Good demand for BWT-water technology products in the first three months 2010
- Sales € 112.0 million (+21.9%)
- EBIT € 7.8 million (+18.0%)
- Net earnings € 5.5 million (+28.3%)
„Supported by a light tailwind in key markets and our growth initiatives and innovations in the point of use and pharma markets we had a good start into 2010 in the first quarter“, says Andreas Weissenbacher, CEO of the BWT Group about the first quarter results 2010.
The consolidated revenues of the BWT Group rose from € 91.9 million or by 21.9% to € 112.0 million in the first quarter. The point-of-use business with the product segments "BWT water & more" coffee machine filters, "Perfect Water" table water filters and water dispensers already accounts for approx. 7% of consolidated revenues. EBIT grew by 18.0% reaching € 7.8 million. The Group net earnings after minority stakes amounted to € 5.5 million, while in the preceding year it was € 4.3 million (+28.2%). Earnings per share were € 0.31 as compared to € 0.24 in the previous year.
In the first quarter, despite higher earnings, the increased demand for working capital (primarily in relation to inventories and accounts receivables) due to sales expansion resulted in a negative cash flow from operating activities of € -1.1 million, while € +1.2 million was achieved in the previous year. Investing activities in the BWT Group also declined in the first quarter: At € 2.2 million, a third less was spent on property, plant and equipment and intangible assets than in the previous year.
The BWT Group´s net debt remained low. Gearing amounted to 16.5% in comparison with 20.5% at the same time in the previous year. The BWT Group’s equity was 46.0% of total assets as at 31 March 2010 after 48.5% one year before. The number of employees rose to 2,736 from 2,363 at the end of March 2009.
Andreas Weissenbacher: „We expect that the high levels of government debt and the tax increases under consideration will weigh on both private and public consumption and the behaviour of investors. It is highly unlikely that the general economic conditions will permit a further improvement in the gross margin. Our goal for the financial year to match the exceptionally positive effects from the sale of an equity interest last year with growth in operating earnings and thus keeping consolidated earnings overall at last year's level, is challenging.”
Overview Quaterly Reports