Overview
In an improved trading environment, revenues for the Group increased to CHF 2 885 million, up CHF 467 million over last year in local currency terms (CHF 431 million on a reported basis).
Strong organic revenue growth was achieved in Minerals, Consumer Testing, Industrial and Trade Assurance Services with all these businesses delivering more than 15% growth at constant currencies. In line with the Group strategy, Life Science Services revenues grew by 80%.
Operating income improved by CHF 99 million or 33.9% to CHF 391 million at constant currencies (CHF 91 million on a reported basis). Group operating margins improved significantly to 13.6% with Consumer Testing reaching margins of 18.1%.
Net financial income of CHF 6 million was below that of last year by CHF 4 million, reflecting the continued global reduction in yields. The tax rate of 22.5% is at the low end of the range the Group expects for the medium term.
Net profit before exceptional items increased to CHF 276 million from CHF 224 million . Exceptionals of CHF 3 million were collected on discontinued government receivables.
Cash from operations improved to CHF 425 million from CHF 325 million on the back of the earnings improvement and a reduction in net working capital of CHF 37 million. This inflow of cash funded acquisitions of CHF 201 million, net capital expenditure of CHF 187 million and dividends of CHF 69 million. Group net cash decreased to CHF 438 million at end of the year.
Georges Muller
Chairman
Johan Allegaert
Chief Executive
English version is binding
CORPORATE COMMUNICATIONS
& INVESTOR RELATIONS
Jean-Luc de Buman
SGS SA
1 place des Alpes
P.O. Box 2152
CH - 1211 Geneva 1
t
+41 (0)22 739 93 31
f
+41 (0)22 739 98 61
The 2004 Year End Results including tables can be downloaded from the following link:
