Progress-Werk Oberkirch AG
Progress-Werk Oberkirch AG  / Key word(s): Change in Forecast/Half Year Results

21.07.2014 12:30

Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted
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  - New series productions are starting up and ramping up slower than
    expected

  - Customer call indications no longer showing signs of acceleration for
    the second half of 2014

  - Forecast for the current fiscal year adjusted accordingly

Oberkirch, July 21, 2014 - In today's meeting, the Management Board of
Progress-Werk Oberkirch AG analyzed and evaluated the Group's current
business development. Based on the preliminary figures, revenues reached
EUR 194.7 million (p/y: EUR 191.6 million) in the first half of 2014 and
EBIT amounted to EUR 10.8 million (p/y: EUR 11.0 million). Slower start-ups
and ramp-ups of new series productions have burdened business development.

Customer call indications for the second half of 2014 are also no longer
showing the previously expected acceleration in start-ups and ramp-ups.
This is the case for all of our locations except our location in the Czech
Republic. As a consequence, we will not be able to offset the differing
business developments within the Group.

Therefore, we are adjusting our forecast accordingly for the current fiscal
year. We now expect revenues of around EUR 385 million (previous
expectation: approx. EUR 400 million). The corresponding measures to adjust
capacity and reduce costs, which have now become necessary, will have a
delayed positive impact on EBIT. We also cannot rule out any temporary
pressure at individual locations in the course of implementing the
corrective measures planned. Thus, we now expect an EBIT in the range of
EUR 20 million to EUR 21 million (previous expectation: approx. EUR 25
million) for the year 2014.

We consider the current developments to be of a temporary nature. In the
past two years, we have won contracts for new series productions, including
the accompanying tool sales, amounting to a lifetime volume of over EUR 800
million. The majority of these contracts will start-up and ramp-up in the
next two years and will contribute to our achievement once again of a
continual rise in revenue and earnings.

We will host two telephone conference calls today concerning the current
business development: A call for media representatives at 2 p.m. (CEST) and
a call for investors and analysts at 3 p.m. (CEST). Our investor relations
department will be pleased to provide you with the dial-in number. Please
contact us by e-mail at ir@progress-werk.de or by telephone at +49 (7802)
84 844.

Progress-Werk Oberkirch AG
The Management Board 
End of announcement 


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Language:     English
Company:      Progress-Werk Oberkirch AG
              Industriestraße 8
              77704 Oberkirch
              Germany
Phone:        +49 (0)7802 84-0
Fax:          +49 (0)7802 84-273
E-mail:       info@progress-werk.de
Internet:     www.progress-werk.de
ISIN:         DE0006968001
WKN:          696800
Listed:       Regulierter Markt in Frankfurt (Prime Standard), Stuttgart;
              Freiverkehr in Berlin, Düsseldorf, Hamburg, München
 
End of Announcement                             DGAP News-Service
 
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