DGAP-News: SFC Energy AG / Key word(s): Quarter Results
SFC Energy AG reports financial results for the first quarter of 2015
- Oil & Gas segment strong despite market environment - At last year's
level
05.05.2015 / 07:30
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SFC Energy AG - Corporate News - ISIN DE0007568578
SFC Energy AG reports financial results for the first quarter of 2015 - Oil
& Gas segment strong despite market environment - At last year's level
- Consolidated revenues of EUR 12.61 million (prior year: EUR 12.94
million)
- Underlying EBITDA of EUR -0.58 million in the first three months (prior
year: EUR -0.24 million)
- Positive signals from the defense sector
- Countercyclical growth expected through business partnership with
Schneider Electric
- Outlook 2015: Management Board confirms revenue guidance of EUR 55 to
65 million and improved profitability over prior year
Brunnthal/Munich, 5 May 2015 - SFC Energy AG (ISIN: DE0007568578), a
leading international supplier of stationary and mobile hybrid power supply
solutions on the basis of fuel cells, today announced its financial results
for its first quarter ended March 31, 2015.
Revenue and profit performance
Revenues
During the quarter ended March 31, 2015, SFC Energy AG generated revenues
of EUR 12.61 million, as compared with EUR 12.94 million in the same period
last year. The 2.5% decrease in revenues is primarily attributable to the
postponement of several large orders in Europe. In its highest revenue
segment, Oil & Gas, SFC Energy countercyclically generated higher revenues
on EUR basis in the first quarter of 2015 compared to the prior year period
despite significantly lower oil prices.
Sales by segment
<pre>
Segment in million EUR Q1/2015 Q1/2014
Oil & Gas 7.19 6.62
Security & Industry 4.24 5.07
Consumer 1.18 1.25
Total 12.61 12.94
</pre>
Segment performance
Oil & Gas
The Company's Oil & Gas segment continued to grow during the first quarter
despite the significantly lower price of oil (Q1/2015: EUR 7.19 million /
Q1/2014: EUR 6.62 million). While at the beginning of the year a number of
commodities companies carefully scrutinized their spending or even
postponed it. However, most have partially recovered from this "state of
shock" over the course of the quarter, and established customer budgets are
gradually being spent. In particular, the Company sees clearly defined
opportunities to expand its market position countercyclically from
customers "de-bottlenecking" their current operations.
In addition, with the new cooperation between its Canadian subsidiary
Simark Controls and Schneider Electric, SFC Energy has taken an important
step towards significant expansion of its customer base in North America
and further organic growth in the Oil & Gas segment despite the challenging
market environment. The Company expects the new business partnership to
contribute in the mid-single digit million Canadian dollars of revenues in
the current year, and management expects this contribution to increase
significantly in the coming years.
Security & Industry
In the Security & Industry segment, the revenue contribution in the first
quarter of 2015 amounted to EUR 4.24 million, as compared to EUR 5.07
million in the same period last year. A number of large orders were
postponed in this segment during the reporting period. While funds were
tight in the defense market last year, there have been increasing signs of
a sustainable recovery in this sector since the beginning of 2015. This is
attributable to the decision of German federal government, in the light of
geopolitical changes, to increase the Bundeswehr's (German Defense) budget
for the first time in years. As a result, there is a much greater
willingness to invest, which SFC Energy expects will lead to increased
demand. In addition, NATO members came to an agreement on a plan to
increase their defense budgets significantly.
During the first quarter, the Company received a repeat order from
Volkswagen Commercial Vehicles to equip the toll inspection vehicles of
Federal Office for Goods Transport (BAG) with EFOY Pro fuel cells. This
order is of strategic significance for the Company since it demonstrates
the maturity and quality level of SFC Energy EFOY Pro fuel cells, which
have reached the automotive industry standard. Moreover, executing a large
order with flagship customers such as Volkswagen/BAG will generate new
business opportunities with other potential fuel cell customers with large
fleets of vehicles. Since the order was announced, the Company has already
received additional inquiries from large fleet operators, who could benefit
greatly from deployment of SFC energy solutions.
Consumer
The Consumer segment continues to present challenges due to the various
markets that it includes. Revenues in the Consumer segment amounted to EUR
1.18 million in the first quarter of 2015 and were thus roughly at last
year's level (Q1/2014: EUR 1.25 million). There has been positive growth in
Scandinavia as well as Canada in the current fiscal year, however, sales in
France and Southern Europe continue to decline because of the poor economy
there. The Company believes the introduction of EFOY GO! during the third
quarter of 2015 will bring new momentum to this segment.
