The downtrend is due mainly to developments in the Assembly/Automation Segment, where year-on-year sales fell by CHF 16.3 million or 26.5% to CHF 45.1 million. Sales in the core Fineblanking/Forming Segment fell by CHF 2.8 million or 2.5% to CHF 109.8 million. By contrast, the Plastic/Metal Components Segment is well on the way to a turnaround, having seen its sales increase by CHF 3.2 million or 11.4% to CHF 31.5 million.
About 59% (previous year: 56%) of Group sales were generated by the Fineblanking/Forming Segment. Assembly/Automation contributed 24% (previous year: 30%) of consolidated sales. The restructuring of this Segment is now virtually complete, and, following a healthy inflow of new orders in April, full capacity utilization for the current financial year is assured. The Plastic/Metal Components Segment accounted for 17% of sales (previous year: 14%).
On the strength of a positive order intake (up 18.8%) and a 7.9% rise in orders in hand to CHF 154.7 million (previous year: CHF 143.4 million), the Group is anticipating sales of approximately CHF 400 million and a balanced operating result. The Board of Directors and management are resolutely pushing ahead with measures to improve operational procedures and efficiency with the aim of achieving a sustained improvement in the Feintool Group's competitiveness and prospects.
Key figures in target range
The Feintool Group's total assets decreased by CHF 56.6 million versus the year-back period to CHF 312.2 million. Thanks to a CHF 34.1 million reduction in current liabilities, the Group was able to maintain its self-financing ratio at a virtually unchanged 38.2% (previous year: 38.4%).
At CHF 65.5 million (previous year: CHF 84.4 million), net debt is in line with budget, and gearing is within the target range at 55.0% (previous year: 59.6%). A CHF 51.6 million convertible bond 1 7/8% (2000-2005) is outstanding.
Cash flow from operations totalled CHF 5.9 million (previous year: CHF 8.5 million) for the half-year under review. These funds were used primarily for capital expenditure in anticipation of the start-up of new production orders, for IT and development projects, and for executive and employee training.
Details of the individual Segments:
Fineblanking/Forming Segment
Sales by the core Fineblanking/Forming Segment totalled CHF 109.8 million (previous year: CHF 112.6 million). The 2.5% drop in sales is due principally to key press customers deferring their orders. A recently started, comprehensive customer service package and innovative tooling concepts are generating additional earnings and creating new competitive advantages for customers.
Sales by the parts manufacturing facilities in Europe, the United States and Japan are ahead of the previous year's levels. In the light of new high-volume orders for new parts for forthcoming car models, the Group expects further growth.
Heinrich Schmid AG of Jona, which markets the Group's second press brand, Schmid, is tasked with acquiring additional customer segments using standard machines and short delivery times.
Assembly/Automation Segment
The Assembly/Automation Segment is still suffering from the low level of capital spending. At CHF 45.1 million, sales are therefore significantly below the previous year's figure of CHF 61.4 million.
Business in the Automation Systems Business Unit has been buoyant in recent months, ensuring full capacity utilization for the current financial year. Restructuring is now in its final phase. The remodelling of the Aarberg site into a centre for development activities and for the production of new models will be completed by the end of the financial year. Connected with this is the 20-job reduction in headcount announced in February.
Plastic/Metal Components Segment
The Plastic/Metal Components Segment increased its sales by 11.4% to CHF 31.5 million (previous year: CHF 28.3 million) and is well on the way to a turnaround thanks to improvements in all areas. High levels of customer satisfaction and an extensive project list for complex composite components for the electronic and automobile industries are contributing to the pleasing trend.
This is particularly true of the safety (brake and restraining systems) and comfort (automatic transmission and air conditioning) markets, both of which continue to gain in significance. With its technology for manufacturing metal and plastic components, the Feintool Group is well positioned for the future in this segment. Close cooperation with customers' development departments plays an important role.
Based in Lyss, Switzerland, Feintool is a leading technology and systems provider in fineblanking/forming and assembly/automation. It is also a supplier of metal and plastic components.
Feintool operates globally with approximately 1700 employees at the company's own facilities in Switzerland (head office in Lyss), Germany, France, Italy, Great Britain, the United States, Japan and China. Around half its employees are located in Switzerland.
You will also find a PDF version of the semiannual report by going to our website www.feintool.com and selecting Investor Relations/Semiannual Report.
For further information, please contact:
Andreas Münch, Chief Executive Officer, and Reto Welte, Chief Financial Officer
Phone +41 / (0)32 / 387 51 11, fax +41 / (0)32 / 387 57 81, investor.relations@feintool.ch
The press release including tables can be downloaded from the following link:
