in
the previous year. This downturn was due to the beginning recession in the
Group's major markets, coupled with adverse exchange rates. Weaknesses in
the US dollar, the pound Sterling and the Canadian dollar all had a
negative effect on Group revenues, accounting for EUR4.9m in negative
figures overall. When the negative exchange rates are factored out,
revenues came to EUR 147.3 m.


Mailstream Revenues Continue to Grow Strongly

The FP Group's Mailstream segment proved to be the growth driver in FY
2008. Sales of the Group's mail services, such as the consolidation of
business mail and digital mail processing, rose to EUR15.4m - compared to
EUR8.5 m in the previous year.

However, adverse exchange rates and the global recession affected the
Group's traditional Mailroom Business with revenues down at EUR127.0m,
compared to EUR136.6m in the previous year. While sales in the US, Canada
and the Netherlands were lower, business with franking and inserting
machines in the Group's domestic market in Germany remained stable despite
the weak economy. Revenues here reached EUR46.8m, compared to EUR47.7m in
2007. With a 43.8% share in the market, the FP Group has buttressed its
market leader position in Germany.


Restructuring Affects Results 

Adverse exchange rates and the global recession had a negative impact on
results. Further, the costs of restructuring the Mailroom Business came
along. As a result, EBITDA in the reporting year came to EUR18.2m, compared
to EUR25.2m in 2007.

Adjusted for restructuring costs, the FP Group's EBITDA came to EUR22.2m in
2008. Restructuring charges totalled EUR4.0m, of which EUR1.4m were
personnel expenses - in particular, compensation to former Management Board
members - while EUR2.6m were booked to other operating expenses. Negative
currency effects pushed results down by a further EUR2.7m. However, when
negative exchange rates and restructuring costs are both factored out,
EBITDA came to EUR24.9m in 2008 - the same level as in previous year.

The consolidated net result for FY 2008 came to EUR-15.7m, compared to 
EUR-2.8m in 2007. Aside from lower EBITDA, this result is due to one-off
write-downs totalling EUR5.1m as part of the restructuring process.

But irrespective of the negative effects caused by restructuring and
changes in currency exchange rates, the FP Group's operative business did
remain comparatively stable, despite the global recession. The Company
recorded a positive cash flow of EUR18.7m from operative business in 2008,
compared to EUR19.4m in the previous year.


Restructuring Improves Processes

The restructuring started by the FP Group in the autumn of 2007, focussed
on three main areas - optimisation of research and development, business
administration and supply chain - have been partially completed already in
2008. Regarding research and development, the FP Group has involved
customers in new projects, as well as standardised individual components
and processes. In the business administration field, the Company has
tightened up processes, particularly in sales and marketing and the
contracts departments, thereby reducing personnel expenses.

Now, only the supply chain remains and is being optimised by the FP Group
in the current year using internal resources. By tightening up the
production and supply chain, the FP Group expects to slash delivery time,
and to reduce inventory holdings significantly. At the same time, process
costs in production and delivery will be reduced.


Global Recession Clouds Outlook

The deep recession continued to exert its grip on the FP Group's major
markets in the first months of the current year. This makes it impossible
to give any quantitative forecasts for the current financial year.
According to the CFO Hans Szymanski, 'With our new strategic alignment and
the ongoing restructuring, the FP Group will create a new foundation for
the sustained strengthening of its operative business over the medium term.
In 2009, our sales business is mainly focussed on convincing existing and
new customers of the efficiency and cost savings that our mail management
solutions offer for outbound mail.' The CFO also pointed out that
two-thirds of the FP Group's revenue is generated from after-sales business
which supports and stabilises the core business.


Full details on the Company's annual financial statement are available on
our website at:http://www.francotyp.com

Contact

Francotyp Postalia Holding AG
Investor Relations
Sabina Prüser
Tel: +49 (0)3303 525 410
Fax: +49 (0)3303 53707 410
E-mail:  s.prueser@francotyp.com


The FP Group in Brief

Francotyp-Postalia Holding AG (FP Group) is a leading manufacturer of
franking machines covering the whole value added chain in the outbound mail
market. Its products and services range from franking and inserting
machines to the collection, sorting and consolidation of outbound mail, as
well as electronic hybrid mail solutions offering 21st century mail
processing. With its headquarters in Birkenwerder near Berlin, the FP Group
offers businesses of all sizes individually tailored mail management
solutions. The FP Group has local branches in many industrialised countries
and currently holds over 9% of the worldwide franking machine market. With
a corporate history extending back over 85 years, today the FP Group is
profiting from the growing liberalisation of mail markets and the
increasing interest of businesses to delegate their outbound mail
operations to professional service providers. In financial 2008, the Group
employed around 1,100 people, with revenue of 142.4 million euros and an
EBITDA of 18.2 million euros.




Contact:
Francotyp-Postalia Holding AG
Media Relations 
Telefon:  +49 (0)3303 525 777
Telefax:  +49 (0)3303 53 70 77 77 
E-Mail:  pr@francotyp.com 


DGAP 28.04.2009 
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Language:     English
Issuer:       Francotyp-Postalia Holding AG
              Triftweg 21-26
              16547 Birkenwerder
              Deutschland
Phone:        +49 (0)3303 525 777
Fax:          +49 (0)3303 53 70 77 77
E-mail:       ir@francotyp.com
Internet:     www.francotyp.com
ISIN:         DE000FPH9000
WKN:          FPH900
Listed:       Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
              in Berlin, Stuttgart, München, Düsseldorf
End of News                                     DGAP News-Service
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