Wacker Neuson SE / Key word(s): Quarter Results
12.11.2010 07:46
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Wacker Neuson SE remains on path to success in Q3 2010
Demand for light equipment and compact construction and agricultural
equipment remains high - earnings position strengthened - revenue and
earnings forecast raised - dividend payment likely
(Munich, November 12, 2010) The Wacker Neuson Group has significantly
increased revenue for Q3 relative to the same quarter last year and more
than doubled earnings. The upswing was reflected in clear revenue gains
across all regions and business segments. The Group strengthened its
healthy financial position and is virtually debt-free. The company has
again adjusted its forecast for fiscal 2010 upward in light of upbeat
market prospects and is optimistic about the coming years.
Earnings again strong in third quarter
Despite a downshift in the pace of global economic recovery from mid-2010
on, the Wacker Neuson Group continues to benefit from high demand for light
and compact equipment worldwide. At EUR 196.0 million, revenue for the
third quarter was up 31.5 percent on the same quarter last year (Q3 2009:
EUR 149.0 million). Due to seasonal fluctuations, this figure is below
revenue for the previous quarter (Q2 2010: EUR 205.3 million). However, it
still shows that the upswing in business has continued into Q3. The Group's
early implementation of cost-cutting measures enabled it to strengthen its
earning power, reporting EBITDA of EUR 25.0 million in the third quarter
alone (Q3 2009: EUR 15.6 million). The EBITDA margin improved in Q3 to 12.7
percent (Q3 2009: 10.5 percent). The Group has therefore been able to more
than double its quarterly earnings, reporting EUR 10.1 million for the
third quarter (Q3 2009: EUR 4.8 million).
Revenue for the first nine months of fiscal 2010 totaled EUR 551.7 million,
which represents an overall increase of 24.6 percent (previous year: EUR
442.8 million). Here, the Group was able to increase revenue across all
regions and business segments - in most cases, with double-digit percentage
growth. Profit before interest, tax, depreciation and amortization (EBITDA)
in the first nine months of the year rose significantly from EUR 16.8
million last year to EUR 55.7 million. The EBITDA margin increased to 10.1
percent (previous year: 3.8 percent). The Group already returned to the
profit zone in the first six months of the year.
Strong order intake
'We are increasingly winning market share by leveraging sales synergies
across our business segments,' explains Richard Mayer, Speaker of the
Wacker Neuson SE Executive Board. 'Global demand for light equipment has
been rising significantly for over a year now, particularly in the US.
Demand for compact equipment is also developing positively, in particular
in South America, Canada, South Africa and Switzerland.'
At September 30, 2010, the order backlog for compact equipment was around
380 percent up on the same date last year. Delivery bottlenecks among
suppliers, which delayed delivery of the company's products during the
first six months of the year eased, as anticipated, in the third quarter.
Changing order patterns across the entire industry also influenced the
order book, with customers ordering products earlier than last year in
anticipation of longer delivery times. Accumulated order intake remains
strong.
Solid financial position and positive operative cash flow
Group finances and assets are extremely strong, with liquid reserves at a
comfortable level and an equity ratio of 79.4 percent. Net financial debt
fell significantly to just EUR 1.8 million (Q2 2010: EUR 15.8 million). The
Group is thus virtually debt-free despite increased investments during the
first nine months of the year. The Group also put operative cash flow
firmly back into the black in the third quarter of 2010.
Higher forecast for entire year
On the back of the company's positive performance thus far, Wacker Neuson
Group management now expects revenue for 2010 to be at least 20 percent up
on the previous year (2009: EUR 597.0 million). The EBITDA (profit before
interest, tax, depreciation and amortization) margin for the Group is also
expected to increase to at least 10 percent (2009: 4.6 percent). 'We have
every reason to be satisfied with the fiscal year thus far,' states Günther
C. Binder, Chief Financial Officer at Wacker Neuson SE. 'At EUR 0.14,
profit per share has already doubled during Q3 relative to the same quarter
last year. We expect to make a dividend payout next year for fiscal 2010.'
Bright prospects
The outlook for the Wacker Neuson Group is also positive for the coming
financial years. The Group intends to leverage market opportunities and
sees itself ideally placed to consolidate its competitive position. In
2007, the year of the merger, Wacker Neuson reported pro-forma revenue of
around EUR 1 billion. If the market continues to develop positively, Group
management currently expects to return to pre-crisis revenue levels in
2013/2014. It also expects to achieve an EBITDA margin of at least 15
percent and an EBIT margin of at least 10 percent by that time.
Key figures: Wacker Neuson Group*
*All figures include effects from purchase price allocation; differences
may occur as a result of figures being rounded up or down.
Q3
in EUR million/Q3_2010/Q3_2009/Change in %/Q2_2010/Q1_2010
Revenue 196.0/149.0/+31.5/205.3/150.3
EBITDA 25.0/15.6/+59.7/27.0/3.7
EBIT 14.1/5.9/+139.4/17.2/-5.9
EBT 13.8/5.2/+164.1/15.8/-6.7
Profit for the period 10.1/4.8/+113.4/10.9/-5.7
9M
in EUR million/9M_2010/9M_2009/Change in %
Revenue 551.7/442.8/+24.6
EBITDA 55.7/16.8/+232.1
EBIT 25.3/-13.4/+288.8
EBT 22.9/-15.2/+250.9
Profit for the period 15.4/-10.4/+247.1
Your contact partner at Wacker Neuson:
Wacker Neuson SE
Katrin Neuffer
Preussenstr. 41
80809 Munich, Germany
Tel. +49 - (0)89 - 354 02 - 173
katrin.neuffer@wackerneuson.com
Internet: www.wackerneuson.com
About Wacker Neuson
Wacker Neuson SE is a global manufacturer of light and compact equipment.
With over 30 affiliates and more than 180 sales and service stations across
the globe, the company offers an exceptionally broad product portfolio.
Manufacturing activities are distributed across three German, one Austrian,
two American and one Philippine production sites. Almost all products
manufactured by the company are branded Wacker Neuson. The only exceptions
to this in Europe are Kramer Allrad products and Weidemann-branded
agricultural machinery. With over 300 product categories and complementary
rental, spare parts and repair services, Wacker Neuson is the partner of
choice among professional users in construction, gardening, landscaping and
agriculture, as well as among municipal bodies and companies in the
industrial and recycling sectors.
12.11.2010 Dissemination of a Corporate News, transmitted by DGAP -
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Language: English
Company: Wacker Neuson SE
PreuÃenstr. 41
80809 München
Deutschland
Phone: +49 - (0)89 - 354 02 - 0
Fax: +49 - (0)89 - 354 02 - 390
E-mail: info@wackerneuson.com
Internet: www.wackerneuson.com
ISIN: DE000WACK012
WKN: WACK01
Indices: SDAX
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Hamburg, München, Düsseldorf, Berlin, Hannover, Stuttgart
End of Announcement DGAP News-Service
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DGAP-News: Wacker Neuson SE: Wacker Neuson SE remains on path to success in Q3 2010
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