euro adhoc: CHRIST WATER TECHNOLOGY AG
Financial Figures/Balance Sheet
2005
financial year provides turnaround, company bond should consolidate financing
structure
Disclosure announcement transmitted by euro adhoc. The issuer is responsible for the content of this announcement.
05.04.2006
The final annual results confirm the positive trend in 2005. At EUR241.7 million, the record level of incoming orders exceeded the previous years figure by 25.8%. The order book as of December 31, 2005 amounted to EUR146.5 million, two thirds more than at the end of the previous year.
In the 2005 financial year, the CHRIST Group generated consolidated Group sales of EUR183.0 million (PY: EUR178.4 million). In an analysis of the 2.6% increase, it should be mentioned that, in contrast to 2004, no major projects were processed in 2005.
Sales (EUR million) 2005 2004 +/- %
Pharma & Life Science (PhLS) 46.8 31.0 +51.0%
Ultrapure Water (UPW) 71.1 96.9 -26.6%
Food & Beverage (F&B) 22.7 26.1 -13.0%
Municipal Water Treatment (MWT) 42.4 24.4 +73.8%
Total Group sales 183.0 178.4 +2.6%
EBIT (EUR million) 2005 2004 +/- %
Pharma & Life Science (PhLS) 1.7 0.9 +82.8%
Ultrapure Water (UPW) 1.1 -6.5 -
Food & Beverage (F&B) -1.0 0.7 -
Municipal Water Treatment (MWT) 2.2 1.6 +35.8%
Total Group EBIT 4.0 -3.2 -
With the exception of the Food & Beverage segment, all segments contributed to
the clear improvement in earnings. The greatest impact came from the Ultrapure
Water segment which posted EBIT of EUR-6.5 million in 2004 and EUR+1.1 in the
2005 reporting year. The year 2004 included effects of old projects accepted
below manufacturing costs. In 2005, such effects were much lower. The Pharma &
Life Science segment benefited from the improved capacity utilization as a
result of increased operational output. As in the past, the Municipal Water
Treatment segment made an above-average contribution of EUR2.2 million to the
Groups success and once again exceeded the previous years earnings (EUR1.6
million) by 35.8%. The earnings performance in the Food & Beverage segment was
disappointing. Here, as a result of the lack of major orders in the food
industry from Eastern Europe, which had been processed during the past three
years, the decreased volume of incoming orders was not enough to cover the fixed
costs, making operating adjustment measures necessary. As a result of these
adjusting expenses, EBIT decreased to EUR-1.0 million (PY: EUR+0.7 million).
Group earnings after minority interests were EUR2.9 million after a loss of
EUR4.1 million in the previous year. Consequently, earnings per share in 2005
amounted to EUR0.16 per share, as against EUR-0.23 in 2004.
Significant reduction of net debt
As a result of positive cash flow, the CHRIST Group reduced its net debt to
EUR20.4 million at year-end 2005. Consequently, gearing (net debt in relation to
equity) improved from 92.9% to 49.5%. There was only a slight change in the
Groups total assets year-on-year, which totaled EUR144.4 million. As of
December 31, 2005, the Group equity totaled EUR41.2 million, i.e. an equity
ratio of 28.5% against 27.6% in 2004.
Outlook
Following the spin-off of CHRIST WATER TECHNOLOGY AG from BWT
Aktiengesellschaft, the CHRIST Group is focusing on further developing the Group
in the area of industrial and municipal water treatment. According to Dr. Karl
Michael Millauer, Chairman of the Management Board, "The further
internationalization of business activities, especially in the fast-growing
Asian and Eastern European markets, is an important strategic goal, as is the
extension of our customer service. On the basis of full order books and the
CHRIST Groups leading technological role in the growing market for water
treatment, we are expecting to see considerable increases in both sales and
Group earnings in 2006."
The long-term security of the Group financing and further optimization of the
cash flow are also central focuses of attention at CHRIST.
CHRIST issues corporate bond
Christ Water Technology plans to issue a corporate bond to optimize the
financing structure and to finance further growth. The bond should support the
transformation process into a leading global provider of water technology and
increase the financial scope to implement business opportunities. The bond will
be offered to both institutional and private investors.
The key data of the bond:
Issue volume: EUR50 million.
Duration: 7 years
Interest rate: fixed, roughly 5.0% (will be established and
published immediately before subscription
period)
Subscription period: April 21-25, 2006
The bond will be officially listed in the regulated over-the-counter market of
the Vienna stock exchange. Bank Austria Creditanstalt will act as the lead
manager.
Over the last few years, CHRIST has developed into a globally operating turnkey
provider for water technology for customers in the pharmaceutical life sciences,
microelectronics, petrochemical and other industries, food and beverages and for
municipalities (treatment of drinking and waste water as well as desalination).
A number of acquisitions and joint ventures have resulted in the setting up of
sales and production facilities in China, India and the USA as well as in
further consolidation of the already strong presence in Europe.end of announcement euro adhoc 05.04.2006 07:30:00
Further inquiry note:
Christ Water Technology
Ralf Burchert, CEFA
ralf.burchert@christ-water.com
Tel.: 06232/5011-1113
Branche: Biotechnology
ISIN: AT0000499157
WKN: 675399
Index: WBI, ATX Prime
Börsen: Wiener Börse AG / official market