29.01.2009 07:16 CET

Schuler looks back on successful year

Schuler can look back on a successful fiscal year 2007/08 in which it was able to raise all its key operating figures. Progress was particularly encouraging in the field of new orders and sales. The targets set at the time of the Müller Weingarten acquisition were thus achieved in full.

The figures presented are only comparable with those of the previous year to a limited degree, as Müller Weingarten was only included in the accounts for the previous fiscal year 2006/07 on the basis of a short fiscal year (April 1, 2007, to September 30, 2007).

Improved earnings

In the past fiscal year, earnings before interest and taxes (EBIT) amounted to € 36.7 million, compared with € 45.9 million in the previous year. However, the previous year was heavily influenced by one-off income from the sale of commercial real estate in Göppingen, Germany, amounting to € 31.0 million. Adjusted for this item, EBIT grew significantly by € 21.8 million, from € 14.9 million to € 36.7 million. The same effect was also noticeable among other key earnings figures: pre-tax earnings (EBT) amounted to € 10.9 million (prior year: € 27.9 million) and net income reached € 8.6 million (prior year: € 13.9 million).

In order to strengthen the Group’s equity base, the Board of Management and Supervisory Board of Schuler AG will recommend to the Annual General Meeting not to pay a dividend for the fiscal year 2007/08.

Sales well above prior-year figure

Consolidated sales of the Schuler Group in the fiscal year 2007/08 amounted to € 966.1 million, compared with € 725.0 million in the previous year. Sales in America reached € 215.4 million (prior year € 205.4 million) and in Asia € 169.4 million (prior year € 94.6 million). In Germany, Schuler generated revenue of € 382.6 million (prior year € 262.9 million) and in the rest of Europe € 194.0 million (prior year € 158.1 million). The total proportion of consolidated sales generated outside Germany amounted to 60.4% (prior year 63.7%).

New orders exceed one billion euros for first time

For the first time in its history, Schuler received new orders in excess of one billion euros (€ 1,006.2 million) in the past fiscal year (prior year € 835.8 million). New orders from America reached € 220.4 million, compared with € 274.6 million in the previous year. Orders received from Asian customers totaled € 188.4 million (prior year € 104.2 million). In Germany, the value of new orders received reached € 389.4 million (prior year € 307.9 million). Orders from other European nations amounted to € 205.2 million (prior year € 146.2 million). The proportion of new orders received from outside Germany amounted to 61.3%, following 63.2% in the previous year.

First quarter of FY 2008/09

In the first quarter of the new fiscal year 2008/09 – a year which has generally been the most economically challenging for decades – Schuler has also observed a falling demand. Preliminary consolidated sales amounted to around € 220 million and new orders were just over € 180 million. Preliminary order backlog amounted to around € 700 million. The final figures for the first quarter of fiscal year 2008/09 will be published on February 16, 2009.

Outlook

The financial and economic crisis will have a strong impact on Schuler’s fiscal year 2008/09. The development of business cannot be accurately forecast at present, as it will depend largely on the further course of the financial and economic crisis and the implementation of the planned economic recovery programs. In the current environment, Schuler expects a fall in business volume.

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