DGAP-News: VTG shows stable development


DGAP-News: VTG Aktiengesellschaft / Key word(s): Half Year
Results/Quarter Results
VTG shows stable development

21.08.2014 / 07:30

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VTG shows stable development

  - Group revenue equal to previous year, EBITDA increased slightly

  - Disproportionate earnings growth in Railcar Division 

  - Liquid natural gas (LNG) innovation project: prototypes under
    construction

  - Mixed picture in logistics sectors

  - Group forecast reaffirmed

Hamburg, August 21, 2014. VTG Aktiengesellschaft (WKN: VTG999), one of the
leading wagon hire and rail logistics companies in Europe, continued to
steadily develop its business in the first half of 2014 despite global
economic and political challenges. The many new build wagons in the core
Railcar Division, particularly contributed to this trend. Overall, Group
revenue was on a par with the previous year and reached EUR 404.7 million
(previous year: EUR 404.4 million). The EBITDA increased by 0.6 percent to
EUR 90.2 million (previous year: EUR 89.6 million).

"Consistently good capacity utilization levels and numerous new build
wagons have enabled the Railcar Division to make a disproportionately high
contribution to Group results. This provides fresh evidence of the
effectiveness of our stable business model," says Dr. Heiko Fischer, CEO of
VTG Aktiengesellschaft. He adds, "We have managed to sustain positive
business development, despite the impact of the troubled situation in the
Ukraine on the Rail Logistics Division."

Wagon fleet investments are paying off
Revenues in the Railcar Division rose by 2.5 percent to EUR 173.2 million
(previous year: EUR 169.0 million), and the EBITDA by 2.9 percent from EUR
88.3 million to EUR 90.8 million. At 52.4 percent, the EBITDA margin
related to revenue was also slightly above the 52.3 percent value from the
previous year.

Around 800 new build wagons and investments of more than EUR 100 million
enabled further expansion to the wagon fleet in the first half of the year.
600 of these wagons are being used in Europe, primarily by customers from
the steel and agricultural industries. An additional 200 new wagons were
hired out in Russia, which is a strategically important market in the long
term. Fleet utilization capacity could also be increased to 90.2 percent in
comparison to both the start of the year (Q1/2014: 90.1 percent) and the
previous year (Q2/2013: 89.7 percent).

Innovations in wagon construction
In May 2014, VTG began to implement an innovation project. The company has
developed and is constructing two wagon prototypes which enable LNG to be
transported for the first time in Europe by rail. The construction of the
tanks is well underway at Chart Ferox, which specializes in constructing
tanks for the transport of cryogenic products. The VTG subsidiary Waggonbau
Graaff is subsequently responsible for preparing the assembly and approval
for the two prototypes. Rail transportation is therefore being developed to
have a dual benefit in relation to environmental sustainability. Natural
gas is in itself an ecological energy source and rail is the corresponding
environmentally friendly means of transport.

Logistics units remain under pressure
After a difficult start to the year, the logistics units have only managed
to recover to a certain extent. The Rail Logistics Division recorded a 0.6
percent increase in revenues to EUR 157.2 million (previous year: EUR 156.3
million). The EBITDA dropped back to EUR 0.1 million (previous year: EUR
2.7 million) and the EBITDA margin related to gross profit stood at 0.7
percent (previous year: 23.7 percent). In addition to the continuing
tensions between Russia and the Ukraine, stronger competition in the liquid
goods segment and the mild European winter prompted a considerable decrease
in the consumption and transport of heating and other fuels which has had
an impact on results.

Revenue in the Tank Container Logistics Division stagnated as a result of
pricing pressures and global overcapacities. It amounted to EUR 74.2
million and was therefore 6.0 percent below the previous year's value (EUR
79.0 million). Nevertheless, revenues remained stable in comparison to the
first quarter of 2014. By contrast, the EBITDA was exactly in line with the
previous year, at EUR 5.5 million. At 44.9 percent, the EBITDA margin
related to gross profit rose slightly above the previous year (43.8
percent).

VTG reaffirms forecast
The VTG AG Executive Board reaffirms its 2014 financial year Group revenue
forecast of EUR 800 - 900 million and expects to be at the lower end of the
EBITDA forecast range of EUR 188 - 200 million.

