Heidelberg has ended the latest quarter with a positive net result after taxes, and its net result before taxes after nine months (1 April to 31 December 2015) reached the break-even point. This means the company is on track to once again record a positive net result after taxes for the financial year 2015-2016 and secure a long-term return to profitability. The main focal points for the future will be further developing the growing digital business and continuing to expand the service business.
The Heidelberg Services segment already accounted for almost half of the group sales after nine months. “We’ve made good progress with our goal of ensuring long-term profitability at Heidelberg. Our new portfolio is more closely geared toward stable market segments, is more profitable, and creates the conditions for further growth,” said Gerold Linzbach, CEO, Heidelberg.
Net profit after taxes in third quarter
The nine-month business results achieved by Heidelberg are pointing in the right direction overall. Sales and the operating result for the reporting period were a significant improvement on the previous year’s figures. Group sales were 16% up on the equivalent nine months of the previous year at 1.802 billion Euros (in the previous year it was 1.552 billion Euros). This figure includes positive exchange rate effects amounting to 93 million Euros. The successful integration of the newly acquired PSG Group also made a substantial contribution to the higher sales.
The operating result in the third quarter and after nine months continued its upward trend. EBITDA excluding special items as at 31 December 2015 increased to 119 million Euros (in the previous year it was 80 million Euros), while EBIT excluding special items doubled to 65 million Euros (in the previous year it was 29 million Euros). The Heidelberg Services segment is still on target to achieve the planned EBITDA margin of 9 to 11%.
“We have created the financial scope to finance acquisitions and invest in growth and innovation. In the future, we will keep working on further optimizing our financing framework and ensuring the continued strategic development of Heidelberg,” said CFO Dirk Kaliebe. Boosted by healthy order books, Heidelberg is aiming for sales growth of 2 to 4% after adjustment for exchange rate movements in the current financial year 2015-2016. As in the previous year, the company is assuming that sales will be higher in the second half of the financial year than in the first.
