04. Feb 2011

WashTec AG: WashTec achieves substantial increase in earnings for 2010 after strong 4th


WashTec AG / Key word(s): Preliminary Results

04.02.2011 / 07:33


Press release
WashTec achieves substantial increase in earnings for 2010 after strong 4th quarter

- Increase in revenues by nearly 5% to EUR 268.4m (based on preliminary figures)

- EBIT improved by 55% to EUR 20.3m

- WashTec aims at further increase in revenues and EBIT-margin of 8% - 9% for 2011

Augsburg, 04 February, 2011 - Based on preliminary figures, WashTec AG - the leading supplier of innovative solutions for the carwash business worldwide - was able to increase revenues in 2010 by 4.7% to EUR 268.4m (prior year: EUR 256.3m), due to a positive business development in the 4th quarter. The increase in revenues in the final quarter of 2010 reached nearly 12%. Since - as anticipated - the new-equipment business did not enjoy a general market recovery in 2010, the growth in revenues resulted primarily from strengthening the company's market position in Canada and Australia. Overall, the preliminary figures confirm the Company's expectations for 2010.

Preliminary earnings before interest and taxes (EBIT) have been improved by EUR 7.2m (+55%) to EUR 20.3m (prior year: EUR 13.1m), above all by implementing measures for reducing costs and improving efficiency. This corresponds to an EBIT-margin of 7.6% (prior year: 5.1%). In the 4th quarter, EBIT grew from EUR5.9m in 2009 to EUR 8.4m and the EBIT-margin reached 10.8%.

The balance sheet has also been further improved in 2010. For example, WashTec was able to reduce the net finance debt (net liabilities to banks plus long-term and short-term financial lease liabilities) significantly by EUR 10.4m to EUR 26.6m (prior year: EUR 37.0m). Due to the positive development of both earnings and cashflow, the company intends to recommend a dividend to the annual general meeting. Management board and supervisory board will soon approve the future return policy of the company.

As already communicated, WashTec still aims at a stronger increase in group-revenues (as compared to 2010) and a further improvement in the EBIT-margin to 8% - 9% for 2011. The company expects only a slight increase in revenues in Europe. In the North American region, the company expects a significant growth in revenues and earnings based on the activities in Canada.

Preliminary Key Financial Figures:

EURm, IFRS 2010 2009 Change
Revenues 268.4 256.3 +4.7%
EBITDA 29.9 22.2 +34.7%
EBIT 20.3 13.1 +55.0%
EBIT-margin (in %) 7.6 5.1  
Net finance debt as of 31 Dec. 26.6 37.0 -28.1%

 

The publication of the complete consolidated financial statements for fiscal year 2010 is scheduled for 24 March, 2011. In connection with the aim to enhance transparency, a change in segment reporting to the regions 'Core Europe', 'Emerging Europe', 'Northern America' and 'Asia/Pacific' is scheduled for the 1Q/2011 report.




Contact:
WashTec AG
Argonstrasse 7
86153 Augsburg

Tel.: +49 (0)821 - 55 84 - 0
Fax: +49 (0)821 - 55 84 - 1135



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