euro adhoc: HTI - High Tech Industries AG
Financial Figures/Balance Sheet /
HTI: RESTRUCTURING PACKAGE AS A TAILORED RESPONSE TO MARKET CONDITIONS TO
CUSHION EARNINGS
Disclosure announcement transmitted by euro adhoc. The issuer is responsible for the content of this announcement.
28.11.2008
HTI: RESTRUCTURING PACKAGE AS A TAILORED RESPONSE TO MARKET CONDITIONS TO CUSHION EARNINGS
St. Marien, Austria, November 28, 2008. The HTI Group is implementing a comprehensive restructuring package designed as a response to the massive changes in prevailing market conditions and the unfavorable effects on earnings, as well as to strengthen the company´s competitiveness. The redimensioning drive encompasses the relocation of production to improve the cost structure and the exploitation of synergies among the various production subsidiaries. The specific restructuring measures which are in their final stage of completion will directly impact the production locations of the HTI Group operating in the automotive component supplier and plastics processing industries, entailing a reduction of the work force by 470 employees in Germany, Austria and Slovakia.
The sales market for automotive products has shrunk considerably in recent weeks as a consequence of the global financial crisis, a development which has had a negative impact on the Plastics Processing and Metals Processing segments of the HTI Group. The difficult business conditions at present have confirmed the effectiveness of HTI´s business model, which succeeded in reducing the share of automotive industry related sales to 45% of total HTI Group sales in the first three quarters of 2008, down from 80% in the comparable period of the previous year.
In the first nine months of the 2008 business year, the HTI Group generated total sales of TEUR 156,025, up from TEUR 113,551 in Q1-3 2007. Due to the acquisition-related extension of the scope of consolidation encompassing the new subsidiaries HTP Skinline, Theysohn, Technoplast and Hitzinger, a comparison with the previous year´s figures only has limited validity. The business development of the Mechanical Engineering segment was positive, whereas the operations of the Plastics Processing and the Metals Processing segments for the automobile component supplier industry developed unfavorably as a result of the necessary capacity adjustment measures. In the third quarter of 2008, total sales of the HTI Group climbed 45.2% year-on-year to TEUR 56,247, up from TEUR 38,746.
EBITDA declined to TEUR 8,240 in the first three quarters of 2008, down from TEUR 12,119 in the comparable period of 2007. Earnings before interest and tax (EBIT) of the HTI Group also decreased to TEUR - 1,096 from TEUR 4,980 in the first nine months of the preceding year, which represents an EBIT margin of -0.7% (Q1-3 2007: 4.4%). Consolidated earnings before tax (EBT) amounted to TEUR -6,199 in the period January-September 2008 (Q1-3 2007: TEUR 2,174). The earnings deterioration is primarily related to one-off costs for the implementation of the restructuring measures.
The expansion of the HTI Group is also reflected in the financial result, which totaled TEUR -5,103 as a consequence of financing acquisitions, compared to TEUR -2,805 in the previous year. The consolidated net profit for the period also developed unfavorably in the first nine months of 2008, amounting to TEUR -13,324 (Q1-3 2007: TEUR 2,243), or an earnings per share of EUR -0.91 (Q1-3 2007: EUR 0.17).
In the light of the difficult market conditions, an improvement in earnings is not to be expected in the fourth quarter of 2008, especially as the implementation of the restructuring package will first be completed by the end of 2008. Total sales of the HTI Group will remain at a level of EUR 200 million, as originally forecast.
Based on the full-year consolidation of the acquired subsidiaries, total sales in 2009 are expected to reach a level of about EUR 250 million, a forecast which takes the changed sales situation in 2009 into account. Completion of the restructuring program will significantly strengthen the competitiveness of the HTI Group. Accordingly, based on current market forecasts, we anticipate an improved earnings situation for 2009 compared to 2008. Financing is secured until the end of 2009, as core shareholders and financing partners continue to support HTI´s business model.
Key HTI Group figures (IFRS) 1.1.-30.9.2008 1.1.-30.9.2007
Total sales TEUR 156,025 113,551
Plastics Processing TEUR 56,120 56,295
Metals Processing TEUR 47,883 44,644
Mechanical Engineering TEUR 52,378 12,612
EBITDA TEUR 8,240 12,119
EBIT TEUR -1,096 4,980
EBT TEUR -6,199 2,174
Consolidated net profit
for the period TEUR -13,324 2,243
EBITDA margin % 5.3 10.7
EBIT margin % -0.7 4.4
EBT margin % -4.0 1.9
Consolidated earnings margin % -8.5 2.0
Earnings per share EUR -0.91 0.17Total assets TEUR 306,704 195,398 Equityl TEUR 39,565 42,957 Equity ratio % 13 22 Gearing % 361 134 Capital expenditure TEUR 17,467 11,631 Depreciation and amortization TEUR 9,336 7,139 Gross cash flow TEUR -8,705 9,651 Net cash flow from operating activities TEUR -13,869 7,089
Average number of employees Number 1,647 1,088 Sales/employee TEUR 95 104
end of announcement euro adhoc
Further inquiry note:
HTI High Tech Industries AG HTI High Tech Industries AG
Peter Glatzmeier Nadja Goyer
Chairman of the Management Board Investor Relations
Tel: +43 (0) 3862 304 - 8590 Tel: +43 (0) 3862 304 - 8562
Fax: +43 (0) 3862 304 - 7598 Fax: +43 (0) 3862 304 - 7598
p.glatzmeier@hti-ag.at n.goyer@hti-ag.at
Branche: Holding companies
ISIN: AT0000764626
WKN: A0DQ9W
Index: WBI
Börsen: Wiener Börse AG / official market