euro adhoc: ElringKlinger AG / Financial Figures/Balance Sheet / ElringKlinger increases sales and earnings in first quarter of 2008 (E)

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08.05.2008

> EBIT growth of 8%
> Net income after minority interest rises by 23%
> Order backlog up 18% year on year

Dettingen/Erms, May 8, 2008 +++ The ElringKlinger Group recorded growth in both
sales and earnings in the first quarter of 2008. Group sales rose by 6.4% to EUR
162.8 (153.0) million. The automotive supplier achieved solid gains in Europe,
South America and Asia. In particular, ElringKlinger benefited from new product
ramp-ups as well as growing demand for specialty gaskets and shielding
components used in the exhaust tract.

Although ElringKlinger's key automobile markets in Europe and North America
remained stagnant or contracted sharply in the reporting period and the early
placement of the Easter holidays in the first quarter meant a reduction in
available working time by two to three days, the Group managed to lift sales
revenue in its Original Equipment segment by 7.5% to EUR 114.8 (106.8) million.
In North America, strike action at another automotive supply company based in
the US resulted in a shortfall in production at one of ElringKlinger's major
customers and thus to a fall in delivery call-offs. In the Aftermarket segment,
ElringKlinger was able to make slight gains in the first quarter of 2008. The
prevailing weakness of the US dollar had an adverse effect on key markets such
as the Middle East and South East Asia, where customers were faced with higher
prices. Overall, the Aftermarket segment generated EUR 26.2 (25.9) million in
sales in the first three months of 2008. The Engineered Plastics segment, which
is currently making preparations for the start of large-scale production of a
new injection-moldable high-performance PTFE by the name of Moldflon®, succeeded
in increasing sales by 7.2% to EUR 18.4 (17.2) million.

Elevated energy costs and the continuing rise in the price of materials burdened
profitability as did pre-expenses at ElringKlinger Kunststofftechnik GmbH. The
cost of sales rose by 7.6%, and the gross profit margin came in at 33.0%, down
from 33.8% a year ago. Within this context, it should be noted that provisions
recognized in connection with ElringKlinger's employee profit-sharing program
rose by EUR 0.8 million year on year. Additionally, the Group recorded one-off
costs of EUR 0.3 million relating to the full takeover of its Spanish
subsidiaries. Selling as well as general and administrative expenses climbed at
a slower rate than sales. Research and development expenses amounted to EUR 7.9
million, after EUR 7.6 million in the first quarter of 2007. The main focus was
on new sealing concepts and, within the New Business Areas division, on efforts
to implement the recently developed diesel particulate filter concept at an
industrial level. In addition, the Group continued its development work on fuel
cell components.

Supported by improvements in efficiency levels and a higher degree of capacity
utilization, the Group managed to lift earnings before interest, taxes,
depreciation and amortization (EBITDA) by 8.2% to EUR 40.5 (37.4) million.
Depreciation and amortization increased by EUR 0.9 million. Earnings before
interest and taxes (EBIT), including positive exchange rate effects of EUR 0.2
mn, rose by 8.1% to EUR 29.2 (27.0) million. Operating profit increased by 5.5%.
Earnings before taxes rose by 7.0% to EUR 27.6 (25.8) million.

Prompted mainly by Germany's corporate tax reform, the tax rate fell to 28.6%
(35.3%). Net income rose by 18.0% in the first quarter of 2008 to EUR 19.7
(16.7) million. Net income after minority interests increased by 22.9% to EUR
18.9 (15.4) million. Thus, earnings per share reached EUR 0.98, compared with
EUR 0.80 in the same quarter a year ago.

At EUR 23.9 (14.1) million, the Group invested significantly more in property,
plant and equipment over the course of the first three months of 2008 than
during the same period a year ago. The main focus was on expansion of capacities
and projects aimed at operational streamlining. The expansion of earnings and
improvements to working capital contributed to a 50.4% increase in net cash from
operating activities, which rose to EUR 26.1 (17.3) million.

The ElringKlinger Group can tackle the rest of the financial year with a solid
level of orders in hand. At the end of the first quarter, order backlog was
18.2% up on last year's first-quarter figure, reaching EUR 247.4 (209.3)
million. The growth rate of order intake, which rose by 7.1% to EUR 165.1
(154.1) million, slightly exceeded that of sales in the first quarter. Without
having accounted for acquisitions, the ElringKlinger Group is targeting organic
growth in sales of 5 to 7% for the 2008 financial year. Adjusted for
non-recurring effects, net income after minority interests (profit attributable
to shareholders of ElringKlinger AG) is to grow at a more pronounced rate. In
2007, profit had been buoyed by exceptional income of EUR 3.2 million after
taxes from insurance payments in connection with the fire at an ElringKlinger
plant in Germany and one-time income of EUR 5.5 million from the revaluation of
deferred tax items - prompted by Germany's corporate tax reform. In addition,
the pro rata sales and earnings of the newly acquired SEVEX Group, Switzerland,
and the interest held in Marusan Corporation, Tokyo, will contribute.

Further inquiry note:
Stephan Haas
Investor Relations Manager
Telefon: +49(0)7123 724-137
E-Mail: stephan.haas@elringklinger.de

end of announcement euro adhoc
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emitter: ElringKlinger AG
Max Eyth Straße 2
D-72581 Dettingen/Erms
phone: +49(0)7123 724-0
FAX: +49(0)7123-7249006
mail: info@elringklinger.de
WWW: http://www.elringklinger.de
sector: Automotive Equipment
ISIN: DE0007856023
indexes: SDAX, CDAX, Classic All Share, Prime All Share
stockmarkets: regulated dealing/prime standard: Börse Frankfurt, free trade:
Börse Berlin, Börse Düsseldorf, Börse München, regulated dealing:
Börse Stuttgart
language: English

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