EANS-Adhoc: Westag & Getalit AG
All three Divisions report growing sales;
Earnings growth affected by sharp rise in commodity prices
ad-hoc disclosure pursuant to section 15 of the WpHG transmitted by euro adhoc with the aim of a Europe-wide distribution. The issuer is solely responsible for the content of this announcement.
quarterly report
27.10.2010
Following a difficult start to the year, which reflected the prevailing weather conditions, Westag & Getalit AG recorded a gradual increase in sales revenues. At the nine-month stage, sales amounted to EUR 161.2 million, up by a gratifying 7.4% on the previous year´s EUR 150.1 million. All Divisions reported growing sales. Export revenues increased at a slightly disproportionate rate of 10.2% to EUR 32.2 million in spite of difficult market conditions in European markets outside Germany. The export share stood at 20.0% at the nine month stage (previous year: 19.5%).
At EUR 9.2 million, earnings before income tax were up by 4.6% on the same period of the previous year (EUR 8.8 million). The increased sales revenues had a positive impact. However, earnings were adversely affected by much higher commodity prices, especially in the third quarter. The prices of oil-based chemicals and wood materials increased particularly strongly. Net profit per share amounted to EUR 1.13 (previous year: EUR 1.08).
Sentiment in the German economy improved again in the third quarter of 2010. In the meantime, an upswing is expected by many. But the positive trend is largely confined to the German market, whereas many neighbouring European countries are still clearly feeling the crisis. In view of the good performance in the past months, we are confident that our company will report increased sales also for the full year. In Germany, both the pick-up in public spending in the context of the 2nd economic stimulus package and growing demand in the private sector are making themselves felt. In spite of moderate conditions in many markets, we are growing in the export sector thanks to selected activities in some foreign markets. Earnings growth is more difficult, though. The purchase prices of raw materials have risen continuously since the beginning of the year and no definite end to this trend is in sight. The necessary price increases on our part can be imposed only with a certain delay. In view of our strong market position, our broad product portfolio and our cost structure, we nevertheless assume that we will be able to again report a good result for the full year.
end of announcement euro adhoc
Further inquiry note:
Felix Huisgen
Tel.: +49 (0)5242 17 5350
E-Mail: huisgen@westag-getalit.de
Branche: Building materials
ISIN: DE0007775207
WKN: 777520
Index: Prime All Share
Börsen: Frankfurt / regulated dealing/prime standard
Berlin / free trade
Stuttgart / free trade
Düsseldorf / regulated dealing