Kontron AG / Key word(s): Miscellaneous
25.10.2012 06:30
Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted
by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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ï§ International debt crisis and weak economy impact business development in
the entire ECT market
ï§ Revenues of EUR 131 million generated in third quarter 2012
ï§ One-off effects of EUR -12.3 million hit EBIT figure
ï§ Company aiming to achieve full year total revenues of EUR 540 - 555
million - continuous earnings pressure expected
ï§ Growing incoming orders (EUR 141 million) and rising backlog (EUR 371
million) raise expectations of strong Q4, Very good development in design
wins (EUR 92 million)
Eching near Munich, October 25, 2012 - Kontron AG, the globally leading
manufacturer of embedded computer technology (ECT), was, like many other
internationally active technology companies, particularly in the ECT
market, unable to escape the effects of the international debt crisis and
the savings policies of public clients: The company posted stable revenues
of EUR 131 million, while earnings came in at
EUR -13.3 million. The latter contains one-off effects totaling EUR 12.3
million, largely relating to reorganization and restructuring projects. The
earnings improvements stemming from the 2012 restructuring and personnel
reductions are set to be over EUR 10 million in 2013. Revenues for the
first nine months of the current financial year totaled EUR 401 million
(previous year period: EUR 423.5 million), while earnings (EBIT) were
posted at EUR -5.3 million for the first three quarters (previous year
period: EUR 29.7 million). At EUR 38.4 million, Kontron AG achieved a very
strong operating cash flow for the first three quarters of 2012. In the
third quarter, the company reported an operating cash flow of EUR 3.1
million despite the one-off effects from restructuring. Incoming orders
grew in the third quarter 2012 to EUR 141 million (Q2/12: EUR 126,8
million) and the backlog was rising to EUR 371 million (Q2/12: EUR 362,8
million) which indicate a strong fourth quarter. The volume of the design
wins - an indicator for mid term growth - was posted at very good EUR 92
million (previous year quarter: EUR 83 million).
On the back of this, Kontron is anticipating total annual revenues between
EUR 540 million and EUR 555 million. In this actual challenging environment
Kontron expects continuous earnings pressure.
Kontron is adapting to the changing market environment with the 'Shape'
optimization program. 'Shape' is designed to both focus the business model
and optimize the organization and processes. As part of the strategic
alignment, existing product lines are being streamlined and one aim is to
invest a disproportionately high amount into innovation in strategic
business fields.
In an effort to make better use of synergies, Kontron's vertical markets
are to be pooled into four globally responsible business units: Industry,
Communication, Military/Aero/Rail and Multimarket. This means that
development capacities are to be bundled according to technological aspects
and market conditions, increasing the global efficiency further. The aim is
to use developed technologies for the widest possible range of applications
and in this way satisfy customer requirements more quickly and fully. In
addition to the four business units, in 'Kontron Ventures', a division for
larger innovation projects is to be established. The aim is to move into
profitable market segments at the earliest possible stage.
The first restructuring measures for cost and efficiency optimization have
already begun and are being systematically continued as part of SHAPE. With
the sale of the Malaysian production site for standard components at the
start of 2012 as well as the sale of the aircraft component assembler AP
Parpo in Mexico, important steps towards the concentration of the core
business have already been made. In addition, the company plans to dissolve
one site in North America and Europe respectively and in doing so make the
most of synergies created by concentrating activities in larger sites.
Moreover, a holding in the Czech Republic is also to be sold. The
restructuring measures will be
completed within the first half of 2013.
Investor Relations: For further informationen:
Gaby Moldan / Jacqueline von Berg Dr. Udo Nimsdorf / Florian Bergmann
Kontron AG Engel & Zimmermann AG
Oskar-von-Miller-Str. 1, Unternehmensberatung für Kommunikation
D - 85386 Eching Schloss FuÃberg, Am Schlosspark 15,
Tel: +49 8165/77212
Fax +49 8165/77222 D - 82131 Gauting
Tel: +49 89-89 35 633
Fax: +49 89-89 39 84 29
Email: Gaby.Moldan@kontron.com Email: info@engel-zimmermann.de
Jacqueline.vonBerg@kontron.com
25.10.2012 DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
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Language: English
Company: Kontron AG
Oskar-von-Miller-Str. 1
85386 Eching
Germany
Phone: 08165-77-225
Fax: 08165-77-222
E-mail: gaby.moldan@kontron.com
Internet: www.kontron.com
ISIN: DE0006053952
WKN: 605395
Indices: TecDAX
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, Düsseldorf, Hamburg, Hannover, München, Stuttgart
End of Announcement DGAP News-Service
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DGAP-Adhoc: Kontron AG reports third quarter 2012 figures and launches 'Shape' optimization program
| Source: EQS Group AG