Positive performance from Micronas in first nine months
(PresseBox) (Zurich, ).
- Net sales up by 13 percent in the first nine months of 2012
- Gross margin rises to 41 percent
- Operating profit improves by 46 percent
- EBIT margin of 15 percent
- Owing to the general weakness of the car industry, sales of about CHF 167 million are now expected for 2012
- The EBIT margin is now forecast to be between 14 and 15 percent
Micronas Group posted consolidated net sales of CHF 43.5 million in the third quarter, compared with CHF 42.7 million in the second. The Company achieved sales of CHF 130.3 million for the first nine months of 2012, compared with CHF 115.2 million in the first nine months of 2011. This represents sales growth of 13.1 percent. After adjusting for currency movements - i.e. in euros - the growth was 16.5 percent. The Japanese' car industry's recovery from the effects of last year's earthquake, and the strength of the Japanese yen against the euro had a positive effect on the nine-month sales figure at Micronas. The gross margin for the first three-quarters of 2012 rose to 40.9 percent, up from 35.7 percent in the same period last year. Operating profit (EBIT) stood at CHF 6.6 million in the third quarter (CHF 5.8 million in the second). Operating profit for the first nine months of 2012 increased to CHF 19.7 million (CHF 13.5 million in the equivalent period in 2011), giving an EBIT margin of 15.1 percent.
Including the financial result and a tax credit of CHF 6.1 million, Micronas showed a third-quarter profit of CHF 9.7 million (second quarter: CHF 3.7 million). Having posted a loss of CHF 1.1 million in the first nine months of 2011, Micronas achieved a profit of CHF 16.6 million in the first nine months of 2012, giving earnings per share of CHF 0.56. At the end of September 2012, Micronas held cash, cash equivalents and short-term financial investments of CHF 167.9 million, compared with CHF 156.2 million at end-2011. With equity capital at CHF 147.7 million (CHF 129.2 million at the end of 2011) the equity ratio improved to 50.2 percent.
The Automotive division's sales went up 3.0 percent on the previous quarter to CHF 40.4 million. Sales for the first nine months of 2012 rose 16.7 percent compared with the year-back figure to CHF 121.4 million. After adjusting for currency movements (in euros) the rise was 20.2 percent. Operating profit (EBIT) came to CHF 7.3 million in the third quarter (CHF 5.5 million in the second). The division's operating profit for the first nine months of 2012 stood at CHF 21.3 million, compared with CHF 13.1 million in the first nine months of 2011. As a result, its EBIT margin went up from the year-back figure of 12.6 percent to 17.5 percent.
Industrial products and the remaining Consumer products, which are reported together under "Others", achieved sales of CHF 8.9 million in the first nine months.
The Company's manufacturing facilities in Freiburg ran at around 80 percent capacity in the first nine months of 2012. During the third quarter, capacity utilization fell to just under 80 percent. Owing to the predicted weakening of the car industry in the fourth quarter, sales are expected to be lower in the fourth quarter than in the third. This is already being reflected in the volume of incoming orders, which declined in the third quarter compared to the second. The third-quarter book-to-bill ratio was 0.80. The book-to-bill ratio for the whole of the first nine months of 2012 was 1.01.
Owing to the weakening of the car industry worldwide, the Board of Directors and Management now expect net sales of approximately CHF 167 million for full-year 2012. The EBIT margin is expected to be between 14 and 15 percent.
This press release contains forward-looking statements, such as projections, forecasts and estimates. Such forward-looking statements are dependent on certain risks and uncertainties which may cause actual results, performance or events to differ materially from those anticipated in this press release. The forward-looking statements contained in this press release are based on Micronas' views and assumptions as of this date and Micronas does not assume any obligation to update or revise this press release. This press release does not constitute an offer to sell or the solicitation of an offer to buy any securities in any jurisdiction.