H&R GMBH & CO. KGAA (FRA:DE000A2E) H&R GmbH & Co. KGaA: Preliminary figures for Q1-2019 with higher sales and an improved cash flow

Directive transparence : information réglementée

26/04/2019 15:24

DGAP-Ad-hoc: H&R GmbH & Co. KGaA / Key word(s): Preliminary Results/Quarter Results
H&R GmbH & Co. KGaA: Preliminary figures for Q1-2019 with higher sales and an improved cash flow

26-Apr-2019 / 15:24 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.

Insider information pursuant to Article 17 of the Market Abuse Regulation [MAR]

Preliminary business results for the 1st quarter 2019

H&R GmbH & Co. KGaA: Preliminary figures with higher sales and an improved cash flow

- EBITDA reaches EUR 20.1 million

- Free cash flow at EUR 25.4 Mio.

- Sales of EUR 286.1 million higher than in prior-year quarter

Salzbergen, Germany, April 26, 2019. H&R GmbH & Co. KGaA (abbrev.: H&R KGaA; DE000A2E4T77) recorded a solid operating income of EUR 20.1 million (Q1/2018: EUR 23.7 million) in the first quarter of 2019 (EBITDA - Consolidated income before tax, other financial income and expenses and depreciation/amortization, impairment and appreciation of fixed assets and property, plant and equipment) according to preliminary calculations. EBIT amounted to EUR 9.4 million (Q1/2018: EUR 15.4 million), earnings before taxes (EBT) EUR 7.3 million (Q1/2018: EUR 13.8 million). All in all, net profit to shareholders amounted to EUR 5.1 million (Q1/2018: EUR 9.9 million). This figure was achieved with sales of EUR 286.1 million. This is around 5.6 % more than in the previous year (Q1/2018: EUR 270.9 million). This was mainly due to higher sales volumes and partially better product prices, in contrast to the prior-year and comparable quarters, which showed increases due to higher raw material prices.

Cash flow clearly positive in Q1 2019

Despite a lower consolidated income, the operating cash flow developed positively from EUR -2.9 million to EUR 43.6 million in the first quarter of 2019. This was mainly due to the changes in net working capital requirements, which decreased significantly. At EUR 25.4 million, free cash flow also improved strongly despite higher investing activities (Q1/2018: EUR -17.3 million).

Sales volumes above previous year

In the first quarter of 2019, the refineries of the REFINING segment sold roughly the same volumes as in the previous year, but achieved better product prices. Sales revenues increased accordingly to EUR 183.6 million (Q1/2018): EUR 175.3 million). On the earnings side, this was offset by windfall losses, as most of the raw materials purchased at the end of the year at higher prices were still processed in the first quarter. EBITDA for the segment was EUR 13.4 million (Q1/2018: EUR 15.8 million). The international offices of our SALES segment sold significantly more products and generated sales of EUR 93.8 million (Q1/2018: EUR 82.1 million). However, prices remained under pressure, with the result that the operating result fell slightly short of the previous year as a result of the global economic challenges: Instead of EUR 7.4 million, EUR 7.0 million was achieved in the first quarter of 2019. The PLASTICS segment only achieved a balanced EBITDA of TEUR 62 (Q1/2018: EUR 1.3 million), in which revenues fell from EUR 15.2 million in the previous year to EUR 11.5 million. This is due to the recent weakness of the automotive industry.

Solid equity position

Balance sheet total increased to EUR 795.4 million at the end of the first quarter of 2019 (Dec. 31, 2018: EUR 730.4 million). The Group's equity rose to EUR 365.4 million at the balance sheet date (Dec. 31, 2018: EUR 357.4 million). The changes are mainly related to higher Retained earnings and other reserves. Equity ratio amounts to 45.9 % (Dec. 31, 2018: 48.6 %).

H&R KGaA confirms, for the time being, its 2019 forecast range of EUR75.0 to EUR90.0 million and will refrain from a more specific forecast at this early stage.

For a complete presentation of business performance including segment reporting and the quarterly financial statements, H&R KGaA refers to the quarterly report 1/2019 to be published on 15 May 2019.

H&R GmbH & Co. KGaA, Head of Investor Relations / Communication, Ties Kaiser
Neuenkirchener Straße 8, 48499 Salzbergen
Phone.: +49 40 43218-321, Fax: +49 40 43218-390
Mail: ties.kaiser@hur.com

H&R GmbH & Co. KGaA:
H&R KGaA is a specialty-chemicals company listed on the Frankfurt Stock Exchange's Prime Standard segment. It develops and manufactures crude-oil-based chemical and pharmaceutical specialty products and produces high-precision plastic parts.

Forward-looking statements and forecasts:
This insider information pursuant to Article 17 of the Market Abuse Regulation [MAR] contains forward-looking statements. The statements are based on the current estimates and forecasts by the Management Team and the information available to it at this time. These forward-looking statements do not provide any warranty for the future developments and results contained therein. The future developments and results are dependent on a number of factors; they entail various risks and contingencies and are based on assumptions which could prove to be incorrect. We do not assume any responsibility for updating the forward-looking statements contained in this insider information pursuant to Article 17 of the MAR.

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Language: English
Company: H&R GmbH & Co. KGaA
Neuenkirchener Str. 8
48499 Salzbergen
Phone: +49 (0)40 43 218 321
Fax: +49 (0)40 43 218 390
E-mail: investor.relations@hur.com
Internet: www.hur.com
ISIN: DE000A2E4T77
Listed: Regulated Market in Dusseldorf, Frankfurt (Prime Standard), Hamburg; Regulated Unofficial Market in Berlin, Hanover, Munich, Stuttgart, Tradegate Exchange
EQS News ID: 803839

End of Announcement DGAP News Service

803839  26-Apr-2019 CET/CEST