Franz Haniel & Cie. GmbH
Franz Haniel & Cie. GmbH: Haniel Group lifts all earnings figures – buy & build strategy successful
DGAP-News: Franz Haniel & Cie. GmbH / Key word(s): Half Year Results
Haniel Group lifts all earnings figures – buy & build strategy successful – Encouraging growth in all Haniel Group earnings figures – BekaertDeslee boosts revenue and profit – CWS-boco, TAKKT and Metro grow organically and improve earnings contribution – Revenue weighed down by cyclical ELG business – Haniel receives two investment-grade ratings – Haniel continues to focus on investment, diversification and digitalisation Duisburg, 31 August 2016. Haniel benefited from its diversified position in the first half of 2016. The challenging market situation expected for the ELG division was more than offset by increased earnings contributions from the other investments. In addition, Haniel received two investment-grade ratings: “We consider this an affirmation of our conservative financial policy and long-term investment strategy”, said Stephan Gemkow. During the first half of 2016, the Haniel Group recorded a 9 per cent decline in revenue, to EUR 1,800 million. This is attributable solely to ELG. The significantly lower prices for all relevant commodities – in particular the considerable drop in nickel prices – and the reduced output tonnage due to the difficult market environment affected this development. Revenue was primarily boosted by the positive contribution made by the BekaertDeslee division, which covered an entire half-year period for the first time. Bekaert Textiles’ acquisition of the DesleeClama Group in February 2016 received the active support of the Holding Company and also made a positive contribution to revenue growth in the four months that followed. Acquisitions by TAKKT and CWS-boco in the previous year also generated additional contributions. However, the two divisions also experienced encouraging organic growth in revenue resulting from their respective strategic growth initiatives. Profit before taxes increased from EUR 13 million to EUR 57 million. In addition to the higher operating profit, this is attributable primarily to a higher investment result and an improved result from financing activities. The investment result increased from EUR -60 million in the same period of the previous year to EUR -31 million in the first half of 2016. This mainly comprised the investment result from the METRO GROUP, which generated a higher operating profit than in the same period of the previous year thanks to lower negative one-off factors. Result from financing activities benefits from systematic debt reduction Significant rise in profit after taxes High equity ratio underscores the Group’s sound financial position and investment potential More than EUR 1 billion available for further portfolio expansion The Holding Company established Schacht One GmbH, Haniel’s own digital unit in the historic Zollverein Colliery world heritage cultural site in Essen, to help implement the Digital Agenda at the investments. Schacht One will work together with the divisions to develop and directly assess the plausibility of innovative and radical user-oriented ideas and problem-solving approaches. In addition, at the beginning of the year Haniel decided to invest up to EUR 50 million in selected venture capital funds, thereby making indirect investments in start-ups. Haniel has already invested in five different funds in recent months, which in turn invest in a number of new companies. These learning opportunities can for example give rise to innovation processes at the investments and also provide momentum as Haniel continues to seek out new investments that will be successful in the long term. Scope and S&P affirm investment grade rating Social responsibility Haniel does not just provide opportunities for founders of social enterprises, but also for refugees: as a founding member of “We together – The integration initiative of the German economy” (“Wir zusammen – Integrationsinitiativen der deutschen Wirtschaft”), Haniel was one of the first 35 companies to sign up to this initiative for the integration of refugees. The network has since grown to 96 companies as at 30 June 2016. In Duisburg, Haniel works directly with the city to help feed, house and integrate refugees. Haniel expects encouraging increase in all earnings figures in 2016 With respect to operating profit, Haniel continues to expect a significant increase for the Group year on year, due to the increased profit in all divisions. For the financial investment in Metro, Haniel expects a slight increase in operating profit before one-off factors and adjusted for currency translation effects for the METRO GROUP. The earnings contribution from the Metro investment included in the investment result may be lower year on year, contrary to the previous forecast. This is due on the one hand primarily to negative currency translation effects, particularly with respect to the Russian rouble. On the other hand, Haniel expects earnings to be weighed down in connection with the planned METRO GROUP demerger, which the Haniel Management Board supports in full. Overall, Haniel’s Management Board continues to anticipate an encouraging improvement in the Group’s profit before and after taxes. Overview of the figures for the first half of 2016:
* Included in the Haniel Group since June 2015. The figures for H1 2015 relate to the period of June 2015. You will also find all information in the 2016 Half-year financial report and in the online 2016 Half-year financial report at http://www.haniel.de/halfyearfinancialreport2016. Haniel You can find more information about Haniel at www.haniel.com and www.enkelfaehig.de. Contact You can also find this press release at www.haniel.de. Characters: 9,740 Contact: Dietmar Bochert Director Corporate Communications Tel.: +49 203 806-578 E-Mail: DBochert@haniel.de
2016-08-31 Dissemination of a Corporate News, transmitted by DGAP – a service of EQS Group AG. |
Language: | English | |
Company: | Franz Haniel & Cie. GmbH | |
Franz-Haniel-Platz 1 | ||
47119 Duisburg | ||
Germany | ||
Phone: | +49 (0)203 806 578 | |
Fax: | +49 (0)203 806 80 578 | |
E-mail: | dbochert@haniel.de | |
Internet: | www.haniel.de | |
ISIN: | XS0482703286, XS0459131636 | |
WKN: | 601960, A1A6NE | |
Listed: | Regulated Market in Hanover; Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Stuttgart; Open Market in Frankfurt | |
End of News | DGAP News Service |