DGAP-News: technotrans AG / Key word(s): Interim Report
technotrans AG: technotrans gains ground with increased revenue and
profit from non-print activities
22.08.2014 / 06:52
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First-half revenue up 3.5 percent to EUR 54.3 million / EBIT improves by
31.4 percent to EUR 3.0 million / expectations for 2014 once again
confirmed
Sassenberg, August 22, 2014
The business performance of the technotrans Group in the first half of the
2014 financial year was positive and in line with the targets for the full
year. Overall, revenue rose by 3.5 percent to EUR 54.3 million, up from EUR
52.5 million in the prior-year period. Revenue growth was driven
exclusively by technotrans business outside the printing industry, which
brought in 35 percent of revenue in Q2. Revenue for the second quarter of
2014 amounted to EUR 27.2 million, matching the first-quarter figure and
representing a rise of 3.9 percent on the prior-year quarter (EUR 26.2
million). Earnings before interest and taxes (EBIT) improved by 31.4
percent in the first half of 2014 to EUR 3.0 million (previous year: EUR
2.3 million). The EBIT margin is 5.5 percent (previous year: 4.3 percent).
Compared with the same period of the previous year (EUR 1.2 million) EBIT
for Q2 rose by 32.9 percent to EUR 1.6 million. The net income for the
first six months was EUR 1.9 million (previous year: EUR 1.4 million),
equivalent to earnings per share of EUR 0.28 (previous year: EUR 0.22).
"The overall and industry-specific environment provided a mixed picture in
the second quarter of 2014. While business in the mechanical and plant
engineering sector generally continued to make positive progress, the
printing industry again saw the volume of business fall in the second
quarter. The main reason for this development was that Asian customers held
back with their purchases," explained Henry Brickenkamp, Spokesman of the
Board of technotrans AG. "Amid this challenging environment, the
development of technotrans was in line with our expectations. Thanks to our
activities outside the printing industry, we thus succeeded in defying its
negative trend for the third time in succession."
The companies of the technotrans Group had an average of 770 (previous
year: 772) employees in the first half of 2014.
The Segments
The Technology segment generates just under two-thirds of consolidated
revenue. Of the total revenue of EUR 54.3 million, this segment brought in
EUR 35.2 million in the first half of 2014 (previous year: EUR 33.4
million). The increase of around EUR 1.8 million or 5.3 percent compared
with the prior-year period is exclusively attributable to the successful
expansion of business in the non-print area. Here, the segment profited
both from accelerating business in the laser industry and from a growing
revenue share for the self-developed technologies for temperature control,
filtration, cooling lubricant preparation and spray lubrication. In the
offset and flexographic printing area, increased market shares and launches
of new production models served to stabilise the revenue performance.
Second-quarter revenue for the segment reached EUR 17.5 million, compared
with EUR 16.5 million in the previous year (+6.0 percent). Against a
backdrop of a further general downturn in business for the printing
industry, this provides further evidence that our activities in the new
markets have created welcome growth.
Earnings for the Technology segment at June 30, 2014 improved from EUR -0.9
million in the previous year to EUR -0.2 million. As expected, the rate of
return for the segment thus developed positively compared with 2013. The
result for the segment yielded a still slightly negative rate of return of
-0.6 percent for the second quarter and of -0.7 for the first half of 2014
overall.
The Services segment achieved slightly higher second-quarter revenue of EUR
9.7 million (previous year: EUR 9.7 million) than in the first quarter of
the current financial year (EUR 9.4 million). Revenue overall for the first
half of 2014 remained on a par with the same period of the previous year,
at EUR 19.1 million.
The financial performance in the Services segment remained stable in the
period under review and the healthy level of recent quarters was
maintained. Following on from EUR 1.5 million in the first quarter, revenue
was increased slightly to EUR 1.7 million in the second quarter. At the end
of the first half of 2014, the result for the segment of EUR 3.2 million is
almost unchanged compared with the prior-year level, and the rate of return
for the segment is thus 16.8 percent (previous year: 16.6 percent).
Financial Position
technotrans is again able to present a strong balance sheet at June 30,
2014:
equity rose 1.4 percent to EUR 44.4 million in the period under review,
taking the equity ratio at June 30, 2014 to 58.7 percent. net liquidity for
the group remained positive at EUR 0.8 million.
Based on net income of EUR 1.9 million (previous year: EUR 1.4 million) for
the six-month period, the operating cash flow in 2014 showed a significant
improvement on the first half of 2013. At EUR 4.4 million, cash flow was
EUR 3.4 million higher than one year earlier (EUR 1.0 million). Despite a
substantial increase in inventories and trade receivables, the effect from
the change in working capital remained only marginally negative. Payments
for interest and taxes in the period under review were slightly higher, so
net cash from operating activities totalled EUR 3.1 million (previous year:
EUR 0.1 million). The cash outflow from investing activities showed a
year-on-year fall as expected, amounting to EUR -1.9 million (previous
year: EUR -5.1 million, as a result of the acquisition of KLH) and is made
up of maintenance investments (EUR -1.0 million) along with the final
conditional purchase price component for the acquisition of Termotek AG
(EUR -0.9 million). The free cash flow at the end of the first half of 2014
was consequently again in positive territory at EUR 1.2 million.
The cash flow from financing activities of EUR -2.0 million (previous year:
+2.7 million) comprises the scheduled repayment and the raising of
short-term bank loans as well as the dividend distribution to technotrans
shareholders.
