NKT Holding A/S
NKT Q1 2015: Operational EBITDA improved by 11%
DGAP-News: NKT Holding A/S 2015-05-13 / 07:27 --------------------------------------------------------------------- Nasdaq Copenhagen Nikolaj Plads 6 DK - 1007 Copenhagen K 13 May 2015 Announcement No. 12 Group Executive Director & CFO Michael Hedegaard Lyng, commenting on Q1 performance: - Overall, our first-quarter performance was in line with expectations, with operational EBITDA improved by 11% and organic growth of 6%. The results reflect a continued positive development in NKT Cables, both in terms of growth and earnings, clearly influenced by the DRIVE programme. Nilfisk's performance was weaker than expected, with acceptable growth in Europe while the other markets underperformed. Earnings in Nilfisk were impacted by our continued investments in sales and service and were also affected by temporary delivery issues. However, supported by 'Accelerate', Nilfisk's new business strategy, we expect growth to be restored in the coming quarters. Q1 2015 financial highlights -- Operational EBITDA increased by 11% to DKK 283m, and operational EBITDA margin (std. metal prices) was stable at 8.1% -- Organic growth was 6% and revenue (std. metal prices) amounted to DKK 3,475m. Revenue in market prices was DKK 4,164m -- Return on capital employed (RoCE) improved by 2.6%-points to 9.7% -- Cash flow from operating activities was DKK 95m - impacted by normal seasonal working capital effects in both Nilfisk and NKT Cables 2015 outlook maintained NKT's expectations for 2015 are unchanged with a consolidated organic growth of up to 3% and an improved operational EBITDA margin (std. metal prices) of up to 1%-point from 9.6% realised in 2014. For further details on the 2015 outlook, please refer to NKT's 2014 Annual Report page 6. Nilfisk: Performance weakened by delivery issues. New strategy launched 2% organic growth in EMEA was offset by negative developments in the Americas and APAC, resulting in -2% organic growth overall. Operational EBITDA declined by DKK 31m to DKK 182m and was impacted by temporary delivery issues due to changes in processes and systems at Nilfisk's European Distribution Center in Denmark as well as port strikes in the US. In Q1 2015, Nilfisk launched 'Accelerate', the new business strategy for the period 2015-2018. Increased investments in sales and service, Commercial Excellence, competitive solutions and strong brands are among the measures, along with potential acquisitions, intended to increase Nilfisk's market share in the coming three years and to consolidate its market leadership. The new strategic plan is presented in the Q1 2015 Interim Report on page 10. NKT Cables: Satisfactory development based on increased revenue and DRIVE NKT Cables achieved 16% organic growth, driven by the Projects and Products businesses, while APAC delivered negative growth. Operational EBITDA improved by DKK 59m to DKK 108m due to increased revenue combined with DKK 72m from the DRIVE programme. With Phase 1 of DRIVE on track, Phase 2 has now been launched and will focus on tender management and sales excellence. Further details are available in the Q1 2015 Interim Report on page 15. Photonics Group: Significant order intake. Alternative ownership explored for Fiber Processing Imaging achieved organic growth of 35%, while overall growth for Photonics Group was -4%. More new products were launched and the order intake for all three segments was significant. The future ownership of the Fiber Processing segment is currently being explored. Teleconference A teleconference for investors and financial analysts will be hosted by NKT at 8:30 AM CET today and can be accessed at www.nkt.dk. The presentation for the call will be available shortly after this release. To attend, please dial in from: Denmark: +45 3544 5583 UK: +44 203 194 0544 US: +1 855 269 2604 Contacts Michael Hedegaard Lyng Lasse Snejbjerg Group Executive Director & CFO VP Group Development and External Relations Tel: +45 4348 2000 Tel: +45 2913 6607 News Source: NASDAQ OMX --------------------------------------------------------------------- 2015-05-13 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de --------------------------------------------------------------------- Language: English Company: NKT Holding A/S Denmark ISIN: DK0010287663 End of News DGAP News-Service --------------------------------------------------------------------- 356973 2015-05-13
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