DGAP-Adhoc: H&R Aktiengesellschaft publishes good preliminary 9-month figures 2015

H&R Aktiengesellschaft  / Key word(s): Preliminary Results/9-month figures

16.10.2015 13:26

Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted
by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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Ad hoc notification conforming to article 15 of the German law governing
the trading of securities (WpHG) 

H&R AG: Provisional business figures for the third quarter of 2015

  - Increase in earnings before interest, taxes, depreciation and
    amortization (EBITDA) with respect to the previous year nine months, to
    EUR65.3m.

  - Q3 results favored by special items amounting to EUR4.9m.

  - Increase in forecast EBITDA 

Salzbergen (Germany), 16th October 2015. According to preliminary
calculations, the company H&R Aktiengesellschaft (ISIN DE0007757007) has
been able to more than double its earnings before interest, taxes,
depreciation and amortization (EBITDA) in the third quarter of the 2015
financial year, with respect to the same period of the previous year, to
EUR24.2m (Q3-2014: EUR10.6m). EBIT improved by EUR4.8m in the third quarter
of 2014 to its current EUR16.7m. The same quarter's sales revenues of
EUR240.9m are about 9% below those of the previous year (Q3-2014:
EUR265.6m). In the course of the year, the third quarter of 2015 was stable
and slightly below the level of its outstanding predecessor, but
nevertheless delivered good results. This situation was also helped by some
extraordinary income. A sale of land at the site of former
explosives-related activity and the receipt of insurance compensation
amounted to approximately EUR4.9m. These items are reflected in earnings
before tax (EBT), and also in group earnings, which managed to increase in
the third quarter of 2014 from EUR1.2m and EUR0.8m to EUR13.7m and EUR11.4m
respectively.

The company achieved, over the entire nine-month period - provisionally,
with 5% lower sales of EUR765.6m (same 9 months of 2014: EUR806.3m) and due
not least to extraordinary items of revenue - a significant increase of
EUR40.1m in earnings before interest, taxes, depreciation and amortization
(EBITDA) to EUR65.3m (same nine months of 2014: EUR25.2 m). EBIT amounts to
EUR42.7m (same nine months of 2014: EUR8.1m). Earnings before tax (EBT)
rose over the entire nine-month period to EUR34.4m (same nine months of
2014: -EUR2.4m). Group earnings were correspondingly more robust, growing
to EUR29.2m (same nine months of 2014: -EUR1.9m).

The ChemPharm Refining segment made a significant contribution to the
improvement in the earnings situation, despite costs of raw materials
leading to a drop of 20.3% in revenues to EUR482.6 m. Of this amount,
EUR147.0m corresponded to the third quarter of 2015 (same nine months of
2014: EUR605.3m; Q3-2014: EUR195.5m).  EBITDA of EUR41.3m, of which
EUR12.8m was accounted for by the third quarter of 2015, was likewise
significantly higher than the previous year's figure (same nine months of
2014: EUR18.9m; Q3-2014: EUR8.2m). The good pricing situation of our main
and secondary products was particularly influential in this respect.

The international activities forming part of our ChemPharm Sales segment
were reflected in this year's third-quarter figure of EUR82.1m (and
EUR247.4m in the first nine months of 2015), thereby representing a clear
increase in turnover (Q3-2014: EUR58m; same nine months of 2014:
EUR169.3m). EBITDA of EUR25m, of which EUR10.3m was accounted for by the
third quarter of 2015 alone, was likewise significantly higher than the
previous year's EBITDA figure (same nine months of 2014: EUR10.4m; Q3-2014:
EUR3.6m).

The plastics segment delivered sales of EUR14.0m in the course of the
quarter, and EUR45.8m over the nine-month period (Q3-2014: EUR14.0m; same
nine months of 2014: EUR41.2m), and represented this year - with respect to
the figure of the same period the previous year (Q3-2014: EUR0.2m; same
nine months of 2014: -EUR0.9m) a slightly improved EBITDA of -EUR0.2m
(Q3-2015: -EUR0.5m).

Operating cash flow for the third quarter of 2015 came to EUR12.2m
(Q3-2014: EUR14.0m), while the figure for free cash flow was EUR8.5m
(Q3-2014: EUR9.5m). On an annual-comparison basis, operating cash flow
rose, thanks to improved earnings and a lower net working capital
requirement, from -EUR18.3m to EUR32.1m, while free cash flow improved from
-EUR30.5m to EUR18.6m.

The balance-sheet total dropped, in comparison to the start-of-year figure
of EUR706.6m, to EUR675.2 m. Equity increased over the same period, from
EUR248.9m to EUR294.2m. As 30th September 2015 saw, for the first time, two
periods of comparison which took fully into account the changes arising
from the September 2014 increase in capital, the difference is apparent on
the 2015 reporting date are considerably less than those of the previous
quarters.

The expectations of the company H&R Aktiengesellschaft for the final
quarter of 2015 include at least a solid contribution to earnings, despite
a certain drop in commercial dynamism towards the end of the year. The
company expects, in purely operational terms and even in the event of
adjustments for the extraordinary earnings from the third quarter,
an EBITDA figure towards the top of the previously announced range of
EUR45m to EUR65m. Negative outcomes such as those arising from the closing
phases of last year are not expected on the basis of present knowledge. If
the final quarter of 2015 proves to continue on from the year's good
performance overall, while taking into account the one-off positive effect
of extraordinary earnings in the third quarter, the previously
announced earnings forecast could be exceeded by approximately 15%.

The definitive financial figures, along with further information on
business developments to date in 2015, will be published on 13th November
2015, as planned, in the report for the first three quarters.

Contact information:
H&R AG, Investor Relations/Communications, Ties Kaiser
Neuenkirchener Strasse 8, 48499 Salzbergen
Tel.: +49 40 43218-321, Fax: +49 40 43218-390
E-mail: Ties.Kaiser@hur.com 
www.hur.com  

H&R AG:
H&R AG is a specialty-chemicals company listed on the Frankfurt Stock
Exchange's Prime Standard segment. It develops and manufactures
crude-oil-based chemical and pharmaceutical specialty products and produces
high-precision plastic parts.

Forward-looking statements and forecasts:
This ad-hoc notification contains forward-looking statements. These
statements are based on current estimates and forecasts made by the
Executive Board and the information available to the Board at this time.
Forward-looking statements should not be interpreted as guarantees that the
projected future developments and results will materialise. Future
developments and results are dependent on a range of factors. They comprise
various risks and imponderables and rest on assumptions which may prove
incorrect. We do not accept any obligation to update the forward-looking
statements made in this ad-hoc communication.


16.10.2015 The DGAP Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
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Language:     English
Company:      H&R Aktiengesellschaft
              Neuenkirchener Str. 8
              48499 Salzbergen
              Germany
Phone:        +49 (0)40 43 218 321
Fax:          +49 (0)40 43 218 390
E-mail:       investor.relations@hur.com
Internet:     www.hur.com
ISIN:         DE0007757007
WKN:          775700
Listed:       Regulated Market in Dusseldorf, Frankfurt (Prime Standard),
              Hamburg; Regulated Unofficial Market in Berlin, Hanover,
              Munich, Stuttgart
 
End of Announcement                             DGAP News-Service
 
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