Capital market-relevant press releases, 2003-08-14, 02:00 AM
ThyssenKrupp in the 3rd quarter of 2002/2003:
Still holding up well: Weak economy weighing down earnings
Pre-tax income of 700 million euros targeted for full fiscal year
The 3rd quarter of fiscal 2002/2003 continued to be impacted by the weak state of the world economy. Sales and orders slipped. The Group`s income before taxes and minority interest in the 3rd fiscal quarter was 221 million euros, compared with 316 million euros a year earlier.
The highlights for the 3rd quarter and the first nine months of fiscal 2002/2003 were as follows:
- Order intake in the reporting quarter was 9.1 billion euros, 4% lower than the year-earlier period. Orders in the first nine months of 2002/2003 were 27.2 billion euros, 1% lower than a year earlier.
- Sales in the 3rd quarter were 8.9 billion euros, 8% down from the prior-year quarter. Sales in the first nine months were 26.8 billion euros, likewise 1% lower than a year earlier.
- EBITDA in the 3rd quarter was 645 million euros, 18% lower than the previous year; in the first nine months EBITDA was 1,924 million euros, 4% higher than a year earlier.
- 3rd quarter earnings before taxes and minority interest were 221 million euros, compared with 316 million euros a year earlier. The prior-year quarter benefited from profits on the sale of activities in the Automotive and Technologies segments in the total amount of 47 million euros and particularly high income from the fair value measurement of foreign currency positions and derivatives in the amount of 42 million euros. In the first nine months earnings before taxes and minority interest were 612 million euros, 172 million euros more than a year earlier.
- Basic earnings per share were 0.42 euros in the 3rd quarter, compared with 0.39 euros a year earlier.
- Normalized earnings per share amounted to 0.23 euros, compared with 0.31 euros a year earlier.
- The Group`s net financial payables amounted to 4.9 billion euros at June 30, 2003. Despite the dividend payment and the repurchase of shares for a total price of approximately 0.4 billion euros, they increased only 126 million euros against September 30, 2002. Compared with June 30, 2002, the Group`s financial debt was lowered by 1.4 billion euros.
Prof. Dr. Ekkehard Schulz, Executive Board Chairman of ThyssenKrupp AG: "There was still no brightening of the economic picture in the 3rd quarter of fiscal 2002/2003. Due to declining orders in key sectors, a rapid improvement in the situation is not expected." Assuming no further deterioration in the world economic parameters at least in the short term, normalized pre-tax earnings of 700 million euros are targeted for fiscal year 2002/2003.
Prof. Dr. Schulz: "If the weakening tendencies in the key auto, construction and mechanical engineering sectors continue in the coming months, we will review our plan of achieving pre-tax earnings of 1.5 billion euros in fiscal year 2003/2004." Since the plan was presented at the 2002 Annual Stockholders` Meeting, the economic parameters have continuously deteriorated.
The full interim report is available in German and English; both versions can also be viewed online or downloaded at http://www.thyssenkrupp.com.