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Andritz AG

EANS-News: ANDRITZ: results for the third quarter of 2013

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  Corporate news transmitted by euro adhoc. The issuer/originator is solely
  responsible for the content of this announcement.
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Subtitle: - Order intake and sales significantly increased due to Schuler
- Sharp drop in earnings due to financial provisions in the PULP & PAPER
business area

quarterly report

Graz (euro adhoc) - Graz, November 6, 2013.  Due to consolidation of the Schuler
Group acquired in February of this year, international technology Group ANDRITZ
saw solid development in sales and order intake in a challenging economic
environment in the third quarter of 2013. However, the EBITA declined
substantially, mainly as a result of financial provisions in the PULP & PAPER
business area.

- In the third quarter of 2013, sales of the ANDRITZ GROUP amounted to 1,534.5 
  MEUR, which is an increase of 21.3% compared to last year's reference period 
  (Q3 2012: 1,265.5 MEUR); this increase is due to consolidation of the Schuler 
  Group. In the first three quarters of 2013, sales of the Group amounted to 
  4,144.6 MEUR, thus rising by 11.9% compared to the previous year's reference 
  period (Q1-Q3 2012: 3,703.3 MEUR).

- The order intake also saw satisfactory development. Due to an increase in the 
  PULP & PAPER business area (+11.1%) and consolidation of the Schuler Group, 
  the order intake of the Group in the third quarter of 2013, at 1,525.3 MEUR, 
  rose by 23.1% compared to last year's reference period (Q3 2012: 1,238.8 
  MEUR). In the first three quarters of 2013, the order intake reached 4,051.3 
  MEUR (+6.8% versus Q1-Q3 2012: 3,793.2 MEUR).

- As of September 30, 2013, the order backlog, at 7,464.5 MEUR, rose by 12.8% 
  compared to the end of last year (December 31, 2012: 6,614.8 MEUR); this 
  increase is due to the consolidation of Schuler.

- Earnings (EBITA) of the Group amounted to 70.1 MEUR in the third quarter of 
  2013, thus declining by 19.0% compared to last year's reference period 
  (Q3 2012: 86.5 MEUR). The profitability (EBITA margin) amounted to 4.6% 
  (Q3 2012: 6.8%). This significant decline is mainly due to decreasing earnings
  in the PULP & PAPER business area (additional provisions due to cost overruns 
  in connection with supplies for a pulp mill in South America) and the 
  SEPARATION business area (additional costs related to the market launch of a 
  new product series in China). Earnings of the other business areas saw 
  satisfactory development. Thus, the Group's EBITA in the first three quarters 
  of 2013 amounted to 167.0 MEUR (-31.0% versus Q1-Q3 2012: 242.1 MEUR) and the 
  EBITA margin to 4.0% (Q1-Q3 2012: 6.5%).

- Net income amounted to 31.9 MEUR in the third quarter of 2013 (-45.5% versus 
  Q3 2012: 58.5 MEUR) and to 78.8 MEUR in the first three quarters of 2013 
  (-52.9% versus Q1-Q3 2012: 167.2 MEUR).

- The net worth position and capital structure as of September 30, 2013 remained
  solid. Due to the acquisition of Schuler, the net liquidity, at 782.3 MEUR, 
  was substantially below the value as of December 31, 2012 (1,285.7 MEUR).

On the basis of these expectations, the order backlog, and consolidation of the 
Schuler Group as of March 1, 2013, the ANDRITZ GROUP expects a rise in sales in 
the 2013 business year compared to the previous year. However, due to the sharp 
earnings decline in the PULP & PAPER and SEPARATION business areas, as well as 
scheduled amortization of intangible assets related to the acquisition of 
Schuler and provisions in connection with structural improvement measures 
planned at Schuler, net income will be significantly lower than last year's 
reference figure.