EBITDA/EPS
The SFC Energy Group's profitability at the end of the first three months
of 2015 is below the prior year period due to the postponement of several
projects and large orders.
EBITDA in the first quarter was minus EUR 0.90 million, versus minus EUR
0.51 million in the same period last year. Adjusted for nonrecurring
effects, EBITDA amounted to minus EUR 0.58 million (previous year: minus
EUR 0.24 million).
EBIT fell in the first three months of the current fiscal year to minus EUR
1.51 million, from minus EUR 1.20 million in the first quarter of 2014.
Adjusted for nonrecurring effects, EBIT stood at minus EUR 0.91 million
(Q1/2014: minus EUR 0.65 million), while the adjusted EBIT margin amounted
to minus 7.2% (Q1/2014: minus 5.0%).
The earnings per share under IFRS (undiluted and diluted) were minus EUR
0.18 in the first quarter of 2015, compared with minus EUR 0.17 in the
prior year period.
Balance sheet
Cash on hand at March 31, 2015 amounted to EUR 4.81 million (December 31,
2014: EUR 6.12 million). The decrease by EUR 1.31 million is primarily
related to the profitability of the period and deferred payments out of the
Simark transaction. The equity ratio held steady at 58.4% at the end of the
first quarter of 2015 (December 31, 2014: 58.4%). At March 31, 2015, SFC
Energy employed 243 permanent staff (March 31, 2014: 256).
Outlook 2015
Despite the increasing challenges in the Oil & Gas segment, the management
board of SFC Energy AG remains optimistic and confirms its revenue guidance
in the amount of EUR 55 to EUR 65 million. Thanks to measures taken to
increase
sales in the Industry and Defense sectors, and the adjustment of cost
structures in Canada, the management board reaffirms its expectation of an
increased profitability in 2015.
Dr. Peter Podesser, the CEO of SFC Energy AG, commented: "The postponement
of several large orders, which did not generate revenues or profits in the
first quarter, disguise the operating progress that we have made in the
past few months. We expect that the measures taken to increase sales in the
Industry and Defense sectors and adjustments to cost structures of our
Canada operations will give us a boost in the coming quarters. In addition,
we believe the partnership with Schneider Electric, which commenced in
April, will contribute significant revenues in the current fiscal year. The
agreement was not in our initial budget for the year. We are confident that
SFC Energy AG will continue on its growth course in the current year."
Key figures Q1/2015
<pre>
In million EUR 1/1-3/31/2015 1/1-3/31/2014
Sales 12.61 12.94
Gross profit 3.64 3.85
Gross margin 28.9 % 29.7 %
EBITDA -0.90 -0.51
EBITDA underlying -0.58 -0.24
EBITDA-margin underlying -4.6 % -1.8 %
EBIT -1.51 -1.20
EBIT underlying -0.91 -0.65
EBIT margin underlying -7.2 % -5.0 %
Net result -1.57 -1.32
Order backlog 9.93 16.28
</pre>
Detailed financial information
The complete three-month report of SFC Energy AG can be downloaded from the
Company's website at
http://www.sfc.com/en/investors/financial-reports#header.
SFC Energy AG will hold a telephone conference today, May 5, 2015, at 1:00
p.m., in English for interested investors and representatives of the press.
To register please send an email to sh@crossalliance.de
SFC Investor Relations
SFC Energy AG
Eugen-Sänger-Ring 7
D-85649 Brunnthal
Tel. +49 89 673 592-378
Fax. +49 89 673 592-169
Email: ir@sfc.com
Web: www.sfc.com
CROSS ALLIANCE communication GmbH
Susan Hoffmeister
Tel. +49 89 89827227
Email: sh@crossalliance.de
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Language: English
Company: SFC Energy AG
Eugen-Saenger-Ring 7
85649 Brunnthal
Germany
Phone: +49 (89) 673 592 - 100
Fax: +49 (89) 673 592 - 169
E-mail: info@sfc.com
Internet: www.sfc.com
ISIN: DE0007568578
WKN: 756857
Listed: Regulated Market in Frankfurt (Prime Standard); Regulated
Unofficial Market in Berlin, Dusseldorf, Munich, Stuttgart
End of News DGAP News-Service
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352617 05.05.2015
DGAP-News: SFC Energy AG reports financial results for the first quarter of 2015 - Oil & Gas segment strong despite market environment - At last year's level
| Source: EQS Group AG