EANS-News: voestalpine AG /voestalpine with solid development in the first nine
months of Business Year 2016/17
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9-month report
In a macroeconomic environment, which is characterized by moderate economic
growth but political turbulences (Brexit, Trump, Turkey,...), voestalpine was
able to continue its solid development.
In particular the automotive industry, as well as the whole consumer goods
sector and the aviation industry continued to be the drivers of the positive
economic trend. The development of the mechanical engineering segment and the
building industry showed a positive progression as well, the railway
infrastructure business on the other hand weakened somewhat over the course of
the year. The downward trend of the oil- and gas-industry bottomed out in the
third quarter of the business year 2016/17, in some areas first improvements
from the demand side are becoming visible already.
The comparison of the financial key figures on an annual basis is distorted
because of non-recurring items positively influencing the figures of last year's
comparative period after changes of consolidations in the Metal Engineering
Division (non-recurring positive effects on EBITDA resp. EBIT in the first nine
months of the Business Year 2015/16: EUR 137.6 million respectively EUR 119.0
million). Excluding those non-recurring items, the 12-months comparison of the
clean EBITDA shows a virtually stable development, although revenues declined
slightly (-3.3%). The decline from last year's EUR 1,069.7 million to today's
EUR 1,061.1 million stands for a decrease of 0.8%. Because of increased
depreciation, EBIT decreased comparatively stronger by 8.5% to EUR 556.1
million. (Comparable period of last business year: EUR 608.0 million).
Responsible for this development are in particular the divisions Special Steel
and Metal Forming, which were able to increase their earnings significantly, the
latter one in a combination with rising revenues, a result of the successful
implementation of the globalization strategy in the automotive segment. The
Special Steel Division increased the earnings considerably despite lower
revenues, a function of higher production- as well as sales-volumes and internal
cost cutting and efficiency improvement measures. Also the Steel Division
achieved a slightly improved EBITDA despite declining revenues. Because of the
ramp up of the DRI-plant in Texas, USA, the depreciation went up in the third
quarter of the Business Year 2016/17 and consequently the EBIT decreased in the
annual comparison. The Metal Engineering Division was affected most from the
downturn of the oil- and gas-industry and had to face declining revenues as well
as earnings.
For the fourth quarter of the business year we expect a significant growth in
earnings compared to the third quarter, as a result of stabilizing raw materials
prices (at least temporarily), as well as slow but continual improvements in the
oil and gas sector, and increased steel-contract-prices becoming effective at
the beginning of 2017.
In view of the above, the outlook for the business year 2016/17 as a whole
continues to remain in line with the expectations expressed at the end of the
first half of Business Year 2016/17 (September 30, 2016): The goal is still an
(adjusted) operating result (EBITDA) at the level of the previous year (EUR 1.45
billion), and an (adjusted) profit from operations (EBIT) close to the level of
the past business year (EUR 814 million).
Key figures of voestalpine Group
_______________________________________________________________________
|(acc._IFRS;_in_EURm)______|Q1-Q3_2015/16_____|Q1-Q3_2016/17_____|Change|
|__________________________|04/01_-_12/31/2015|04/01_-_12/31/2016|in_%__|
|Revenue___________________|8,380.4___________|8,101.2___________|-3.3__|
|EBITDA____________________|1,207.3___________|1,061.1___________|-12.1_|
|EBITDA_margin_in_%________|14.4______________|13.1______________|______|
|EBIT______________________|727.0_____________|545.0_____________|-25.0_|
|EBIT_margin_in_%__________|8.7_______________|6.7_______________|______|
|Profit_before_tax_________|628.5_____________|461.4_____________|-26.6_|
|Profit_for_the_period*____|508.5_____________|343.9_____________|-32.4_|
|EPS_(in_EUR)______________|2.74______________|1.86______________|-32.1_|
|Gearing_ratio_in_%_(12/31)|57.0______________|61.2______________|______|
* Before deduction of non-controlling interests and interest on hybrid capital.
Figures adjusted by special items from changes of consolidation:
_____________________________________________________________________
|(acc. IFRS; in EURm) |ADJUSTED |ADJUSTED |ADJUSTED|
|______________________|Q1-Q3__2015/16____|Q1-Q3_2016/17_____|Change__|
|______________________|04/01_-_12/31/2015|04/01_-_12/31/2016|in_%____|
|EBITDA________________|1,069.7___________|1,061.1___________|-0.8____|
|EBITDA_margin_in_%____|12.8______________|13.1______________|________|
|EBIT__________________|608.0_____________|556.1_____________|-8.5____|
|EBIT_margin_in_%______|7.3_______________|6.9_______________|________|
|Profit_before_tax_____|509.4_____________|472.4_____________|-7.3____|
|Profit_for_the_period*|382.7_____________|352.2_____________|-8.0____|
|EPS_(in_EUR)__________|1.94______________|1.88______________|-3.1____|
* Before deduction of non-controlling interests and interest on hybrid capital.
Further details on the 3rd quarter results 2016/17 are available on our homepage
www.voestalpine.com or feel free to contact our Investor Relations team +43/
50304/15-9949.
Further inquiry note:
DI Peter Fleischer
Head of Investor Relations
Tel.: +43/50304/15-9949
Fax: +43/50304/55-5581
mailto:peter.fleischer@voestalpine.com
http://www.voestalpine.com
end of announcement euro adhoc
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company: voestalpine AG
voestalpine-Straße 1
A-4020 Linz
phone: +43 50304/15-9949
FAX: +43 50304/55-5581
mail: IR@voestalpine.com
WWW: www.voestalpine.com
sector: Metal Goods & Engineering
ISIN: AT0000937503
indexes: WBI, ATX Prime, ATX
stockmarkets: official market: Wien
language: English