Componenta arranged a Capital Markets Day today in Helsinki. Componenta’s business operations and its development as well as the development of business environment with outlook were presented in the event.
The refinancing arrangements of EUR 250 million finalized in September 2014 and the results gained through the Group’s efficency improvement program to enhance productivity and profitability are creating a strong basis for Componenta’s business and its development. The target is to continue improvement of profitability and competitiveness and grow together with our global customers.
Through boosting the production operations and common functions we will strengthen profitability and competitiveness targeting to increase capacity utilization rates and further decrease fixed costs. The measures in the third phase of the corporate wide efficiency program are targeting further cost savings of EUR 10 million by the year 2016. They will expand the whole efficiency improvement program aiming to bring EUR 45 million cost savings in total by the year 2016.
The presentation of the Capital Market Day event includes information published earlier in Componenta’s annual and interim reports and prospectuses. In addition, we estimate that due to the measures to be carried out the share of our operations in Turkey will grow this year close to half and further to 60% of the Group’s net sales by the year 2018. Price increase of the aluminium raw material in the Manisa aluminium foundry in Turkey will have a negative impact of EUR 2.4 million on Componenta’s result in the second half of this year, which anyhow is included in the earlier published result estimate.
Componenta result guidance given in the interim report January - September 2014 is unchanged. The operating profit for 2014 excluding one-time items and exchange rates differences of operative balance sheet items are expected to improve from the previous year due to efficiency improvement program being carried out.
Capital Markets Day presentation is available on Componenta’s website at the address www.componenta.com.
Helsinki, 9 December 2014
COMPONENTA CORPORATION
Heikki Lehtonen
President and CEO
For further information, please contact:
Heikki Lehtonen
President and CEO t
el. +358 10 403 2200
Mika Hassinen
CFO
tel. +358 10 403 2723
Componenta is a metal sector company with international operations and production plants located in Finland, Turkey, the Netherlands and Sweden. The net sales of Componenta were EUR 511 million in 2013 and its share is listed on Nasdaq Helsinki. The Group employs approx. 4,400 people. Componenta specializes in supplying cast and machined components and total solutions made of them to its global customers, who are manufacturers of vehicles, machines and equipment.