STRATEC Biomedical AG / Key word(s): Preliminary Results
STRATEC reports preliminary figures for 2013; substantial margin growth
- Sales at EUR 128 million (+4.6%; 2012: EUR 122.4m)
Birkenfeld, March 28, 2014
STRATEC Biomedical AG, Birkenfeld, Germany (Frankfurt: SBS; Prime Standard, TecDAX) today announces preliminary unaudited figures of the STRATEC Group for the 2013 financial year as per IFRS (International Financial Reporting Standards).
The STRATEC Group generated sales of EUR 128 million in the 2013 financial year, thus exceeding the previous year's figure by 4.6% (2012: EUR 122.4 million). EBIT grew disproportionately by 10.8% to EUR 19.5 million (2012: EUR 17.6 million). The EBIT margin therefore improved by 80 basis points to 15.2% (2012: 14.4%).
The company met its targets for the 2013 financial year as communicated in the adjusted financial guidance issued in July 2013. This guidance predicted that sales for 2013 would rise to between EUR 127 million and EUR 138 million with an EBIT margin of 14.0% to 15.5%.
For subsequent years through to 2017, STRATEC continues to expect annual average sales growth of 8% to 12% based on the sales generated in the 2013 financial year. STRATEC also expects to see a slight increase in its profitability in proportion with the number and scale of its new development projects and the corresponding investments.
Given STRATEC's positive business performance in 2013, a strong first quarter in 2014, and further good prospects for the future, the Board of Management intends to propose an increase in the dividend for approval by the Supervisory Board. Subject to approval by the Supervisory Board at its meeting to approve the financial statements in April 2014, as well as approval by shareholders at the Annual General Meeting on June 18, 2014, the distribution paid to shareholders will thus be increased for the tenth consecutive year since the first dividend was paid in 2004.
The major share of sales growth in 2013 was attributable to systems with market launches between 2010 and 2012. Systems newly launched onto the market in 2013 still played a minor role, but will increasingly contribute to future growth. The company managed to boost its EBIT margin compared with 2012, despite the recognition of impairments of EUR 0.9 million for one technology in 2013 (2012: EUR 0 million). Adjusted for this impairment, the EBIT margin amounted to 15.9%, 150 basis points ahead of the previous year's figure of 14.4%. This margin growth was driven in particular by slight improvements in the service parts business, as well as by the gross margin on major systems. Overall, volatility in the service parts business fell sharply in 2013 compared with 2012, while nevertheless remaining at a heightened level.
The delays to supplies and services resulting from the flood damage suffered in June 2013 were fully rectified in the second half of 2013. The damages to buildings and materials have been remedied and full insurance settlement has been assured. Furthermore, the figures presented do not include any potential compensation payment for the contract discontinuation announced in July 2013.
The business results presented here represent preliminary unaudited Group figures following conversion of the accounting method used for project accounting. As already announced, STRATEC will publish its final audited Group figures for the 2013 financial year on Tuesday, April 29, 2014. STRATEC will host a teleconference in English on the same day to review the final results.
The later than usual publication of the final audited Group figures for the 2013 financial year is due to the implementation of new methods for project accounting. These changes have been reported previously and are described in detail starting on page 45 of the 2012 annual report. In order to enhance comparability with previous years, key figures for the 2013 financial year will be reported according to both the new and the previous accounting methods. The accounting conversion took place as of the end of 2013. As a result, the publication of future quarterly reports and financial statements for the 2014 financial year will return to a standard reporting schedule.
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|Company:||STRATEC Biomedical AG|
|Phone:||+49 (0)7082 7916 0|
|Fax:||+49 (0)7082 7916 999|
|Listed:||Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, Düsseldorf, München, Stuttgart|
|End of News||DGAP News-Service|