14 August 2015, 08:18
Total Group revenues up 4.2 percent to EUR 780.4 million
Net loss for the period according to plan at EUR -6.8 million (previous year: EUR -11.0 million)
Orders in hand up 13.9 percent to EUR 881.5 million (previous year: EUR 773.7 million)
The first half of the year went according to plan for the BAUER Group. Thanks to the solid order situation, the international construction and machinery manufacturing concern remains optimistic for the rest of the fiscal year. With the major remediation project for the former Kesslergrube landfill, the largest single contract in the company’s history, valued at more than EUR 100 million, the Group’s orders in hand through August once again rose sharply.
Total revenues for the BAUER Group at the end of first half of the year were EUR 780.4 million, 4.2 percent above the previous year (EUR 749.2 million). EBIT came in at EUR 16.0 million versus EUR 13.6 million for the first half of 2014. Net loss for the period was in line with expectations at EUR -6.8 million (previous year: EUR -11.0 million). Orders in hand rose at the end of June by 13.9 percent to EUR 881.5 million.
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 improved results in the first half of the year. Almost all regions of the world experienced an upturn. Total Group revenues for the Construction segment totaled EUR 369.9 million, an increase of 4.0 percent from the previous year. Segment EBIT increased by 39.4 percent to EUR 10.4 million. The net result for the period improved from EUR -1.7 million in the previous year to EUR 1.5 million. Orders in hand in the Construction segment increased 15.5 percent to EUR 550.8 million, despite the completion of large projects, and are distributed evenly across the regions.
Orders in hand in the Equipment segment increased from EUR 127.6 million in the previous year to EUR 157.0 million. This was mostly attributable to orders for deep drilling rigs and small machines. Total Group revenues rose 5.1 percent over the previous year to EUR 333.4 million, as did sales revenues, which increased 8.9 percent to EUR 237.9 million. EBIT fell from EUR 13.1 million in the previous year to EUR 8.4 million. The net result for the period also decreased from EUR 0.0 million in the previous year to EUR -2.9 million in the current year. The first half of 2015 saw fewer sales of large and complex machinery. Numerous orders will also be delivered to customers in the second half of the year.
There is great potential for the Resources segment, which serves the future markets of water, environment and natural resources. Larger contracts are expected in various locations worldwide in the near future. In July, the BAUER Group was awarded the contract for the remediation of the old Kesslergrube landfill in Grenzach-Wyhlen. The project, valued at over EUR 100 million, underscores the company’s competence in this area. The realignment of the segment is requiring extra effort, as results are somewhat below expectations. Total Group revenues in the first half of the year totaled EUR 102.1 million, roughly on par with the previous year (EUR 101.0 million). EBIT came in at EUR -3.2 million (previous year: EUR -3.3 million). The net loss for the period was EUR -7.1 million (previous year: EUR -6.7 million). Orders in hand, at EUR 173.8 million, are up 2.8 percent from the previous year.
The BAUER Group is optimistic about its progress during the first half of the year. “We see a positive trend for our business. The recently awarded large contract will further encourage this development,” says Prof. Thomas Bauer, Chairman of the Management Board of BAUER Aktiengesellschaft. The company confirmed its full-year forecast predicting total Group revenues of around EUR 1.6 billion, profit after tax of EUR 18 to 23 million and EBIT of around EUR 75 million.
Source: BAUER Aktiengesellschaft; Bauer Group