STEICO Aktiengesellschaft / Preliminary Results 28.01.2008 Release of a Corporate-announcement, transmitted by DGAP - a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. --------------------------------------------------------------------------- - Revenues up to 97.2 million - Spending for new products still impacting earnings - Continued positive growth on market for ecological insulating materials expected - Positive corporate perspectives for 2008 and 2009 Feldkirchen (Munich) / January 28, 2008 STEICO AG, a company listed in Frankfurt Stock Exchange's Entry Standard, recorded revenues totaling 97.2 million in fiscal year 2007 according to preliminary calculations (previous year: 86.1 million). This constitutes an increase of 11.1 million or 12.9%. Despite soaring sales, spending for new products (I-Joists, hemp) impacted earnings at STEICO, which specializes in ecological building materials. The Group recorded EBITDA of 13.2 million last fiscal year after 14.3 million in 2006. According to preliminary figures, EBIT fell from 9.0 million to 6.5 million. As of December 31, 2007, the company recorded earnings from ordinary activities of 5.4 million (previous year: 7.8 million). The preliminary equity ratio as of December 31 was 73.5% (previous year: 31.9%). STEICO's business with wood-fiber insulating materials enjoyed extraordinarily strong growth. The company leads the European market in this segment. However, the fire at a finished goods warehouse and the downtime resulting from extension work at the Polish facility in Czarnków impacted revenues and earnings. In addition, there was predatory competition in the I-Joist segment, primarily from a US competitor. In January 2008 this competitor announced its full withdrawal from the European market. The company is looking to the future with optimism. STEICO believes that the market for insulating materials made from renewable resources will enjoy highly positive growth, and the company will continue to focus on optimizing its lead times. The European I-Joist market is undergoing a major transition after the withdrawal of the US competitor. In view of the resulting reduction in capacity, the STEICO Group is forecasting further positive effects for this high-growth market. The investment projects implemented in 2007 will only fully bear fruit in fiscal year 2008. These include expanding the Czarnków facility to increase production capacity as well as investments in a biomass power plant. The new products I-Joists, hemp insulation materials, hemp fibers and hemp shive boards will make a larger contribution to the STEICO Group's revenues and earnings growth in future. In addition, the STEICO Group is currently involved in negotiations to acquire a company with the aim of increasing capacity for its wood-fiber insulating materials. The Group has published the following forecast for the current fiscal year and 2009 (in million): Revenues 2008 2009 Wood-fiber insulating materials 76.0 95.0 NFB 30.0 30.0 I-Joists 12.0 20.0 Hemp-fiber insulating materials 3.0 6.0 Hemp shive boards 0.0 5.0 Wood trade 4.0 4.0 Total revenues 125.0 160.0 EBITDA 19.0 30.0 EBIT 11.0 20.0 Earnings from ordinary activities 10.0 20.0 Consolidated net income 7.0 14.0 This forecast does not take the impact of potential acquisitions into account. The STEICO Group will report on its final figures for fiscal year 2007 in the middle of May when it publishes its annual report. Company profile: The STEICO Group of companies develops, produces and sells ecological construction products made of renewable materials. The company leads the European market for wood-fiber insulation materials with a market share of more than 35%. The company also enjoys top rankings for its highly effective cost structure and its research and development activities, which are located in Germany. The Group's new products 'Hemp insulation materials' and 'I-joists' as construction elements for residential construction mean that it has grown to become a system provider for ecological construction products. The production of natural fiber boards (NFB) as components for the I-joists rounds off STEICO's vertical integration, which is unique within the industry. The Munich-based company's products are successfully used in home building for floors, walls, ceilings and roofs. The STEICO Group plans to continue the sales and profits growth it has enjoyed in the past few years thanks to its clear strategic orientation. The strategic plans focus on existing and new products, including for new customers. The funds from the IPO in June 2007 have enabled the company to further bolster the Group's solid foundations and also to accelerate its growth. STEICO AG's success is set to continue right on target. Contact: Andreas Schulze STEICO Aktiengesellschaft Hans-Riedl-Strasse 21 85622 Feldkirchen Fon: +49-(0)89-99 15 51-48 Fax: +49-(0)89-99 15 51-97 Email: schulze@steico.com www.steico.com DGAP 28.01.2008 --------------------------------------------------------------------------- Language: English Issuer: STEICO Aktiengesellschaft Hans-Riedl-Str. 21 85622 Feldkirchen Deutschland Phone: +49 - (0)89 - 99 15 51 - 0 Fax: +49 - (0)89 - 99 15 51 - 99 E-mail: info@steico.com Internet: http://www.steico.com ISIN: DE000A0LR936 WKN: A0LR93 Listed: Freiverkehr in Berlin, Düsseldorf, München; Entry Standard in Frankfurt End of News DGAP News-Service ---------------------------------------------------------------------------
DGAP-News: STEICO AG: Preliminary figures for fiscal year 2007
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