SKW Stahl-Metallurgie Holding AG / Half Year Results
13.08.2010 08:14
Dissemination of a Corporate News, transmitted by
DGAP - a company of EquityStory AG.
The issuer / publisher is solely responsible for the content of this announcement.
---------------------------------------------------------------------------
Press Release
SKW Metallurgie on Clear Growth Path
* Half-year revenues more than doubled to EUR 188.8 million
* Dynamic growth of EBITDA from EUR 0.8 million to EUR 16.1 million
* EBITDA-Guidance 2010 lifted from > EUR 20 million to > EUR 24 million
Unterneukirchen (Germany), August 13, 2010. The SDAX-quoted Specialty
Chemicals Group SKW Metallurgie grew dynamically in the first half of 2010.
Based on high demand from the steel industry and on the acquisition of the
Brazilian company Tecnosulfur, corporate revenues were improved by more
than 100% to EUR 188.8 million (H1-2009: EUR 93.2 million). The EBITDA -
Earnings before interest, taxes, depreciation, and amortization - of the
first half year was increased from EUR 0.8 million in crisis-coined 2009 to
EUR 16.1 million in the current year of 2010; accordingly, the corporate
EBITDA margin improved from near zero to 8.5%. Hence, the SKW Metallurgie
Group has achieved the majority of its full-year EBITDA goal of EUR 20
million already at half-year, and has therefore lifted its EBITDA-guidance
for full year 2010 to at least EUR 24 million.
Despite continuously high investments into new production plants in Bhutan
and Russia (from which significant positive contributions are first
expected in 2011), the SKW Metallurgie Group continues to command
absolutely solid balance sheet figures, with an equity ratio of 43.2% and a
debt ratio (gearing) of 0.44.
'The first half of 2010 worked out very well for us. Besides the generally
growing business with our global steel clients, Brazilian company
Tecnosulfur (acquired only at the end of 2009) has comprehensively
fulfilled the expectations which were also vested in it by our investors
during the capital increase. We also see the further course of business
year 2010 as generally positive', says SKW Metallurgie's CEO, Ines Kolmsee.
EPS improved from EUR -0.39 to EUR 0.75
The gross margin of the SKW Metallurgie Group increased from 26.4% in the
comparable period of 2009 to 27.4%. EBIT of the first half year increased
from EUR -2.2 million to EUR 10.3 million. As well before taxes, a
significant gain could be recorded again at EUR 8.9 million (H1-2009: EUR
-3.5 million). After taxes and minority shares, a net gain of EUR 4.9
million remains (H1-2009: loss of EUR 2.6 million). Based on slightly more
than 6.5 million shares, this results for the first half of 2010 in an EPS
of EUR 0.75 after EUR -0.39 in the first half of 2009.
Balance sheet quality still very solid despite high investments
The Group cash flow is currently coined by significantly increasing working
capital due to the economy, and by high investments. In particular, an
amount of EUR 12.1 million was invested in assets in the first half of
2010, primarily for the ongoing construction of new plants in Bhutan and
Russia. As had been expected, working capital increased by EUR 11.2
million. Accordingly, a positive gross cash flow of EUR 7.3 million
(H1-2009: EUR -0.7 million) was recorded; however, the free cash flow
amounted to EUR -16.0 million (H1-2009: EUR 14.7 million). Despite
continuously high investments in the expansion into growth and emerging
nations, the SKW Metallurgie Group continues to command very solid balance
sheet ratios with a debt ratio of 0.44 (Dec. 31, 2009: 0.30) and an equity
ratio of 43.2% (Dec. 31, 2009: 47.1%).
Further details on the company and its full report on the first half of
2010 can be found online at: www.skw-steel.com
Contact person:
SKW Stahl-Metallurgie Holding AG
Christian Schunck
Head of IR and Corporate Communication
Fabrikstrasse 6
84579 Unterneukirchen
Germany
Tel: +49 8634-62720-15
Fax: +49 8634-62720-16
E-mail: schunck@skw-steel.com
Internet: www.skw-steel.com
About SKW Stahl-Metallurgie Holding AG
SKW Metallurgie is the global market leader for chemical additives for hot
metal desulfurization, and for cored wire used in secondary metallurgy. The
Group's products enable steel-makers to efficiently manufacture
high-quality steel products. Clients include the world's leading companies
in the steel industry. The SKW Metallurgie Group has more than 50 years of
metallurgical know how, and currently operates in more than 40 countries.
