Interim report for FLSmidth & Co. for 1 January - 31 March 2017
(Thomson Reuters ONE) -
Company Announcement no. 7-2017, 09 May 2017
Strong momentum in service activities continued into Q1
Highlights
* Highest quarterly order intake from total service activities since 2012
* Increase in revenue and earnings as expected
* Further reduction in net interest bearing debt and financial gearing
* Mining companies still holding back on capital investments but intensifying
dialogue on future projects s
* Guidance for 2017 unchanged
"The growing momentum in the global economy is filtering through to FLSmidth's
service business, while demand for equipment and projects remains largely
unaffected. Based on our extensive knowledge from projects, products, and
services, we continue to improve our competitive edge and assist our customers
in their pursuit of enhanced productivity," commented Group CEO Thomas Schulz.
"It was important that we delivered a substantial progress based on our
corrective actions program. The solid momentum underpinning our service
activities has continued into 2017 in both mining and cement and it is proof of
a strong performance delivered by the organisation," said Thomas Schulz.
Order intake increased 5% and revenue was up 16%. Customer Services and Product
Companies were supported by the strong momentum in the aftermarket, and order
intake from total service activities grew 23%. While order intake in Minerals
increased significantly, Cement fell short of the record-high order intake in Q1
2016, despite three large orders received in the quarter.
The EBITA margin increased to 8.5% due to the corrective actions program
combined with higher revenue and operational leverage.
ROCE increased to 9.4% as a result of lower capital employed. Net interest
bearing debt decreased to DKK 2.3bn due to positive free cash flow, causing a
decrease in financial gearing (NIBD/EBITDA) to 1.4. The equity ratio increased
to 36%.
Guidance for 2017
The guidance for 2017 is unchanged. It is still expected that revenue will be
DKK 17-19bn and that the EBITA margin will be 7-9%. The return on capital
employed is expected to be 8-10%. The EBITA guidance includes expected one-off
costs of DKK -200m related to corrective actions launched in 2016.
Contacts
Investors
Pernille Friis Andersen, phone +45 36 18 18 87, pefa(at)flsmidth.com
Nicolai Mauritzen, phone +45 36 18 18 51, nicm(at)flsmidth.com
Media
Sofie Karen Lindberg, phone +45 30 93 18 77, skl(at)flsmidth.com
Key Figures Q1 2017
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DKKm Q1 2017 Q1 2016 Change Year 2016
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Order intake 5,561 5,281 5% 18,303
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- hereof service order intake 2,868 2,341 23% 10,029
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Service order intake share 52% 44% 55%
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Order backlog 14,998 15,792 -5% 13,887
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Revenue 4,371 3,758 16% 18,192
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- hereof service revenue 2,675 2,328 15% 10,262
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Service revenue share 61% 62% 56%
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Gross profit 1,134 1,038 9% 4,581
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Gross margin 25.9% 27.6% 25.2%
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EBITDA 436 312 40% 1,588
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EBITA 372 246 51% 1,289
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EBITA margin 8.5% 6.5% 7.1%
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EBITA margin adj. for one-off costs 8.6% 6.6% 8.0%
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EBIT 272 153 78% 881
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EBIT margin 6.2% 4.1% 4.8%
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Profit 161 73 121% 522
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CFFO 149 (60) 1,447
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Free cash flow 114 (72) 1,253
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Net working capital 2,182 2,410 -9% 2,099
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Net interest bearing debt 2,333 3,567 -35% 2,525
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For additional information, Investor Room at www.flsmidth.com.
FLSmidth is the market-leading supplier of productivity to the global mining and
cement industries. Headquartered in Copenhagen, Denmark, and with offices in
more than 50 countries, FLSmidth delivers engineering, equipment and service
solutions to customers worldwide. Productivity, sustainability, and quality are
focus areas for the 12,000 employees in FLSmidth. The company generates annual
revenue of approximately DKK 18 billion. Read more on www.flsmidth.com
1st Quarter Report 2017:
http://hugin.info/2106/R/2102565/797561.pdf
This announcement is distributed by Nasdaq Corporate Solutions on behalf of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: FLSmidth via GlobeNewswire
Unternehmensinformation / Kurzprofil:
Datum: 09.05.2017 - 11:59 Uhr
Sprache: Deutsch
News-ID 541251
Anzahl Zeichen: 7143
contact information:
Town:
Valby
Kategorie:
Business News
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"Interim report for FLSmidth & Co. for 1 January - 31 March 2017"
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