Outlook
Economic development remains in line with the original expectations for the
current financial year and therefore for the business of the entire
technotrans Group. technotrans has good prospects of making the current
financial year a success under its own momentum. "By systematically
continuing to pursue our growth strategy, we will achieve a further slight
increase in revenue assuming business goes according to plan in 2014. As
before, our plans envisage revenue for the technotrans Group of EUR 110
million (plus/minus 5 percent). For the coming quarters, too, we anticipate
that revenue from outside the printing industry will enable us to more than
make up for the fall in volume of print business," declared Henry
Brickenkamp.
The anticipated revenue growth and ongoing optimisation processes should
help to produce a further improvement in the financial performance in the
2014 financial year, resulting in an EBIT margin of between 4 and 6
percent. "We continue to view this target as realistic," added Henry
Brickenkamp. The revenue volume and the timescale for launches of new
customer projects will substantially influence the earnings situation. Over
the coming quarters we are also expecting energy storage technology and
scanner technology to make additional contributions to revenue. "All things
considered, we remain on track and are generally confident about the
remainder of the current financial year," added the CEO.
Note: Statements made in this report relating to future developments are
based on our careful assessment of future events. The actual performance of
the company may differ substantially from that planned, as it depends on a
large number of market-related and economic factors, some of which are
beyond the company's control.
Download: The full Interim Report 1-6/2014 can be downloaded from the
Internet at www.technotrans.de, under Investor Relations - Reports.
Dates: The Quarterly Report 1-9/2014 is scheduled for publication on
November 7, 2014.
Securities: technotrans AG - ISIN DE000A0XYGA7 - WKN A0XYGA
Contact: technotrans AG
Henry Brickenkamp / Dirk Engel
Coordination: Katharina Arens
Tel. +49 (0)2583 301-1890
e-mail: katharina.arens@technotrans.de
technotrans Group
Key data acc. to IFRS
<pre>
comp- 01/01- 01/01- FY FY
arison 30/06/14 30/06/13 2013 2012
2014-
2013
Earnings
EUR 105,2
Revenue '000 3.5% 54,286 52,450 07
90,662
EUR
Technology '000 5.3% 35,176 33,398 65,988
53,733
EUR
Services '000 0.3% 19,110 19,052 39,219
36,929
EUR
Gross profit '000 13.6% 18,106 15,934 33,124
31,652
EUR
EBITDA 1 '000 11.5% 4,397 3,943 7,815 8,319
Earnings before interest EUR
and tax (EBIT) '000 31.4% 2,968 2,258 4,626 5,357
EUR
Net income for the period 2 '000 30.5% 1,844 1,413 3,016 3,094
as % of revenue % 3.4 2.7 2.9 3.4
Earnings per share (basic,
IFRS) EUR 27.3% 0.28 0.22 0.47 0.48
Balance sheet
EUR
Issued capital '000 0.0% 6,908 6,908 6,908 6,908
EUR
Equity '000 4.0% 44,360 42,671 43,743
40,865
Equity ratio % 58.7 55.8 59.9 63.2
Return on equity % 4.3 3.3 7.1 7.9
EUR
Total equity and liabilities '000 -1.3% 75,550 76,521 73,019
64,705
EUR
Net debt 3 '000 -755 64 -887
-8,462
EUR
Working capital 4 '000 0.1% 27,717 27,706 28,254
27,087
ROCE 5 % 5.0 4.0 8.4 10.1
Employees
Average employees over the
period -0.3% 770 772 763 646
EUR
Personnel expenses '000 4.3% 19,304 18,513 37,022
32,651
as % of revenue % 35.6 35.3 35.2 36.0
EUR
Revenue per employee '000 3.8% 70.5 67.9 138 140
Cash flow
EUR
Cash flow 6 '000 3,126 89 2,693
10,979
EUR
Free cash flow 7 '000 1,183 -5,021 -3,433
13,172
Shares
Number of shares outstanding 6,493 6,455
at end of period 0.4% 6,493,426 6,466,510 ,474 ,404
Share price (max) EUR -12.1% 9.10 10.35 10.35 7.20
Share price (min) EUR 8.1% 7.46 6.90 6.90 4.10
</pre>
1 EBITDA = EBIT + depreciation, amortisation and impairment
of tangible and intangible assets
2 Net profit for the period = profit attributable to technotrans AG
shareholders.
3 Net debt = borrowings + non-current provisions - cash and cash
equivalents
4 Working capital = current assets - current liabilities
5 ROCE = EBIT / capital employed
6 Cash flow = net cash from operating activities acc. to cash flow
statement
7 Free cash flow = net cash from operating activities
+ net cash used for investments acc. to cash flow statement
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22.08.2014 Dissemination of a Corporate News, transmitted by DGAP - a
service of EQS Group AG.
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Language: English
Company: technotrans AG
Robert-Linnemann-Str. 17
48336 Sassenberg
Germany
Phone: +49 (0)2583 - 301 - 1000
Fax: +49 (0)2583 - 301 - 1030
E-mail: info@technotrans.de
Internet: http://www.technotrans.de
ISIN: DE000A0XYGA7
WKN: A0XYGA
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, Hamburg, München,
Stuttgart
End of News DGAP News-Service
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283437 22.08.2014
DGAP-News: technotrans AG: technotrans gains ground with increased revenue and profit from non-print activities
| Source: EQS Group AG