- End -

Key figures of the ANDRITZ GROUP at a glance*


(in MEUR)         Q1-Q3 2013   Q1-Q3 2012   +/-      Q3 2013   Q3 2012   +/-
Sales             4,144.6      3,703.3      +11.9%   1,534.5   1,265.5   +21.3%
 HYDRO            1,301.5      1,245.7      +4.5%      450.9     438.7   +2.8%
 PULP & PAPER     1,456.7      1,724.8      -15.5%     524.5     561.1   -6.5%
 METALS             962.9        294.4      +227.1%    413.7     117.7   +251.5%
 SEPARATION         423.5        438.5      -3.4%      145.4     148.1   -1.8%

Order intake      4,051.3      3,793.2      +6.8%    1,525.3   1,238.8   +23.1%
 HYDRO            1,221.6      1,504.6      -18.8%     367.3     391.4   -6.2%
 PULP & PAPER     1,417.3      1,523.3      -7.0%      602.3     542.1   +11.1%
 METALS             958.3        270.8      +253.9%    423.8     159.5   +165.7%
 SEPARATION         454.1        494.5      -8.2%      131.9     145.8   -9.5%

Order backlog (as
of end of per.)   7,464.5      6,929.8      +7.7%    7,464.5   6,929.8   +7.7%

EBITDA              229.3        286.1      -19.9%      93.3     101.4   -8.0%
EBITDA margin         5.5%         7.7%        -         6.1%      8.0%    -

EBITA               167.0        242.1      -31.0%      70.1      86.5   -19.0%
EBITA margin          4.0%         6.5%        -         4.6%      6.8%     -

Earnings Before
Interest and Taxes
(EBIT)              116.2        224.0      -48.1%      50.3      80.9   -37.8%

Financial result     -5.4          7.0      -177.1%     -2.3       0.3   -866.7%

Earnings Before
Taxes (EBT)         110.8        231.0      -52.0%      48.0      81.2   -40.9%

Net income
(without non-
controlling 
interests)           78.8        167.2      -52.9%      31.9      58.5   -45.5%

Cash flow
from operating 
activities          -81.1        221.8      -136.6%      5.4     106.7   -94.9%

Capital 
expenditure          65.5         52.3      +25.2%      21.1      17.8   +18.5%

Employees
(as of end of 
period without 
apprentices)       23,939       17,686      +35.4%    23,939    17,686   +35.4%


* The Schuler Group was consolidated into the consolidated financial statements 
of the ANDRITZ GROUP as of March 1, 2013; no pro forma figures are available for
the reference periods of last year.

All figures according to IFRS. Due to the utilization of automatic calculation 
programs, differences can arise in the addition of rounded totals and 
percentages. MEUR = million euros.

Press release for download 
This press release is available for download at the ANDRITZ web site:
www.andritz.com/news

The ANDRITZ GROUP
The ANDRITZ GROUP is a globally leading supplier of plants, equipment, and
services for hydropower stations, the pulp and paper industry, the metalworking
and steel industries, and solid/liquid separation in the municipal and 
industrial sectors. In addition, ANDRITZ offers technologies for certain other
sectors including automation, the 
production of animal feed and biomass pellets, pumps, machinery for nonwovens
and plastic films, steam boiler plants, biomass boilers and gasification plants
for energy generation, flue gas cleaning plants, plants for the production of
panelboards (MDF), thermal sludge utilization, and biomass torrefaction plants.
The publicly listed, international technology Group is headquartered in Graz,
Austria, and has a staff of around 23,900 employees. ANDRITZ operates over 220
production sites as well as service and sales companies all around the world.

Annual and financial reports
The annual reports and financial reports of the ANDRITZ GROUP are available as
PDF for download at www.andritz.com. Printed copies can be requested by e-mail
to  investors@andritz.com.

Disclaimer
Certain statements contained in this press release constitute "forward-looking
statements". These statements, which contain the words "believe", "intend",
"expect", and words of a similar meaning, reflect the Executive Board's beliefs
and expectations and are subject to risks and uncertainties that may cause
actual results to differ materially. As a result, readers are cautioned not to
place undue reliance on such forward-looking statements. The company 
disclaims any obligation to publicly announce the result of any revisions to the
forward-looking statements made herein, except where it would be required to do
so under applicable law.


Further inquiry note:
Oliver Pokorny
Group Treasury, Corporate Communications & Investor Relations
Tel.: +43 316 6902 1332
Fax: +43 316 6902 465
mailto:oliver.pokorny@andritz.com

end of announcement                               euro adhoc 
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company:     Andritz AG
             Stattegger Straße 18
             A-8045 Graz
phone:       +43 (0)316 6902-0
FAX:         +43 (0)316 6902-415
mail:         welcome@andritz.com
WWW:      www.andritz.com
sector:      Machine Manufacturing
ISIN:        AT0000730007
indexes:     WBI, ATX Prime, ATX, ATX five
stockmarkets: official market: Wien 
language:   English

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