DGAP-News: Masterflex SE: Sustainable growth continues in Q2 (news with additional features)

| Source: EQS Group AG
DGAP-News: Masterflex SE / Key word(s): Half Year Results
Masterflex SE: Sustainable growth continues in Q2 (news with
additional features)

14.08.2014 / 08:00


Masterflex SE: Sustainable growth continues in Q2

  - Increase in revenue of 10.4% in first six months 

  - EBIT margin of 11.1% 

  - Consolidated net profit climbs by 26.5% to EUR 1.9 million

Gelsenkirchen, 14 August 2014 - Business with high-tech hoses and
connection systems increases by 10.4% in first half of 2014 to EUR 32.0
million. "Things are going really well," says Dr Andreas Bastin, CEO of
Masterflex SE. "We are continuing our sustainable growth in 2014 at an
undiminished rate. And we are standing by our forecast for the year of
strong growth in business for the whole of 2014. But we still have a lot of
work to do before we can come closer to our vision of being the global
market leader on all specialist markets for connection systems."

The dynamic development in high-tech hoses and connection system business
also means that the pressure on operating earnings due to upfront costs for
internationalisation is decreasing. EBIT for the first half of 2014 amounts
to EUR 3.5 million and is therefore up 7.1% on the same period of the
previous year (EUR 3.3 million). The EBIT margin is 11.1%. The slight
decline (previous year: 11.4%) was caused in particular by a somewhat
higher cost of materials ratio, which is essentially due to order structure
composition effects.

By contrast, the rise in staff costs - with a slight increase in headcount
in connection with a sales-driven expansion of production - slowed
considerably in the first half of 2014, up only 5.6% to currently EUR 11.6
million. "This shows that the costs for the first stage of international
expansion, which are predominantly not capitalised and were instead
expensed as staff costs, are now being recovered by the growth in business
from this year," says Bastin.

Consolidated net profit increased by 26.5% from EUR 1.5 million to EUR 1.9
million in the first half of the year. In addition to the rise in operating
earnings, this was aided by the significant improvement in net finance
costs of currently EUR 0.6 million (previous year: EUR 0.9 million). For
the first time, this also reflects the new syndicated loan concluded one
year ago. The consolidated net income means earnings of 21 cents per share
(previous year: 17 cents).

Overall, however, uncertainty has increased again. As Bastin comments, "The
growing number and intensity of geopolitical conflicts are suppressing
sentiment on the economy as a whole. While our business has not yet been
affected, including at our Russian joint venture in St. Petersburg, this
could change faster than we would like."

Nonetheless, the Group is standing by its growth strategy. Bastin
continued, "There is no way around our strategy of long-term
internationalisation. The growth prospects in Central Europe are limited.
As a dynamically developing company, we must take up a broad continental
positioning." In doing so the Masterflex Group is profiting from the major
global trends in the industry: faster, more efficient, more variable. Thus,
there is great potential for growth on the market for high-tech connection


                                               30.06.2-  30.06.2-
Key figures 1HY/2014                                014       013    Change

Consolidated revenue (kEUR)                      31,974    28,966    +10.4%

EBITDA (kEUR)                                     4,921     4,568     +7.7%

EBIT (kEUR)                                       3,538     3,302     +7.1%

EBT (kEUR)                                        2,909     2,443    +19.1%
Consolidated earnings from continued business     1,904     1,550    +22.8%
units (kEUR)

Consolidated earnings from discontinued             -22         2
business units (kEUR)

Consolidated net income/loss (kEUR)*              1,860     1,470    +26.5%

Earnings per share from continued business
units (EUR)                                        0.21      0.17    +23.5%

Earnings per share from discontinued business
units (EUR)                                        0.00      0.00

Earnings per share (EUR)                           0.21      0.17    +23.5%

EBIT margin                                       11.1%     11.4%

Employees                                           578       525    +10.1%

                                               30.06.20  31.12.20
                                                     14        13    Change

Consolidated equity (kEUR)                       24,844    23,023     +7.9%

Consolidated total assets (kEUR)                 55,224    53,690     +2.9%

Consolidated equity ratio (%)                     45.0%     42.9%


* without minority interests

The Masterflex Group is a specialist in the development and manufacture of
sophisticated hose and connection systems. With 13 operational units in
Europe, America and Asia, the Group is represented almost everywhere in the
world. Internationalisation and innovation are the drivers for growth.

Contact: Dr. Annette Littmann, Tel. 49 209 970 77 44, Email:

Additional features:

Document: http://n.equitystory.com/c/fncls.ssp?u=EYCWCBNXHU
Document title: PM_2014-08-14_en


14.08.2014 Dissemination of a Corporate News, transmitted by DGAP - a
service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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Language:    English                                               
Company:     Masterflex SE                                         
             Willy-Brandt-Allee 300                                
             45891 Gelsenkirchen                                   
Phone:       +49 (0)209 97077-44                                   
Fax:         +49 (0)209 97077-20                                   
E-mail:      annette.littmann@masterflex.de                        
Internet:    www.masterflex.de                                     
ISIN:        DE0005492938                                          
WKN:         549 293                                               
Indices:     Prime all share                                       
Listed:      Regulierter Markt in Frankfurt (Prime Standard);      
             Freiverkehr in Berlin, Düsseldorf, Hamburg, München,  
End of News    DGAP News-Service  
282066 14.08.2014