Progress-Werk Oberkirch AG

Progress-Werk Oberkirch AG / Key word(s): Final Results

2015-02-16 / 08:00


Press Release

PWO announces preliminary results for 2014

- Revenues and EBIT slightly exceed December forecast

- Customer call orders see recent improvement

- 2015 forecast confirmed

Oberkirch, February 16, 2015 - Today, PWO released preliminary results for fiscal year 2014. As previously reported, the Group was impacted by stagnating revenues due to lower-than-expected customer call orders and the postponement of start-ups at several locations. Short-term capacity adjustments could only counteract the resulting impact on earnings to a limited extent.

Revenues amounted to EUR 381.1 million (p/y: EUR 377.4 million), total output reached EUR 390.7 million (p/y: EUR 384.2 million), and EBIT totaled EUR 16.7 million (p/y: EUR 22.3 million). Net income for the period amounted to EUR 7.3 million (p/y: EUR 13.1 million). As we communicated in December of 2014, the results were impacted by provisions of four million euros for personnel adjustments. We slightly exceeded our December forecast of revenues of approx. EUR 380 million and EBIT in a range of EUR 15-16 million.

The positive impact on our earnings from the reduction in employees and other efficiency improvements initiated at our Oberkirch location will not have their full impact until the 2016 fiscal year. Therefore, the EBIT in Germany will decline again in 2015 compared to the level of 2014 when adjusted for the provisions mentioned above. The international locations, in contrast, will increase their overall EBIT contribution.

We continue to expect Group revenues of around EUR 400 million and an EBIT of around EUR 19 million in fiscal year 2015.

We continued with our rapid international expansion during fiscal year 2014. Meanwhile, our Czech Republic location has become the second major pillar of the Group. Revenues in China are expected to more than double over the next two years, meaning our activities there will gain material size. Our efforts to strengthen profitability in Oberkirch, as well as the positive development of our international locations, will aid the PWO Group in continuing its traditionally positive and steady development.

The final fiscal year 2014 results will be published on March 25, 2015, and the 2014 annual report will be available on our homepage (www.progress-werk.de/en) as of March 31, 2015.

Progress-Werk Oberkirch AG
The Management Board

PWO company profile
PWO is one of the world's leading developers and manufacturers of advanced metal components and systems in lightweight construction for automobile safety and comfort. The company has
developed a unique knowledge in the forming and joining of metals over the course of its 95-year history since it was founded in 1919. The German location at Oberkirch today employs around 1,500 staff members. The Group is globally represented with further sites in China, Canada,
Mexico, and the Czech Republic. It employs around 3,100 staff members worldwide.

PW0 is a partner to the global automotive industry for the development and production of innovative products in the divisions of "Mechanical components for electrical and electronic applications", "Safety components for airbags, seats and steering" and "Components and subsystems for vehicle bodies and chassis".





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