What is more, the Group is a leading supplier of Quab specialty chemicals,
which are mainly used in the global production of industrial starch for the
paper industry. The company's operating business is broken down into the
two core segments 'Cored Wire and 'Powder and Granules', and the 'Other'
segment. The SKW Metallurgie Group is headquartered in Germany with
production facilities in France, the US (6), Canada, Mexico, Brazil, South
Korea, the People's Republic of China (2) and India (2 via joint venture).
Shares of SKW Stahl-Metallurgie Holding AG have been listed in Frankfurt
Stock Exchange's Prime Standard since December 1, 2006 with ISIN
DE000SKWM013, and have been included in the SDAX index from June 23, 2008.
DISCLAIMER
This press release contains statements on future developments that are
based on currently available information and involve risks and
uncertainties that could cause the actual results to differ from these
forward-looking statements. These risks and uncertainties include, for
example, unpredictable changes in political and economic conditions,
particularly in the steel and paper industry, the competitive situation,
interest and currency risks, technological development as well as other
risks and unexpected circumstances. SKW Stahl-Metallurgie Holding AG and
its Group companies accept no obligation to update such forward-looking
statements.
KPIs for SKW Stahl-Metallurgie Holding AG
(in EUR million)
|[![CDATA[|[pre|]]]|]
H1-2010 H1-2009
Consolidated revenues 188.8 93.2
- thereof Cored Wire 88.0 38.6
- thereof Powder and Granules 90.3 47.0
Gross margin 27.5% 26.4%
EBITDA 16.1 0.8
- thereof Cored Wire 6.6 0.6
- thereof Powder and Granules 11.0 0.2
EBITDA margin 8.5% 0.9%
EBIT 10.3 -2.2
Pre-tax earnings 8.9 -3.5
Consolidated earnings for the year (incl. minority interests) 5.8 -2.7
Consolidated earnings for the year (excl. minority interests) 4.9 -2.6
Earnings per share in EUR 1 0.75 -0.39
Gross cash flow 7.3 -0.7
June 30, 2010 Dec. 31, 2009
Total equity and liabilities 288.5 231.7
Equity (incl. minority interests) 124.5 109.0
Net financial debt 55.1 32.8
Gearing ² 0.44 0.30
Equity ratio (incl. minority interests) 43.2% 47.0%
Number of employees (as of end of period) 734 715
|[![CDATA[|[/pre|]]]|]
(1) Based on the number of shares of 6,544,930
(2) Net financial debt to equity
SKW Stahl-Metallurgie Holding AG
Christian Schunck
Head of IR and Corporate Communication
Fabrikstrasse 6
84579 Unterneukirchen
Germany
Tel: +49 8634-62720-15
Fax: +49 8634-62720-16
E-mail: schunck@skw-steel.com
Internet: www.skw-steel.com
13.08.2010 08:14 Ad hoc announcement, Financial News and Press Release distributed by DGAP. Medienarchiv at |[![CDATA[|[a href="http://www.dgap-medientreff.de"|]www.dgap-medientreff.de|[/a|]]]|] and |[![CDATA[|[a href="http://www.dgap.de"|]www.dgap.de|[/a|]]]|]
---------------------------------------------------------------------------
Language: English
Company: SKW Stahl-Metallurgie Holding AG
Fabrikstrasse 6
84579 Unterneukirchen
Deutschland
Phone: +49 (0)8634 61 511
Fax: +49 (0)8634 61 513
E-mail: info@skw-steel.com
Internet: www.skw-steel.com
ISIN: DE000SKWM013
WKN: SKWM01
Indices: SDAX
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Hamburg, München, Düsseldorf, Berlin, Stuttgart
End of News DGAP News-Service
---------------------------------------------------------------------------
DGAP-News: SKW Stahl-Metallurgie Holding AG: SKW Metallurgie on Clear Growth Path
| Source: EQS Group AG