SHW AG to propose stable dividend of EUR 1.00 per share
17.03.2014
DGAP-News: SHW AG / Key word(s): Final Results/Dividend
17.03.2014 / 07:15
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PRESS RELEASE
SHW AG to propose stable dividend of EUR 1.00 per share
- Dividend proposal: EUR 1.00 per share
- Group sales and adjusted Group EBITDA in Q1 2014 expected to exceed prior
year quarter and previous quarter
Aalen, 17 March 2014. SHW AG, one of the leading suppliers of CO2-relevant
pumps and engine components as well as brake discs, today published the
Annual Report containing the final figures for fiscal year 2013. Due to new
product launches, Group sales improved by 12.4 percent to EUR 365.6 million
(previous year: EUR 325.4 million) although vehicle production in Europe
stagnated at the prior year level.
Adjusted Group earnings before interest, taxes, depreciation and
amortisation (adjusted EBITDA) were up by 5.3 percent or EUR 1.8 million on
the previous year to EUR 35.7 million (previous year: EUR 33.9 million).
It should be noted that the SAP-Go-Live on 1 January 2013 led to additional
expenses for consulting support, overtime, rush shipments and external
processing in the first quarter. In the fourth quarter, additional expenses
resulted from reduced machine availability in the Powder Metallurgy
division, increased maintenance costs in the Brake Discs business segment,
additional costs caused by weekend work as well as losses coming from
inventory differences following a full stocktaking at all locations.
At EUR 13.4 million, income after tax from continued operations was
negatively impacted by significantly higher depreciation and therefore did
not reach previous year's level of EUR 14.2 million.
"In view of the business trend and the solid balance sheet structure, the
Management Board and the Supervisory Board decided to propose a stable
dividend of EUR 1.00 per share to the Annual General Meeting, which will be
held in Heidenheim on 9 May," said CEO Dr. Thomas Buchholz, who is in
charge of the Pumps and Engine Components business segment. This
corresponds to a payout ratio [1] of 43.7 Percent (previous year: 41.7
percent).
Group sales and adjusted Group EBITDA in Q1 2014 expected to exceed prior
year quarter and previous quarter
SHW had a good start into the new fiscal year. At EUR 66.9 million, Group
sales for the first two months were up by 24.4 percent on the previous
year's EUR 53.8 million. The positive trend in the Pumps and Engine
Components business segment continued, with sales of fuel efficient pumps
rising by 28.9 percent to EUR 51.2 million (previous year: EUR 39.7
million). The Brake Discs business segment achieved a sales growth of 11.7
percent to EUR 15.7 million.
The Management Board expects Group sales in the first quarter of 2014 to
clearly exceed the EUR 84.6 million reported in the same quarter of the
previous year and to be slightly higher than the EUR 96.7 million generated
in the fourth quarter of 2013. Adjusted Group earnings before interest,
taxes, depreciation and amortisation (adjusted EBITDA) in the first quarter
of 2014 should clearly exceed the adjusted EUR 6.0 million posted in the
same quarter of the previous year and be slightly higher than the EUR 7.6
million reported in the previous quarter.
Based on the assumption that the order situation remains stable, SHW AG
projects Group sales of between EUR 380 million and EUR 400 million for
fiscal year 2014. Due to planned new product launches and a shift in the
product mix towards more complex pumps, sales in the Pumps and Engine
Components business segment should come in between EUR 287 million and EUR
305 million. In the Brake Discs business segment, the aim is to increase
the percentage of processed brake discs and higher-quality composite brake
disks to generate sales in between EUR 93 million and EUR 95 million.
The Management Board's focus in fiscal year 2014 will be primarily on
winning new orders, optimising logistical and operational business
processes at all locations, as well as establishing and expanding of
business in Brazil, China and North America. If the planned sales growth is
achieved, the Company expects to reach adjusted Group earnings before
interest, taxes, depreciation and amortisation (adjusted EBITDA) of between
EUR 38 million and EUR 40 million. The fiscal year 2014 will also see the
Management Board focus on optimising the company's working capital.
The report on the first three months of 2014 will be published on 30 April
2014. The Annual General Meeting will be held in Heidenheim on 9 May 2014.
[1] Relation between dividend sum and net income after tax from continued
operations.
About SHW
The business was established in 1365, making it one of the oldest
industrial enterprises in Germany. Today, SHW AG is a leading automotive
supplier with products that contribute substantially to a reduction of fuel
consumption and consequently CO2 emissions. In its Pumps and Engine
Components business segment, the SHW Group develops and produces pumps for
passenger vehicles and truck and off-highway applications, e.g. trucks,
agricultural and construction vehicles, stationary motors and wind farms,
as well as engine components. The Brake Discs business segment develops and
produces monobloc vented brake discs made of cast iron and lightweight
brake discs made from a combination of an iron friction ring and an
aluminium pot. Customers of the SHW Group include leading European and
North American car manufacturers, manufacturers of commercial, construction
and agricultural machinery and other automotive suppliers. The SHW Group
currently has four manufacturing sites in Germany. These are located in Bad
Schussenried, Aalen-Wasseralfingen, Tuttlingen-Ludwigstal and Neuhausen ob
Eck. With just over 1,000 employees, the SHW Group generated sales from
continuing operations in 2013 of 365 million euros. Further information is
available at: www.shw.de
Contact person
Michael Schickling
Head of Investor Relations & Corporate Communications
SHW AG
Telephone: +49 (0)7361 502 462
Email: michael.schickling@shw.de
Future-oriented statements
This press release contains certain future-oriented statements that are
based upon current assumptions and forecasts made by the management of SHW
AG. Various known and unknown risks, uncertainties and other factors may
lead to the actual results, financial position, development or performance
of the company deviating considerably from the appraisals specified here.
The company assumes no obligation to update future-oriented statements of
this nature or adapt them to future events or developments.
Note
This announcement does not constitute an offer to sell securities in the
United States of America, Canada, Australia, Japan or any other
jurisdictional territory where offers are subject to statutory
restrictions. The securities named in this announcement may only be sold or
offered for sale in the United States of America following their prior
registration in accordance with the provisions of the version of the US
Securities Act of 1933 currently in force (the "Securities Act") or,
without prior registration, only on the basis of an exemption. Unless
provided for by certain exceptions within the Securities Act, the
securities named within this announcement may not be sold or offered for
sale in Australia, Canada or Japan, nor may they be sold or offered for
sale to or for account of residents of Australia, Canada or Japan. No
registration of the offer or sale of the securities named in this
announcement will take place, as stipulated by the relevant statutory
provisions in Canada, Australia and Japan. There is no public solicitation
to buy securities in the United States of America.
End of Corporate News
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Language: English
Company: SHW AG
Wilhelmstrasse 67
73433 Aalen-Wasseralfingen
Germany
Phone: +49 7361 502-1
Fax: +49 7361 502-674
E-mail: ir@shw.de
Internet: www.shw.de
ISIN: DE000A1JBPV9
WKN: A1JBPV
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, Stuttgart
End of News DGAP News-Service
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