United Power Technology AG
United Power Technology with sales growth due to currency effects
United Power Technology AG / Key word(s): Half Year Results Half-Year-Results 2015 – Revenues increased by 17.7 per cent to 62.6 million Euros year-on-year – EBIT margin dropped by 1.2 percentage points compared to H1/2014 to 12.3 per cent – Cautious outlook for 2015 confirmed Eschborn, Germany, 20 August 2015 – United Power Technology AG (United Power), one of the leading manufacturers of engine-driven power equipment in China, increased its revenues by 17.7 per cent to EUR 62.1 million in the first six months 2015. This development was mainly due to currency effects as a result of a weaker Euro compared to the same period last year as the revenues are denominated in RMB and USD. Measured in RMB terms with stable exchange rates, the revenue decreased by 4.5 per cent compared to previous year. Nevertheless the Company was able to add seven new customers to the portfolio and with Mongolia one new country during the reporting period. On segment level, revenues from the commercial generator segment increased by 15.9 per cent to EUR 33.8 million. The sales from the residential generator segment rose by 23.2 per cent and contributed EUR 26.2 million to the total revenues. Sales in the outdoor power equipment segment where United Power had introduced new products during the first six months 2015 increased by 9.8 per cent to EUR 2.7 million. Despite the headwinds in the market environment United Power Technology stayed profitable. Year-on-year the operating result (EBIT) increased slightly by 7.3 per cent EUR to 7.7 million representing an EBIT margin of 12.3 per cent after 13.5 per cent in the first six months 2014. The net profit remained practically unchanged at EUR 5.1 million in the first half 2015. Cash and cash equivalents amounted to EUR 54.5 million at the end of the six months of 2015. This represents an increase of 8.7 per cent since the end of fiscal year 2014 and is mainly due to cash generated from operations. During the reporting period the Group’s total equity grew by 11.7 per cent to EUR 137.9 million (31 December 2014: EUR 123.4 million). This corresponds to an equity ratio of 74.4 per cent. Outlook for the second half of 2015 The Company confirms its outlook for 2015 as published in the annual report 2014. It expects the overall financial results in the full year 2015 again to be weaker than in 2014. Concerning the group revenues United Power predicts to halt the downward trend in 2015 assuming a stable RMB:EUR exchange rate of 6.7:1. “According to our strategy we will focus on stepping up the sales and brand building efforts as well as the development of larger generators including industrial generators. Therefore we intend to strengthen our sales and distribution forces as well as the R&D activities in the second half of 2015. Following this strategy we already have hired additional staff that is highly experienced in marketing and sales of industrial generators”, says Xu Wu, Chairman of the Management Board. Although the company predicts to halt the downward trend of group revenues in 2015, the Management foresees gross margin and EBIT margin to drop by about 2 – 5 percentage points. The latter is mainly due to further price adjustments, higher fixed asset depreciation as well as a significant step up in sales, brand building and distribution as well as research and development budget. The complete Half-year Report 2015 of United Power is available at the link http://www.unitedpower.de.com/en/ip_node/4. About United Power Technology Group United Power Technology Group designs, develops, manufactures and sells engines and an extensive range of engine-driven power equipment, including generators, outdoor power equipment, as well as components. Its major products comprise residential as well as commercial generators, which are currently delivered to end users in more than 70 countries around the world. The operational companies of United Power Technology Group are incorporated under the laws of the People’s Republic of China and located in Fuzhou and Shanghai, China. For further requests please contact: Disclaimer concerning prognoses Contact: Kirchhoff Consult AG Andreas Friedemann Herrengraben 1 D-20459 Hamburg T +49 40 60 91 86 50 F +49 40 60 91 86 16 andreas.friedemann@kirchhoff.de 2015-08-20 Dissemination of a Corporate News, transmitted by DGAP – a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de |
Language: | English | |
Company: | United Power Technology AG | |
Mergenthalerallee 10-12 | ||
65760 Eschborn | ||
Germany | ||
Phone: | +49 6196 400804 | |
Fax: | +49 6196 400910 | |
E-mail: | oliver.kuan@unitedpower.cn | |
Internet: | www.unitedpower.de.com | |
ISIN: | DE000A1EMAK2 | |
WKN: | A1EMAK | |
Listed: | Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart | |
End of News | DGAP News-Service |
388123 2015-08-20 |