Steinhausen, August 15, 2019 -- Schweiter Technologies reported a strong
first half in 2019, posting a double-digit percentage increase in
revenues. Group revenues rose by 14% year-on-year to CHF 613.7 million
(+16% in local currencies), driven by the Perspex acquisition. Adjusted
for acquisitions and currency effects, organic growth came to 2%. EBITDA
rose by 8% to CHF 63.1 million. Return on net sales declined marginally
to 10.3%, owing mainly to acquisitions and to one-off expenses incurred
for integration. Operating profit (EBIT) amounted to CHF 44.5 million
and net income to CHF 34.2 million. Operating cash flow rose by 50% to
CHF 33.0 million, while cash and cash equivalents stand at CHF 89.2
million following the dividend distribution of about CHF 57 million.
Schweiter Technologies Group (in CHF
m) H1 2019 H1 2018 + / -
-------- -------- ------
Net revenues 613.7 540.3 +14%
EBITDA 63.1 58.3 +8%
as a % of net revenues 10.3% 10.8%
EBIT 44.5 44.2 +1%
Net income 34.2 33.0 +4%
3A Composites lifted net revenues by 14% to CHF 613.7 million. EBITDA
rose by 8% to CHF 64.5 million, which equates to an EBITDA margin of
10.5%. EBIT came to CHF 45.9 million.
The slightly lower revenues in the European and US Display business were
more than offset by acquisition-driven growth, ongoing firm demand from
wind energy customers, and strong growth in the Architecture business in
The Display business in Europe picked up slightly in the first half of
2019 following a weaker second half in 2018. Uncertainty about the
direction in which the economy is headed put a damper on further organic
growth, which meant that the Display business in Europe and the USA
didn't quite match the success it posted in the first half of 2018.
The Perspex companies acquired as of year-end 2018 delivered a major
contribution to revenue and profit growth in the European display
business. The integration of the acquired companies is proceeding
according to plan.
The Architecture business performed satisfactorily on the whole,
especially in the USA, where the trend to high-quality flame-retardant
or non-combustible cladding panels plus gain of new customers drove
double-digit revenue growth.
Following growth in previous years, the Architecture business in Europe
and Asia had to cope with effects that curbed demand, particularly in
connection with Brexit and the parliamentary elections in India. Sales
volumes didn't quite reach the previous year's high level, partly owing
to a major order completed in China in the prior-year period.
The Core Materials business maintained its strong momentum, with
revenues posting double-digit percentage growth. In particular, firmer
demand in the wind energy sector generated a big jump in revenues in all
regions. It was China that reported the biggest growth despite the
ongoing imponderables related to the trade dispute between the USA and
China. Profitability was held in check, particularly in the first
quarter, by higher raw material costs and by the price pressures exerted
by global OEMs. Alongside selective price increases, measures were taken
to boost efficiency.
The strong demand for weight-saving solutions for buses, RVs, and train
front ends continued in the first half of 2019. Revenue growth in the
Transportation sector was in the double-digit range, while profitability
grew at an even faster pace year-on-year.
Even though it must be assumed that the political and economic situation
will continue to be volatile in the second half of the year, business
performance is expected to remain positive on the whole.
Solid demand is anticipated in the Display and Architecture businesses.
The gratifying performance of Core Materials will continue owing to
ongoing firm demand from wind energy customers.
The complete financial statements for the first half of 2019 can be
found on our website
A media conference on the 2019 half-year results for analysts, media
representatives, and investors will take place at 11.00 a.m. today at
the Marriott Hotel, Neumühlequai 42, Zurich.
For further information please contact:
Martin Klöti, CFO
Tel. +41 41 757 77 00, Fax +41 41 757 70 01,
Please find the Media release in the PDF attached:
-- Media Release (PDF)
(END) Dow Jones Newswires
August 15, 2019 00:00 ET (04:00 GMT)