EANS-News: ANDRITZ GROUP: Results for Q3 Q1-Q3 2019
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Quarterly Report
Graz -
NOVEMBER 6, 2019. International technology Group ANDRITZ achieved a considerable
increase both in order intake and in sales in the third quarter of 2019 compared
to the figures for the previous year's reference period. The order backlog
reached a new record high. As expected, earnings (EBITA) were significantly
below the level of the previous year's reference period due to the measures
announced at the end of July for restructuring of the Metals Forming sector.
Excluding this extraordinary effect, profitability (EBITA margin) remained at
the same solid level as in the previous year's reference period.
The Group's financial key figures:
* In the third quarter of 2019, order intake at 2,093.9 MEUR was 42.6% higher
than the figure for the previous year's reference period (Q3 2018: 1,468.7
MEUR), thus continuing the favorable development of the preceding quarters (Q1
2019: 1,658.1 MEUR; Q2 2019: 2,047.1 MEUR). This is attributable predominantly
to the Pulp & Paper business area, which was able to more than double its
order intake compared to the previous year due to a large-scale order to
deliver pulp production technologies. Order intake in the other business areas
was approximately the same as or just below the level of the previous year's
reference period, thus reflecting the moderate general economic situation. As
a result, order intake in the first three quarters of 2019 developed very
favorably, rising to 5,799.1 MEUR (+22.4% compared to Q1-Q3 2018: 4,738.0
MEUR).
* The order backlog as of September 30, 2019 amounted to 8,120.7 MEUR, thus
reaching its highest level in the company's history (+14.6% compared to the
end of 2018: 7,084.3 MEUR).
* Sales rose significantly by 17.6% to 1,690.2 MEUR (Q3 2018: 1,437.7 MEUR) in
the third quarter of 2019. The Pulp & Paper business area made a substantial
contribution towards this, recording a significant increase in sales due to
the favorable development of order intake in the preceding quarters. Sales in
the first three quarters of 2019, at 4,752.6 MEUR, were also considerably
higher than the previous year's reference figure (+13.1% versus Q1-Q3 2018:
4,200.8 MEUR).
* As expected, the EBITA for the third quarter, at 6.4 MEUR, was significantly
lower than the figure for the previous year's reference period (85.9 MEUR).
This is due to restructuring measures in the Metals Forming (Schuler) sector
resulting from the weak international automotive market as well as measures
for smaller capacity adjustments in the other business areas. Excluding these
extraordinary effects of around 95 MEUR, the EBITA in the third quarter was
101.7 MEUR, and profitability (EBITA margin) at 6.0% reached the same level as
in the previous year's reference period (Q3 2018: 6.0%). The EBITA in the
first three quarters of 2019 amounted to 183.9 MEUR (-27.1% compared to Q1-Q3
2018: 252.2 MEUR).
* As also announced at the end of July 2019, impairment of goodwill was made in
the amount of approximately 25 MEUR during the reporting quarter.
* The net income (without non-controlling interests) fell to -31.0 MEUR (Q3
2018: 56.4 MEUR) in the third quarter of 2019 due to the extraordinary
measures, goodwill impairment and the significantly lower financial result in
the third quarter of 2019. In the first three quarters of 2019, the net income
(without non-controlling interests) amounted to 46.5 MEUR
(Q1-Q3 2018: 157.0 MEUR).
OUTLOOK
Regarding expectations for the 2019 business year as a whole, ANDRITZ confirms
its guidance and expects a significant increase in sales compared to the
previous year. In terms of profitability, ANDRITZ expects an unchanged operative
EBITA margin before extraordinary effects of approximately 6.9% (EBITA margin
2018 before extraordinary effects: 6.9%).
Wolfgang Leitner, President and CEO of ANDRITZ AG. "In view of the weak global
economy, the record order backlog of more than 8.1 billion euros provides a good
basis for sales development in the coming year. Our main goals for 2020 are to
process the high order backlog on schedule although it is distributed very
unevenly over the business areas, implement the adjustment measures announced in
the Metals Forming sector, and further optimize our cost structures in order to
enhance our competitiveness."
