GESCO stays on track in the nine month period
Wuppertal (euro adhoc) -
- Significant growth in the nine month period - Third quarter shows slowdown in incoming orders - Full year guidance confirmed - Mayrose emphasises financial strength and sees better chances of acquisitions
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Wuppertal, 12 February 2009 - The SDAX listed investment company GESCO AG can look back at a successful nine month period (1 Apr. 2008 to 31 Dec. 2008) of the financial year 2008/2009 (1 Apr. 2008 to 31 Mar. 2009). After an extremely strong first six months, the third quarter returned mixed results: while sales remained at record levels, incoming orders started to show signs of a slowdown. On the whole, the company confirmed its targets for the full year.
In the first nine months, incoming orders at GESCO Group increased by 7% compared to the same period in the previous year, up from EUR 286 million to EUR 306 million. Sales rose by 17 % to EUR 293 million (previous year´s period EUR 251 million).
Earnings before interest, taxes, depreciation and amortisation (EBITDA) experienced slightly stronger growth than sales increasing by 18 % to EUR 40 million (EUR 34 million). Earnings before interest and taxes (EBIT) recorded an even stronger increase of 21 % and amounted to EUR 33 million (EUR 27 million). The financial result showed little change coming in at EUR -2.8 million. Group net income after minority interest went up by 33 % and totalled EUR 18 million (EUR 14 million). The reduced Group tax rate also contributed to this strong above average growth. Earnings per share amounted to EUR 6.07 compared to EUR 4.57 in the previous year´s period.
The Group´s workforce increased by 4 % compared to the previous year´s reporting date and amounted to 1,780 employees (1,710).
At the accounts press conference on 26 June 2008 the company forecast Group sales of around EUR 370 million and Group net income after minority interest of about EUR 21.5 million as well as earnings per share of EUR 7.11. This guidance already factored in a degree of deterioration in economic momentum in the second half of the year, which did materialise. At the end of the nine month period we are confirming our guidance.
GESCO Executive Board member Dr. Hans-Gert Mayrose: "Given the financial crisis and the recession, investors and analysts are increasingly focusing on the health of balance sheets. GESCO Group has extremely healthy structures: The balance sheet is showing low goodwill, a low debt ratio, sound equity levels and liquid assets of around EUR 33 million. As a result, we are facing the recession from a position of financial strength and are also in the position to expand our portfolio through acquisitions. The opportunities to make acquisitions have improved considerably in the last few months. We believe there are good chances of us making one or more acquisitions in 2009."
Full quarterly report at www.gesco.de
About GESCO AG GESCO AG is the parent company of a group of highly profitable, small and medium-sized companies in the field of industrial Base Technologies. GESCO acquires successful niche providers, generally as part of succession arrangements, in order to retain and further develop these long term. As an SDAX listed company GESCO AG offers private and institutional investors access to SMEs.
Investor / Public Relations: Oliver Vollbrecht Phone +49 202 24820-18 Fax +49 202 24820-49 E-mail: info@gesco.de Internet: www.gesco.de
end of announcement euro adhoc
Further inquiry note:
Oliver Vollbrecht
Leiter Investor Relations
T.: +49(0)202 24820 18
info@gesco.de
Branche: Economy, Business & Finance
ISIN: DE0005875900
WKN: 587590
Index: SDAX, Classic All Share, Prime All Share
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