Wacker Neuson increases forecast on the basis of strong Q1 2011 performance
Q1 2011 was an exceptionally strong quarter for Wacker Neuson. The Group increased revenue compared to the same quarter last year by 40.9 percent to EUR 211.8 million (Q1 2010: EUR 150.3 million). The EBITDA margin (profit before interest, tax, depreciation and amortization) rose much faster from 2.4 percent for the same quarter last year to 12.2 percent.
Due to this backdrop, the Executive Board has reviewed the forecast for the entire fiscal year. They now expect revenue to increase between EUR 880 and 920 million (which corresponds to a growth rate between 16 and 21 percent) and the EBITDA margin to settle between 12 and 13 percent. Previously, the Group had projected that revenue would rise at least 15 percent to EUR 870 relative to 2010’s figure (previous year: EUR 757.9 million) and that the EBITDA margin would be at least 12 percent (previous year: 10.3 percent).
Following a construction period for the new R&D center and Group headquarters in Munich of around three years, the company will have completed and moved into the new buildings by June 2011. The Executive Board intends to vacate and sell the part of Wacker Neuson SE’s property at Munich (Milbertshofen) that will no longer be required after the move. The Executive Board’s current forecast does not include the one-off proceeds that would accrue to the company in the event of sale. The sales proceeds could, however, make a significant contribution to earnings.
From today’s perspective and assuming the market continues to develop positively, the company expects to exceed pre-crises revenue levels (the merged Wacker Neuson reported pro-forma revenue of around EUR 1 billion in 2007) one year earlier than anticipated in 2012. The company also expects to achieve an EBITDA margin of 15 percent when it reaches the 1 billion mark.
The company will be publishing its Q1 report on May 13, 2011.
Additional information on Wacker Neuson SE shares:
Admission: Regulated market / Prime Standard; Frankfurt Stock Exchange
Company headquarters: Germany