HÖRMANN Industries GmbH (formerly HÖRMANN Finance GmbH; German Securities Code Number (WKN) of corporate bond: A2AAZG) has presented its preliminary figures for the past financial year. The Group, which incorporates the operating subsidiaries of the HÖRMANN Group and had around 2,800 employees in the 2016 financial year, generated consolidated sales of EUR 464.6 million (previous year: EUR 435.4 million) and EBIT of EUR 16.9 million (previous year: EUR 11.9 million). Consolidated income after interest and taxes amounted to around EUR 11 million (previous year: EUR 6.2 million). This meant the medium-sized conglomerate achieved substantially higher sales and earnings growth than originally forecast. This was mainly due to the pro rata sales and earnings contributions from the first-time consolidation of Funkwerk AG and VacuTec Messtechnik GmbH in the fourth quarter of 2016 and higher than expected organic growth in the Automotive and Engineering segments.

Earnings also include non-recurring expenses of around EUR 4 million in connection with the adjustment of domestic staff capacities at Automotive sites in the form of provisions, which are necessary due to the planned expansion of automation and internationalisation. The expansion of automation at the German sites and the relocation of labour-intensive products to the new factory in Slovakia are aimed at more flexible and efficient production and a better competitive position in the Automotive division.

Total assets at HÖRMANN Industries GmbH rose from around EUR 227 million to roughly EUR 262 million as at 31 December 2016, resulting mainly from the aforementioned initial consolidation. Owing to the good earnings performance and the capital increase through contributions in kind, the equity base improved from around EUR 76 million to roughly EUR 98 million in the period under review, equating to an equity ratio of approximately 37% (previous year: approximately 33%). With net cash and cash equivalents of approximately EUR 69 million (previous year: EUR 78 million), HÖRMAN Industries GmbH retained good liquidity following early repayment of the EUR 50 million 2013/2018 bond last financial year.

Johann Schmid-Davis, CFO of HÖRMANN Industries GmbH: ‘We are satisfied with our performance in 2016. This year, we intend to make the most of both our strength in terms of earnings and finances as well as the good general economic conditions to consolidate our technological and competitive positions through targeted investment and a systematic expansion in our international operations.’

HÖRMANN Industries offers a varied range of products in different sectors across its Automotive (accounting for 74% of sales), Engineering (11% of sales) and Communication (15% of sales) divisions. Only last year, the technology specialist expanded its industrial portfolio by acquiring majority holdings in Funkwerk AG, a listed company, and VacuTec Messtechnik GmbH.

The management of HÖRMANN Industries GmbH is forecasting consolidated sales of around EUR 480 million to EUR 490 million and operating EBIT in the region of EUR 12 million for the current 2017 financial year. The results of operations will be influenced to a significant extent by additional investments and non-recurring expenses for the relocation of production and re-alignment in the Automotive division.

HÖRMANN Industries GmbH’s finalised consolidated financial statements for the 2016 financial year will be published on 31 May 2017.