Drägerwerk AG & Co. KGaA / Key word(s): Preliminary Results/Change in Forecast
Drägerwerk AG & Co. KGaA: preliminary result for the third quarter. Increased guidance for net sales development.
15-Oct-2019 / 14:22 CET/CEST
Disclosure of an inside information acc. to Article 17 MAR of the Regulation (EU) No 596/2014, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
Ad-hoc notification in accordance with Sec. 17 of the MAR
Drägerwerk AG & Co. KGaA: preliminary result for the third quarter. Increased guidance for net sales development
Based on preliminary figures for the third quarter, Dräger recorded a year-on-year growth in order intake of 4.3 percent (net of currency effects; nominal: 5.8 percent). Net sales increased by 6.4 percent (net of currency effects; nominal: 8.1 percent) to around EUR 663 million (Q3 2018: EUR 613.3 million). EBIT for the third quarter stood at around EUR 9 million, hence materially above the level of the prior year (Q3 2018: EUR -4.4 million). The higher earnings are predominantly a result of the higher net sales volume. Exchange rate developments also had a slightly positive effect on earnings.
Order intake increased by 3.5 percent year on year in the first nine months of 2019 (net of currency effects; nominal: 4.4 percent). In terms of products, order intake was particularly strong in Safety. Order intake in Medical slightly declined. In the regions Europe and America the order intake (net of currency effects) was nearly 5 percent above last year's level. The region Africa, Asia and Australia had a stable order intake development (net of currency effects). Group net sales increased by 8.9 percent (net of currency effects; nominal: 9.8 percent) to around EUR 1,899 million (9 months 2018: EUR 1,729.1 million). Total earnings before interest and taxes (EBIT) stood at approximately EUR -3 million (9 months 2018: EUR -41.0 million).
On the basis of the strong net sales development, Dräger increases the net sales guidance for fiscal year 2019. Dräger now expects net sales growth (net of currency effects) for the full year to be at between 4.0 to 6.0 percent (previous guidance: higher end of between 1 to 4 percent (net of currency effects)). The expectation for the EBIT margin remains between 1.0 percent and 3.0 percent. The guidance for the EBIT-margin includes expected restructuring costs of roughly EUR 10 million.
Dräger will publish its full results for the first nine months of the fiscal year on October 30, 2019.
Drägerwerk AG & Co. KGaA
Moislinger Allee 53-55
23558 Lübeck, Deutschland
Tel. +49 451 882-2685
Tel. +49 451 882-3998
This ad hoc report contains statements on the future development of Dräger Group. These forward-looking statements are based on the current expectations, presumptions, and forecasts of the Executive Board as well as the information available to date. They were compiled to the best of the company's knowledge. Dräger does not provide any warranty nor assume any responsibility for the future developments and results described above. These are dependent on a number of factors. They entail various risks and contingencies outside of the company's influence and are based on assumptions which could prove to be incorrect. Dräger does not assume any responsibility for updating the forward-looking statements contained in this report. This does not infringe any legal stipulations on the adjustment of forecasts. Please go to Investor Relations / Definitions of financial indicators at www.draeger.com for information on alternative performance measures used.
15-Oct-2019 CET/CEST The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Archive at www.dgap.de