Performance in the European business was not satisfactory in the first three
quarters of 2012, which were marked by price adjustments in the German market.
North America continued to see positive trends, generating historically high
growth rates based on focused sales efforts and a higher level of capacity
utilisation. The revenue forecast of DKK 1.5 billion is retained, while Hartmann
adjusts its profit margin forecast to approximately 7.5% from the previously
announced range of 7.5-9%.
CEO Michael Rohde Pedersen on Hartmann's performance in 9M 2012:
In the first nine months of 2012, our historically strong performance in North
America outweighed the price adjustments in the important German market. The
greater focus on prices accentuates the importance of our continued and
intensified efforts to enhance our competitive strength and lift profitability
in our sales efforts.
Michael Rohde Pedersen on Hartmann's outlook:
We retain our full-year forecast of revenue of about DKK 1.5 billion, but due to
our performance in Europe, we adjust our profit margin forecast to approximately
7.5% from the previously announced range of 7.5-9%. We expect the price
adjustments in Germany to continue to be a factor in Q4, while our performance
in North America is expected to continue on a positive note.
Highlights
* Hartmann reported revenue of DKK 1,142 million for 9M 2012 (2011: DKK 1,081
million) and operating profit* of DKK 86 million (2011: DKK 82 million),
equal to a profit margin* of 7.5% (2011: 7.6%). For Q3, revenue was DKK 373
million (2011: DKK 355 million), and operating profit was DKK 24 million
(2011: DKK 25 million), equal to a profit margin of 6.5% (2011: 7.1%).
* Cash flows from operating and investing activities amounted to a net cash
inflow of DKK 69 million for 9M 2012 (2011: a net cash inflow of DKK 78
million) and a net cash inflow of DKK 17 million for Q3 (2011: a net cash
inflow of DKK 30 million). At 30 September 2012, return on invested capital
(ROIC) had risen to 18.6% (2011: 14.4%).
* The European business reported revenue of DKK 946 million for 9M 2012 (2011:
DKK 925 million) and operating profit of DKK 63 million (2011: DKK 92
million). Revenue for Q3 was DKK 306 million (2011: DKK 303 million), and
operating profit was DKK 18 million (2011: DKK 28 million).
* In North America, revenue for 9M 2012 increased to DKK 197 million (2011:
DKK 156 million), and operating profit increased to DKK 41 million (2011:
DKK 11 million). Revenue for Q3 was DKK 66 million (2011: DKK 52 million),
and operating profit was DKK 11 million (2011: DKK 4 million).
* Hartmann retains its revenue forecast of DKK 1.5 billion and adjusts its
profit margin forecast to approximately 7.5% from the previously announced
range of 7.5-9%. The challenging market conditions, particularly in the
German market, are expected to continue to impact Hartmann's Q4 performance,
just as the positive trends in North America are expected to continue.
* References to operating profit refer to operating profit before special items,
and references to profit margin refer to profit margin before special items.
For additional information, please contact:
Michael Rohde Pedersen
CEO
Tel. (+45) 45 97 00 33
[HUG#1657645]
