INDUS on the growth track in 2010
Bergisch Gladbach, 26 August 2010 - SDAX-listed INDUS Holding AG has closed the first six months of 2010 with strong results. Sales revenues increased by approx. 25% to EUR 450.3 million (H1 2009: EUR 361.7 million), while EBIT doubled to EUR 46.5 million (H1 2009: EUR 22.1 million). An EBIT margin of 10.3% means that INDUS is back to pre-recession yield levels. “The combination of cutting costs, increasing flexibility and investing in research and development is now paying off,” said CEO Helmut Ruwisch. “This is best reflected in earnings before taxes, which increased almost fourfold to EUR 33.3 million.”
Increased demand in all five segments
All business segments reported increased sales and earnings. Especially remarkable is the fact that the INDUS Group was able to improve its earnings quality and clearly boost its EBIT margin in all five segments. The Automotive Components/Engineering segment achieved an impressive turnaround, with sales revenues up by 50% and earnings before interest and taxes coming in at EUR 9.2 million - compared to a loss of EUR 3.5 million in the first half of 2009. The Metal/Metal Processing segment performed equally well and boosted its sales revenues by almost one third and its EBIT by approx. 125%.
Equity ratio continues to improve
Due to the growth-related increase in working capital, INDUS reported a moderately lower operating cash flow of EUR 30.1 million at the half-year stage (H1 2009: EUR 33.5 million). The Group’s liquidity remains high at EUR 79.1 million and the equity ratio rose to 27.3% (H1 2009: 26.5%).
Forecast for 2010: Sales up 15% to 20%. EBIT up 35% to 40%
A good result is on the cards for INDUS also in the third quarter. The declining momentum in the USA and Asia suggests that the fast growth in the German economy can hardly be maintained. Also, the economic stimulus packages will expire and the prices of commodities and energy are on the increase. These are the first indications of a slowdown, which makes INDUS a bit more cautious about the fourth quarter.
INDUS projects a very good performance for the full year 2010. The company has set itself a sales target of EUR 900 million and an EBIT target of EUR 75 to 80 million. While the economy is likely to ease somewhat towards the end of the year, INDUS expects stable economic growth for 2011.
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