DGAP-News: Francotyp-Postalia Holding AG / Key word(s): Quarter
Results/Quarter Results
Francotyp-Postalia Holding AG: FP Group completes restructuring and
returns to profitability
24.05.2012 / 07:00
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FP Group completes restructuring and returns to profitability
- Consolidated net profit of EUR 0.7 million in first quarter of 2012
- EBITDA reaches EUR 4.1 million
- Revenue of EUR 41.8 million on a par with previous year
- Forecast for full year confirmed
Birkenwerder, 24 May 2012. Francotyp-Postalia Holding AG, the first
multi-channel provider for mail communication, returned to profitability in
the first quarter of 2012. With revenue remaining at the same level, the FP
Group generated profit of EUR 0.7 million as against EUR -0.9 million in
the prior-year period, which saw expenses for the necessary restructuring
of production. The FP Group completed the restructuring in the first
quarter of 2012. In addition, lower amortisation and depreciation
contributed to the improved result in the first quarter of 2012.
The FP Group's revenue amounted to EUR 41.8 million in the first three
months of the current year, thus exactly on a par with the previous year.
While revenue with Mail Services (consolidation services) and Software
Solutions totalled EUR 1.4 million, product revenue fell short of the
previous year's level. The main reason for this is the ramp up of the new
factory in Wittenberge. In addition, customers held off on buying
traditional franking machines in the run up to the market launch of the new
PostBase franking system in March 2012. Due to the successes in the
services business, the share of recurring, long-term revenue in total
revenue rose again in the first quarter of 2012 to 81% compared with 77% in
the corresponding prior-year period.
In the first quarter of the current year, the company completed the
establishment of production in Wittenberge and the discontinuation of
production in Birkenwerder as at 31 March 2012. Alongside the parallel
operation of both sites, the company also had to master a number of
challenges in the supply and process chain in this period. Operationally,
the FP Group generated EBITDA (earnings before interest, taxes, net
financial income, depreciation and amortisation) of EUR 4.1 million after
EUR 3.7 million in the same period last year. Due to the decline in
amortisation and depreciation, the company improved EBIT in the past
quarter of 2012 to EUR 1.8 million as against EUR 0.1 million a year
previously.
As a result, free cash flow, the sum of cash inflows from operating
activities and cash outflows from investing activities, amounted to EUR 0.3
million in the first quarter of 2012, compared with EUR 1.5 million in the
same period in the previous year. The FP Group is pursuing a focused
investment strategy and concentrating particularly on investments that will
facilitate the company's ongoing development into a complete service
provider for mail communication. In the first quarter of 2012, investments
came to EUR 3.3 million after EUR 3.4 million in the same period for the
previous year. Moreover, first severance payments in the amount of approx.
EUR 1.6 million has been made.
Outlook for 2012: Increase in revenue and profit
Despite a challenging environment, the FP Group anticipates an increase in
revenue and profit for full-year 2012 and is therefore confirming the
outlook presented in April 2012. Accordingly, the company expects revenue
of at least EUR 161 million, EBITDA of at least EUR 25 million and EBIT of
EUR 12 million. The start of production at the new flexible production site
in Wittenberge in the coming quarters will lead to profit improvements, as
will the sales launch of the new PostBase. From the second quarter of 2012,
the new production alone will lead to annual savings of around EUR 3
million. 'With our new production and the market launch of PostBase, we are
laying the foundation for long-term strengthening of the earnings power of
the FP Group far beyond 2012', commented Hans Szymanski, Chairman of the
Management Board. By 2014, with revenue at EUR 175 million, the company
anticipates an increase of EBITDA to EUR 30 million, EBIT to around EUR 16
million and consolidated net profit to around EUR 8 million.
Contact
Francotyp-Postalia Holding AG
Corporate Communications
Sabina Prüser
Tel: +49 (0)3303 525 410
Fax: +49 (0)3303 53707 410
E-mail: s.prueser@francotyp.com
About Francotyp-Postalia Holding AG
The FP Group is the first multi-channel provider for mail communication.
The globally active company offers the entire range of products and
solutions for business and private customers. In addition to standard
machines for franking and inserting mail, its offering includes services
such as the collection of business mail and innovative software solutions
such as the fully electronic letter. The FP Group, based in Birkenwerder
near Berlin, can therefore provide tailored multi-channel solutions. The
Group currently operates its own branches in a number of industrialised
countries and holds a global market share in franking machines of around
10%. With a history dating back over 85 years, the FP Group today benefits
across all markets from the increasing liberalisation of postal markets and
the readiness of companies to outsource their business mail to professional
service providers. In the 2011 financial year, the company generated
revenue of EUR 159.4 million. The FP Group employs more than 1,000 people
worldwide.
End of Corporate News
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Language: English
Company: Francotyp-Postalia Holding AG
Triftweg 21-26
16547 Birkenwerder
Germany
Phone: +49 (0)3303 525 777
Fax: +49 (0)3303 53 70 77 77
E-mail: ir@francotyp.com
Internet: www.francotyp.com
ISIN: DE000FPH9000
WKN: FPH900
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, München, Stuttgart
End of News DGAP News-Service
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171268 24.05.2012
DGAP-News: Francotyp-Postalia Holding AG: FP Group completes restructuring and returns to profitability
| Source: EQS Group AG