EANS-Adhoc: Westag & Getalit AG / Moderate revenue and earnings growth in Q1 2012
ad-hoc disclosure pursuant to section 15 of the WpHG transmitted by euro adhoc with the aim of a Europe-wide distribution. The issuer is solely responsible for the content of this announcement.
Against the background of a continued positive trend in German construction activity, Westag & Getalit AG increased its sales revenues by 3.1% to EUR 57.4 million in the first three months of 2012 (2011: EUR 55.7 million). In the first quarter, the situation in foreign markets remained difficult as most of them continue to feel the impact of the economic crisis. Accordingly, our export sales declined by 4.2% to EUR 12.4 million (2011: EUR 12.9 million). As a result, the export share dropped to 21.6% (2011: 23.2%).
At EUR 2,342 thousand, earnings before income taxes were up by 2.6% on the previous year's EUR 2,283 thousand. Besides the increase in sales revenues, this was also attributable to the stabilisation in commodity prices in the first quarter. Net profit per share remained unchanged at EUR 0.27 (ordinary share) and EUR 0.33 (preference share), respectively.
We are generally optimistic about economic activity in Germany, and especially in the German construction sector. The domestic economy has given impressive proof of its resilience in 2010 and 2011. The construction sector additionally benefits from a clear trend towards selective investments in housing properties. While this means that the economic preconditions are positive, we are well aware of the fact that the risk situation may change at any time if the financial crisis intensifies. Based on these positive economic assumptions, we expect domestic sales revenues to increase. Especially our construction-related distribution units should benefit from growing housing construction. We also project an increase in export sales for the next two years. Most recently, we demonstrated that we can operate successfully even under very difficult export market conditions - and there are sufficient opportunities and projects which suggest that we will be able to do so in future. Our bottom line is influenced not only by sales revenues but also by the trend in commodity prices, which are currently sending more positive signals, following the very unpleasant trend in 2010 and 2011. Indicators point to a stabilisation in the prices of the most important commodities. As we have been able to pass on only part of the huge material price increases to our customers, we will be forced to hold further price talks with our customers. Should these positive effects materialise, we will be able to restore our profitability to past levels
end of announcement euro adhoc
issuer: Westag & Getalit AG
phone: +49 (0)5242 17 0
FAX: +49 (0)5242 17 75000
sector: Building materials
ISIN: DE0007775207, DE0007775231
indexes: Prime All Share
stockmarkets: free trade: Berlin, Stuttgart, regulated dealing: Düsseldorf, regulated dealing/prime standard: Frankfurt