EANS-News: Einhell Germany AG
Press release
Landau/Isar (euro adhoc) -
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Einhell Germany AG,
Landau an der Isar Einhell group revenues slightly below previous year
Group is furthermore very profitable
Successful refinancing of the bonded loan
Further international expansion
OutlookEinhell group revenues slightly below previous year
In the first nine months of the financial year 2009, the Einhell group earned revenues of EUR 262.7 million. Due to the continuing unfavourable global conditions, this is a very positive result.
Revenues of the previous year in the domestic German market, European Union and in other countries were unable to match, due mainly to the effects of the financial crisis in Eastern Europe. In comparison with the previous year, revenues in Asia increased. The share of total Group revenues provided by foreign countries in the first nine months 2009 was 60.1 %.
Group is furthermore very profitable
In the period January to September 2009, the Einhell Group earned profits from operations amounting to EUR 13.5 million (previous year EUR 16.1 million). Thus pre- tax yield was 5.2 % (previous year 5.6 %). Group net profit after minority interests in the first nine months 2009 amounted to EUR 11.0 million (previous year EUR 10.8 million).
Earnings per share are calculated at EUR 2.9 per share (previous year EUR 2.9 per share).
Successful follow-up financing of the bonded loan
Over the past half-year, the Einhell Group has been able to fulfil an important strategic corporate goal: it has secured refinancing of the bonded loan that expires in July 2009.
Favourable terms for long-term financing for EUR 40 million has been secured for the next five years.
This provides the foundation for further international expansion.
Further international expansion
We are already preparing future growth strategies for Einhell. We already have a sales subsidiary in Chile, which is showing positive operational growth and we are working on a market entry in Brazil. We think that there is a strong middle class with continually increasing buying power in both countries.
We are also developing business in other South American countries. In around five years, South America will be one of Einhell`s growth areas at a time when we expect growth rates in Eastern Europe might be less strong. This means that we are already taking up a position in a strategically interesting developing market. With our products, we will play a part in the development potential of these countries.
Outlook
Even the Einhell Group is unable to avoid the effects of economic circumstances. In particular, the weakening of private consumption in various countries is having a significant effect on Group revenues. We are not currently able to say when the effects of the financial crisis will pass.
However, the Einhell Group is countering difficult market conditions, particularly weak consumer demand, with a new range of highly attractive products. The introduction of new product lines allows us to increasingly meet the needs of different groups of consumers. With improved quality and design, the new products provide the basis for further growth and stability of the Group.
Landau a. d. Isar, 26 November 2009
The Board of Directors
Contact:
Helmut Angermeier Authorised representative Post office box 1 50 94402 Landau/Isar Phone: + 49 9951 942 166 Fax: + 49 9951 942 293 E-Mail: Helmut.Angermeier@einhell.com
end of announcement euro adhoc
Further inquiry note:
Silvia Vaitl
Sekretariat Vorstand
Tel.: +49 (0)9951-942-290
E-Mail: silvia.vaitl@einhell.com
Branche: Wholesale
ISIN: DE0005654933
WKN: 565493
Index: CDAX
Börsen: Frankfurt / regulated dealing/prime standard
Berlin / free trade
Hamburg / free trade
Stuttgart / free trade
Düsseldorf / free trade
München / free trade