Sauer-Danfoss Inc.
Sauer-Danfoss reports increased sales and earnings for the first quarter 2004
Corporate-news announcement sent by DGAP.
The sender is solely responsible for the contents of this announcement.
——————————————————————————–
Sauer-Danfoss reports increased sales and earnings for the first quarter 2004:
Strength in new orders signals solid market upturn
Chicago/Neumünster, May 4, 2004. In the first quarter 2004 Sauer-Danfoss Inc.
generated a net income of $11.0 million, or $0.23 per share (first quarter 2003:
$10.2 million, or $0.21 per share). Excluding one-off-effects, the impact of
higher tax expense and costs related to the completion of a plant closure, first
quarter 2004 net income would have risen by 29 percent compared to the strong
first quarter reported last year. Net sales for the first quarter increased 20
percent to $361.1 million, compared to net sales of $300.4 million for first
quarter 2003. Excluding sales from acquisitions completed in 2003 and the impact
of currency translation rate changes, sales increased 9 percent over the prior
year period.
Sales into the Propel segment were particularly strong, growing 15 percent,
excluding acquisitions and the impact of currency fluctuations, followed by a 7
percent increase in the Work Function segment, while sales into the Controls
segment were level with the prior year. The cash flow from operations for the
first quarter was a strong $11.2 million compared to last year’s record level of
$15.5 million despite the increase in working capital arising from higher
sales. Capital expenditures for the quarter of $10.8 million were well within
the continued restrained target level.
In the first quarter 2004 Sauer-Danfoss recorded solid increase in orders and
backlog. Orders received for the first quarter 2004 were $366.5 million, up 29
percent from the same period last year. Excluding acquisitions and currency
translation rate changes, orders were up 18 percent. Total backlog at the end of
first quarter 2004 was $409.6 million, a 12 percent increase from the end of
first quarter 2003. Excluding acquisitions and currency impact, backlog rose 6
percent.
“The long-awaited upturn in our markets has clearly arrived”, David Anderson,
President and CEO of Sauer-Danfoss Inc. stated. The U.S. and – although to a
lesser degree – the European markets are stronger than we had planned.” In
addition, the market for Sauer-Danfoss’ products in Japan continues to
strengthen, driven by increased export volumes of mobile equipment to the strong
U.S. and China markets. The recent investments in the manufacturing and
marketing joint ventures in Japan are serving Sauer-Danfoss well in light of
these improving market conditions.
With stronger sales and with restructuring costs subsiding, Sauer-Danfoss is
optimistic as the company looks to the remainder of the year. Sauer-Danfoss
expects after-tax earnings for the full year 2004 to be in the range of $0.60 to
$0.75 per share, approaching a tripling of the 2003 full year’s earnings.
A conference call on the first quarter 2004 results will be held in English on
May 4, 2003 at 4:00 PM Frankfurt time. Please find further information on the
quarter results at http://www.sauer-danfoss-ir.com .
All statements regarding future performance, growth, sales and earnings
projections, conditions or developments are forward-looking statements. These
statements are based on current financial and economic conditions and rely
heavily on the Company’s interpretations of what it considers key economic
assumptions.
Further Information: Sauer-Danfoss Inc. – Investor Relations
John N. Langrick, Director of Finance Europe, Sauer-Danfoss Inc.,
Tel.: +49 4321-871-190, Fax: +49 4321-871-121, Krokamp 35, D-24539 Neumünster,
jlangrick@sauer-danfoss.com
Linda Völpel, Investor Relations Specialist, Sauer-Danfoss Inc.,
Tel.: +49 4321-871-560, Fax: +49 4321-990-581, Krokamp 35, D-24539 Neumünster,
lvoelpel@sauer-danfoss.com
Grit Muschelknautz, Public Relations, HOSCHKE & CONSORTEN,
Tel.: +49 40-369050-41, Fax: +49 40-369050-10, Deichstr. 29, D-20459 Hamburg,
g.muschelknautz@hoschke.de
end of message, (c)DGAP 04.05.2004
——————————————————————————–
WKN: 880208; ISIN: US8041371076; Index:
Listed: Amtlicher Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin-
Bremen, München und Stuttgart
040802 Mai 04
Latest News
Latest Reports
No Reports found
Upcoming Events
No Events found
Webcasts
No Webcasts found