BAUER AG recorded a good start of the business year

• Total Group revenues up 8.2 percent at EUR 409.1 million

• Net loss for the period according to plan at EUR -8.6 million (previous year: EUR -7.4 million)

• Orders in hand grow by 17.6 percent to EUR 848.2 million
  (previous year: EUR 721.1 million)

Business at the BAUER Group started off well in the first quarter. The international construction and machinery manufacturing concern benefited from strong construction markets in nearly all regions of the world.

Total Group revenues were EUR 409.1 million at the end of March – an 8.2 percent increase against the previous year (EUR 378.1 million). EBIT was recorded at EUR 1.2 million in comparison to EUR 4.9 million for the previous year's corresponding quarter. Net loss for the period was in line with expectations at EUR -8.6 million (previous year: EUR -7.4 million). Orders in hand rose by a significant 17.6 percent from EUR 721.1 million to EUR 848.2 million.

Business segments

With its three segments – Construction, Equipment and Resources – and its broadly diversified business model, the Group operates through more than 110 subsidiaries in some 70 countries around the world.

The Construction segment saw business pick up in nearly all regions of the world and is currently marked by a large number of small and medium-sized projects. Total Group revenues increased by 8.4 percent to EUR 193.5 million. EBIT improved from EUR 1.5 million to EUR 4.9 million. A net profit of EUR 1.1 million was recorded for the period (previous year: a loss of EUR -3.4 million), which is unusual for the seasonal nature of the business. The company now expects that the problematic projects in the past will no longer negatively impact its result. Although large projects have been completed, the trend in orders in hand has been very healthy, rising by 17.8 percent to EUR 513.3 million.

The Equipment segment saw strong demand; however less large and complex equipment was delivered in the first quarter. There was a positive development in the number of orders received, which increased by 6.8 percent to EUR 176.7 million in the first three months. Much of the equipment will however only be delivered in the coming weeks, meaning that the sales and earnings figures are behind in comparison. Total Group revenues increased by 6.1 percent against the previous year to EUR 173.8 million, while sales revenues were down 2.4 percent at EUR 100.5 million. EBIT decreased significantly from EUR 5.6 million to EUR 0.9 million. Net loss for the period worsened from EUR -0.9 million to EUR -5.9 million. Orders in hand increased significantly from EUR 111.8 million to EUR 161.6 million. This growth has come mainly from business with deep drilling rigs. At the four-day in-house exhibition at headquarters in Schrobenhausen at the end of April, which was visited by 1,700 customers from more than 70 countries, particular interest was shown in new developments and deep drilling rigs for oil and gas.

The materials and environment areas are progressing well in the Resources segment. It was mainly thanks to them that total Group revenues rose by 12.1 percent to EUR 54.3 million. EBIT was recorded at EUR -2.9 million (previous year: EUR -2.1 million), and net loss for the period amounted to EUR -4.7 million (previous year: EUR -3.6 million). Orders in hand for the segment are solid, valued at EUR 173.3 million. The segment needs to keep working on reorganization, but it has very good chances for getting new projects.