KEY FINANCIAL FIGURES AT A GLANCE
Unit Q1-Q3 2019 Q1-Q3 2018 +/- Q3 Q3 +/- 2018
2019 2018
Sales MEUR 4,752.6 4,200.8 +13.1% 1,690.2 1,437.7 +17.6% 6,031.5
- Hydro MEUR 1,026.8 1,085.8 -5.4% 351.2 361.5 -2.8% 1,517.5
- Pulp & MEUR 2,060.9 1,523.2 +35.3% 750.6 513.7 +46.1% 2,233.2
Paper
- Metals MEUR 1,181.4 1,142.7 +3.4% 422.7 400.3 +5.6% 1,635.1
- Separation MEUR 483.5 449.1 +7.7% 165.7 162.2 +2.2% 645.7
Order intake MEUR 5,799.1 4,738.0 +22.4% 2,093.9 1,468.7 +42.6% 6,646.2
- Hydro MEUR 944.8 1,056.2 -10.5% 343.0 303.1 +13.2% 1,445.8
- Pulp & MEUR 3,089.0 1,726.4 +78.9% 1,163.3 545.5 +113.3% 2,571.9
Paper
- Metals MEUR 1,238.8 1,403.3 -11.7% 429.0 456.6 -6.0% 1,931.8
- Separation MEUR 526.5 552.1 -4.6% 158.6 163.5 -3.0% 696.7
Order backlog
(as of end of MEUR 8,120.7 6,882.8 +18.0% 8,120.7 6,882.8 +18.0% 7,084.3
period)
EBITDA MEUR 329.9 321.2 +2.7% 67.2 109.5 -38.6% 498.0
EBITDA margin % 6.9 7.6 - 4.0 7.6 - 8.3
EBITA MEUR 183.9 252.2 -27.1% 6.4 85.9 -92.5% 394.3
EBITA margin % 3.9 6.0 - 0.4 6.0 - 6.5
Earnings
Before MEUR 93.8 229.3 -59.1% -35.1 76.4 -145.9% 321.6
Interest and
Taxes (EBIT)
Financial MEUR -35.7 -5.8 -515.5% -14.9 4.2 -454.8% -17.4
result
Earnings
Before Taxes MEUR 58.1 223.5 -74.0% -50.0 80.6 -162.0% 304.2
(EBT)
Net income
(without non- MEUR 46.5 157.0 -70.4% -31.0 56.4 -155.0% 222.0
controlling
interests)
Cash flow
from MEUR 439.2 -85.0 +616.7% 167.3 16.2 +932.7% 7.8
operating
activities
Capital MEUR 96.9 69.3 +39.8% 34.9 22.1 +57.9% 137.0
expenditure
Employees (as
of end of
period; - 29,690 26,397 +12.5% 29,690 26,397 +12.5% 29,096
without
apprentices)
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. EUR = euros.
- End -
ANDRITZ GROUP
ANDRITZ is an international technology group providing plants, systems,
equipment, and services for various industries. The company is one of the
technology and global market leaders in the hydropower business, the pulp and
paper industry, the metal working and steel industries, and in solid/liquid
separation in the municipal and industrial segments. Other important fields of
business are animal feed and biomass pelleting, as well as automation, where
ANDRITZ offers a wide range of innovative products and services in the IIoT
(Industrial Internet of Things) sector under the brand name of Metris. In
addition, the company is active in power generation (steam boiler plants,
biomass power plants, recovery boilers, and gasification plants) and
environmental technology (flue gas and exhaust gas cleaning plants) and offers
equipment for the production of nonwovens, dissolving pulp, and panelboard, as
well as recycling plants.
ANDRITZ stands for passion, partnership, perspectives and versatility - core
values to which the company is committed. The listed Group is headquartered in
Graz, Austria. With almost 170 years of experience, 29,700 employees, and more
than 280 locations in over 40 countries worldwide, ANDRITZ is a reliable and
competent partner and helps its customers to achieve their corporate and
sustainability goals.
Annual and financial reports
Annual and Financial reports are available for download at the ANDRITZ web site
andritz.com [http://www.andritz.com/], and printed editions can be requested
free of charge by e-mail to investors@andritz.com [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:
Dr. Michael Buchbauer
Head of Group Finance, Corporate Communications & Investor Relations
Tel.: +43 316 6902 2979
Fax: +43 316 6902 465
mailto:michael.buchbauer@andritz.com
end of announcement euro adhoc
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issuer: 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
ISIN: AT0000730007
indexes: WBI, ATX
stockmarkets: Wien
language: English