DGAP-News: Grammer AG / Key word(s): Final Results
Grammer with new record results again in 2013
31.03.2014 / 06:54
---------------------------------------------------------------------
Grammer with new record results again in 2013
Revenue of EUR 1.266 billion 12 percent up on the previous year's record
Disproportionately rise in EBIT to EUR 58.0 million despite heavy up-front
efforts
Net profit after tax of EUR 29.6 million
30 percent increase in dividend to EUR 0.65 per share proposed
Amberg, March 31, 2014 - The Grammer Group's business performance in 2013
was characterized by strong growth momentum. Despite disparate conditions
in the global economy, Grammer - a specialist in seating systems and
passenger vehicle interiors - posted an 11.7 percent increase in
consolidated revenue, achieving a new record figure of EUR 1.266 billion
(2012: 1.133). Operating earnings (EBIT) were even more dynamic in spite of
the heavy up-front efforts for the implementation of the global growth
strategy and with an increase of 18.4 percent, EBIT reached a new record of
EUR 58.0 million (2012: 49.0). Consequently, the EBIT margin improved to
4.6 percent (2012: 4.3).
Net profit after tax came to EUR 29.6 million (2012: 26.8), marking a 10.5
percent increase over the previous year. This improvement was achieved
despite the impacts of currency-evalutaion on the financial result.
Consequently, earnings per share came to EUR 2.67 (2012: 2.38).
Grammer proposing a 30 percent increase in the dividend
On the strength of the Group's successful business performance in 2013, the
Executive Board and the Supervisory Board will be asking the shareholders
to approve a higher dividend of EUR 0.65 per share (2012: 0.50) at the
upcoming annual general meeting. This translates into an increase of 30
percent and marks a continuation of Grammer's commitment to ensuring that
shareholders receive a reasonable and consistent share of the Group's
business success.
"In 2013, we benefited heavily from our strategic orientation and
innovativeness. Despite fairly mixed conditions in the global automotive
market, this allowed us to achieve new records in revenue and earnings.
This year, we will be stepping up our efforts to broaden our global
presence and continue on our growth trajectory in all regions," says
Hartmut Müller, CEO of Grammer AG.
Grammer growing all around the world
In 2013, Grammer recorded what in some cases was substantial growth in all
regions in which it is active. In Europe, revenue grew by 14.5 percent to
EUR 851.1 million (2012: 743.1), additionally spurred by the acquisition of
nectec Automotive. Revenue develpment was generally positive in the
Americas region, which includes the markets of North and South America,
widening by 5.0 percent to EUR 233.6 million (2012: 222.5). Whereas South
America was very strong thanks to the recovery in the commercial vehicle
industry in Brazil, automotive business in the NAFTA region was fairly
muted. Business in the Far East/Others region was again distinctly
favorable, maily driven by the development in China. Thus, revenue in the
region rose by 8.1 percent over 2012 to EUR 181.0 million (2012: 167.4).
Above-average growth in the Automotive Division
In the Automotive Division, in which Grammer produces interior components
for premium automotive OEMs and systems suppliers in the automotive
industry, revenue climbed sharply by 14.4 percent to EUR 813.3 million
(2012: 711.1). With its global basis, the strategic positioning as a
supplier to the premium passenger vehicle segment and the integration of
nectec Automotive, Grammer was able to achieve very favorable business
performance despite the weakness of the passenger vehicle market as a whole
in the Group's core European region. Despite the heavy up-front efforts for
the set-up of new facilities and future customer projects, EBIT in the
Automotive Division climbed to EUR 33.1 million (2012: 30.5). At 4.1
percent, the EBIT margin was down only slightly on the previous year (2012:
4.3).
Substantially improved earnings in the Seating Systems Division
The Seating Systems Division, which develops and produces seating systems
for trucks, offroad vehicles, buses and trains, posted a 7.7 percent
increase in revenue to EUR 472.8 million (2012: 439.1), thus contributing
to the Grammer Group's generally favorable business performance. With
sector conditions still mixed, the Grammer truck segment remained stable,
additionally broadening its market position. However, offroad business
achieved only small growth in 2013, albeit at a high level. At EUR 37.6
million (2012: 26.4), EBIT in the Seating Systems Division rose
substantially by more than 40 percent, accompanied by a 2 percentage point
increase in the EBIT margin to 8.0 percent in 2013 (2012: 6.0).
