HOMAG Group’s operations in 2011 a success
Group’s sales revenue increased by 11 percent | Operating result improved by 8 percent | Restructuring expenses and other effects lead to net loss for the year
The operations of HOMAG Group AG, the world’s leading manufacturer of plant and machinery for the woodworking industry and cabinet makers, were a success in 2011, and developed better than forecast, based on preliminary figures.
“We were proactive in 2011 and were able to raise our sales revenue in all four quarters, despite the uncertainty in financial markets,” CEO Dr. Markus Flik emphasizes. “We took on the challenges and, thanks to a good fourth quarter and our increased productivity, we were even able to exceed our forecast sales revenue and operating result.”
According to the preliminary figures, order intake in the Group increased by about 6 percent, reaching EUR 574.8 million (prior year: EUR 541.0 million). Sales revenue rose by just over 11 percent to EUR 798.7 million (prior year: EUR 717.7 million). The increased productivity is reflected in the operative EBITDA (before employee participation expenses and before extraordinary expenses), which rose by just over 8 percent to EUR 70.5 million (prior year: EUR 65.1 million) in the HOMAG Group based on the preliminary figures for 2011.
In the fiscal year 2011, restructuring expenses of EUR 18.9 million were incurred owing to the measures taken at the subsidiaries BÜTFERING, FRIZ and TORWEGGE. In the course of this restructuring, which is progressing as planned, the production locations in Germany are to be reduced from eleven to eight. “We are confident that this will make the HOMAG Group more competitive and that we have thus laid the foundation for a successful future,” says Dr. Flik.
The restructuring, combined with other factors, leads to an extraordinarily high tax expense rate of 151.7 percent (prior year: 43.9 percent). This results in a net loss after non-controlling interests of EUR 4.7 million (prior year: net profit of EUR 6.7 million).
The results of the fiscal year 2011 of HOMAG Group AG will be published in greater detail and a forecast for 2012 presented at the press briefing on the annual results scheduled for March 30, 2012 in Stuttgart.
This press release contains certain statements relating to the future. Future-oriented statements are all those statements that do not pertain to historical facts and events or expressions pertaining to the future such as “believes”, “estimates”, “assumes”, “forecasts”, “intend”, “may”, “will”, “should” or similar expressions. Such future-oriented statements are subject to risks and uncertainty since they relate to future events and are based on current assumptions of the Company, which may not occur in the future or may not occur in the anticipated form. The Company points out that such future-oriented statements do not guarantee the future; actual results including the financial position and the profitability of the HOMAG Group as well as the development of economic and regulatory framework conditions may deviate significantly (and prove unfavorable) from what is expressly or implicitly assumed or described in these statements. Even if the actual results of the HOMAG Group including the financial position and profitability as well as the economic and regulatory framework conditions should coincide with the future-oriented statements in this announcement, it cannot be guaranteed that the same will hold true in the future.