mercredi, 27. février 2008 R. STAHL exceeds sales and earnings expectations for fiscal 2007
Catégorie : Corporate-NewsSubstantial increase in sales and order intake
By preliminary calculations, R. STAHL Technologies' 2007 consolidated sales increased 27% to EUR 211.6 million (previous year: EUR 167.1 million). Consolidated order intake rose 28% in the year under review to EUR 220.1 million (previous year: EUR 172.1 million). The order backlog at the end of fiscal 2007 came to EUR 38.5 million (previous year: EUR 30.0 million).
R. STAHL grew strongly in fiscal 2007 thanks to vigorous business activity in key sales industries. However, the consistent pursuit of our growth strategy also contributed crucially to this positive development. In the booming oil and natural gas sector, R. STAHL managed to expand its sales not only in absolute terms but also in terms of market share from previously 28 percent to currently 31 percent. Our sales share in the strongly growing marine industry also increased disproportionately. Other key sales sectors like the chemical and pharmaceutical industry showed stable demand in 2007.
Growth measures are bearing fruit
Our sales increased considerably in North America (+ 33 percent) and Asia (+ 77 percent). In the Americas, R. STAHL benefited from product approvals for the local market and distribution network expansion. In Asia, efforts to better adapt our products to local market requirements and needs are bearing first fruit. Our European sales rose 20 percent.
Together with our new Norwegian subsidiary Tranberg AS, R. STAHL expanded its business activity in the vigorously growing nautical outfitter market in fiscal 2007. The integration of this new subsidiary made great progress last year. For instance, our joint marketing and distribution activities made a big splash on the Asian market. Our sales share from marine business thus grew from 8 to 11 percent year-on-year overall.
We have also made good progress in expanding our systems business in 2007. We have substantially built up capacities at our main factory in Waldenburg and optimised our processes to handle the continuously growing order intake volume.
Significant improvement in operating profitability
Our pre-tax earnings (EBT) advanced to EUR 24.6 million (previous year: EUR 16.5 million). This figure includes EUR 1.5 million divestment income from the sale of our IT activities at the beginning of fiscal 2007. The operating EBT margin adjusted for this one-off effect came to 10.9 percent and was thus well ahead of our guidance range of 8 to 10 percent. The EBT margin got an extra boost from the fact that personnel expense grew disproportionately less than sales. In this respect we benefited from investing into our manufacturing processes and efficiency enhancement programmes as well as from our production activities in India.
Solid financial ratios form the foundation for our future growth
Our equity ratio improved to 41.8% as of 31 December 2007 (previous year: 39.4%). Liquid assets amounted to EUR 29.7 million as of year's end. This puts R. STAHL Technologies on a solid financial footing for future organic and external growth.
Outlook
R. STAHL had a good start into fiscal 2008. Management is expecting demand from main customer sectors to hold at the present strong level in the current year. The oil and natural gas sector in particular should retain its current strong business momentum. Other key sales sectors like the chemical, pharmaceutical, and marine industries do not seem vulnerable to economic downturn on an international scale. We expect lively capital spending activity in these sectors especially in Asia. Management sees rather little sales risk for R. STAHL Technologies from the current US financial crisis since our US market share is still relatively low. Moreover, management assumes that our investment into the North American market will help R. STAHL grow there notwithstanding the problems in the local economy in general. Further impetus is to stem from the continuing implementation of our growth strategy and the new products launched in 2007. Overall, management is optimistic for R. STAHL's development in 2008 and expects to stay its growth course.
R. STAHL will present the final figures for fiscal 2007 and a brief outlook for 2008 at its financial press conference and subsequent analyst conference on 25 April 2008.
R. STAHL key data
In EUR m | 2007 | 2006 | Change |
Sales revenues | 211.6 | 167.1 | + 27% |
Order intake | 220.1 | 172.1 | + 28% |
Earnings before taxes (EBT) | 24.6 * | 16.5 | + 49% |
EBT net of IT divestment | 23.1 | 16.5 | + 40% |
* Including EUR 1.5 million in income from the divestment of IT activities
Contact:
R. STAHL AG
Communication / Investor Relations
Judith Schäuble
Am Bahnhof 30, D-74638 Waldenburg, Germany
Phone: +49 (7942) 943-1217, Fax: +49 (7942) 943-40 1217
e-mail: judith.schaeuble@stahl.de