Increase in employee numbers
As of December 31, 2013, Grammer had 10,082 employees (2012: 8,620) across
the entire Group, 1,462 more than at the end of the previous year. This
increase was maily due to the acquisition of nectec Automotive and the
establishment of new facilities and extensions to existing ones. Despite
the increased head count, personnel efficiency was additionally improved,
resulting in a lower staff cost ratio.
Equity up, acquisition-driven increase in financial liabilities over the
previous year
As of December 31, 2013, the Grammer Group had total assets of EUR 766.0
million (2012: 668.8). This was chiefly due to the greater volume of
business, additions to the strategic liquidity reserve and the first-time
consolidation of nectec Automotive and the new joint venture for truck
seats in China. As planned, the strategic liquidity reserve was
substantially increased over the previous year to 91,3 EUR million (2012:
73.1). With the acquisition of nectec Automotive, net financial liabilities
climbed to EUR 93.2 million (2012: 76.5). This was accompanied by a
corresponding increase in gearing (net debt to equity) to 41 percent (2012:
36). Adjusted for this acquisition, net financial liabilities dropped to
EUR 71.3 million. Equity as of December 31, 2013 increased to EUR 224.7
million (2012: 210.3) thanks to the net profit earned. At 29 percent, the
equity ratio remains high (2012: 31) despite the substantial increase in
business.
Marked increase in investments on new facilities
With operational investments (net of acquisitions) totaling EUR 42.8
million (2012: 39.0), implementation of the global growth strategy was
stepped up again significantly. In addition EUR 4 million have been
invested for production set-up in our new joint venture for truck seats in
China.
Outlook for 2014
Against the backdrop of current economic conditions, the outlook for the
Grammer Group's business in 2014 is generally positive.
Up-front efforts for optimization and growth projects will be intensified
in all regions again this year.
The Company projects an appreciable increase in revenue over the previous
year to more than EUR 1.3 billion, accompanied by stable operating
earnings.
Note on prior-year figures:
Prior-year figures 2012 were adjusted to reflect application of IFRS 11 and
the amended version of IAS 19.
Company Profile
Grammer AG, Amberg, Germany, is specialized in the development and
production of components and systems for automotive interiors as well as
driver and passenger seats for offroad vehicles (tractors, construction
machinery, forklifts), trucks, buses and trains. Our Seating Systems
division comprises the truck and offroad seat segments as well as train and
bus seating. In the Automotive division, we supply headrests, armrests and
center console systems to premium automakers and automotive system
suppliers.
Grammer is represented in 19 countries worldwide with a workforce of
approx. 10,000 employees across its 29 subsidiaries.
Grammer shares are listed in the SDAX segment of the German Stock Exchange,
and are traded on the Munich and Frankfurt stock exchanges, via the Xetra
electronic trading platform and on the OTC markets of the Stuttgart, Berlin
and Hamburg stock exchanges.
Contact:
GRAMMER AG
Ralf Hoppe
Phone: 0049 9621 66 2200
investor-relations@grammer.com
End of Corporate News
---------------------------------------------------------------------
31.03.2014 Dissemination of a Corporate News, transmitted by DGAP - a
company of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
---------------------------------------------------------------------
Language: English
Company: Grammer AG
Postfach 14 54
92204 Amberg
Germany
Phone: +49 (0)9621 66-0
Fax: +49 (0)9621 66-1000
E-mail: investor-relations@grammer.com
Internet: www.grammer.com
ISIN: DE0005895403, DE0005895403
WKN: 589540, 589540
Indices: SDAX
Listed: Regulierter Markt in Frankfurt (Prime Standard), München;
Freiverkehr in Berlin, Düsseldorf, Hamburg, Stuttgart
End of News DGAP News-Service
---------------------------------------------------------------------
260509 31.03.2014
DGAP-News: Grammer with new record results again in 2013
| Source: EQS Group AG