Key figures for the VTG Group

<pre>

                                             1.1.-30.6. 1.1.-30.6. Change
Financial year                                     2014       2013   in %
Revenue in EUR million                            404.7      404.4    0.1
EBITDA in EUR million                              90.2       89.6    0.6
EBIT in EUR million                                38.0       37.1    2.4
EBT in EUR million                                 12.4       12.6   -1.4
Group profit in EUR million                         7.8        7.9   -0.6
Depreciation and amortization in EUR million       52.2       52.5   -0.6
Capital expenditure in EUR million                106.6       85.8   24.3
Operating cash flow in EUR million                 82.0       76.1    7.7
Earnings per share in EUR                          0.40       0.33   21.2
Railcar Division
Revenue in EUR million                            173.2      169.0    2.5
EBITDA in EUR million                              90.8       88.3    2.9
EBITDA margin in %                                 52.4       52.3
Rail Logistics Division
Revenue in EUR million                            157.2      156.3    0.6
EBITDA in EUR million                               0.1        2.7  -96.2
EBITDA margin in %                                  0.7       23.7
Tank Container Logistics Division
Revenue in EUR million                             74.2       79.0   -6.0
EBITDA in EUR million                               5.5        5.5   -1.3
EBITDA margin in %                                 44.9       43.8
                                                                   Change
                                             30.06.2014 30.06.2013   in %
Number of employees                               1,304      1,184   10.1
- in Germany                                        888        831    6.9
- abroad                                            416        353   17.8
                                                                   Change
                                             30.06.2014 31.12.2013   in %
Balance sheet total in EUR million              1,586.4    1,550.8    2.3
Non-current assets in EUR million               1,374.1    1,332.2    3.1
Current assets in EUR million                     212.4      218.6   -2.8
Shareholders equity in EUR million                332.6      321.3    3.5
Liabilities in EUR million                      1,253.9    1,229.5    2.0
Equity ratio in %                                  21.0       20.7


</pre>

About VTG:

VTG Aktiengesellschaft is one of Europe's leading wagon hire and rail
logistics companies. The company has the largest private railcar fleet in
Europe. Globally, the fleet consists of some 52,700 railcars, with a focus
on tank cars and state-of-the-art high capacity freight cars and flat cars.
In addition to the hiring of wagons, the Group offers comprehensive
multi-modal logistics services, mainly around rail transport, and global
tank container transports.

With the combination of its three interlinked divisions Railcar, Rail
Logistics and Tank Container Logistics, VTG offers its customers a
high-performance platform for international transport of their freight. The
Group has many years of experience and specific expertise, in particular in
the transport of liquid and sensitive goods. Its customers include numerous
well-known companies from almost every industrial sector, for example the
chemical, petroleum, automotive, paper and agricultural industries.

In the financial year 2013, VTG generated revenue of EUR 783.7 million and
operating profit (EBITDA) of EUR 183.8 million. Via its subsidiaries and
affiliates the company, which has its head office in Hamburg, is mainly
present in Europe, Asia, Russia and North America. As at 31 December 2013,
VTG had 1,191 employees worldwide in consolidated companies. Since June
2007, VTG AG has been listed on the official Prime Standard market of the
Frankfurt Stock Exchange (WKN: VTG999).

Media contact:
Monika Gabler
Head of Corporate Communications
Telephone: +49 (0) 40 23 54-1341
Fax:  +49 (0) 40 23 54-1340
Email:  monika.gabler@vtg.com

Investor Relations contact:
Christoph Marx
Head of Investor Relations
Telephone: +49 (0) 40 23 54-1351
Fax:  +49 (0) 40 23 54-1350
Email:  christoph.marx@vtg.com

Further information at www.vtg.com



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Language:    English                                                
Company:     VTG Aktiengesellschaft                                 
             Nagelsweg 34                                           
             20097 Hamburg                                          
             Germany                                                
Phone:       040 2354 0                                             
Fax:         040 2354 1199                                          
E-mail:      info@vtg.de                                            
Internet:    www.vtg.de                                             
ISIN:        DE000VTG9999                                           
WKN:         VTG999                                                 
Listed:      Regulierter Markt in Frankfurt (Prime Standard);       
             Freiverkehr in Berlin, Düsseldorf, Hamburg, Hannover,  
             München, Stuttgart                                     
 
 
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