German Pellets GmbH i.I.
German Pellets Half-Year Report: Forecast for 2015 Confirmed
Press Release German Pellets Half-Year Report: Forecast for 2015 Confirmed – Growth in turnover and EBITDA despite price downturn in the sales markets – Investments in further growth Wismar, 26 August 2015: In the first half year of 2015, the German Pellets-Group expanded its market position and further invested in future growth. The sales quantities were able to be increased in all market segments. In this way, the price downturn in the market was compensated for, and once again turnover growth was attained. In the first six months of 2015, the Group’s overall result amounted to EUR 293.6 m. (previous year: EUR 263.5 m.). At the same time the group of companies proved itself able to slightly improve its operational earnings in relation to the previous-year period. EBITDA rose to EUR 26.3 m. in the reporting period (previous year: EUR 24.9 m.). “Our strategy for expanding sales is already reaping rewards now. Naturally, this makes us optimistic for the future”, says Peter H. Leibold, Managing Director of German Pellets GmbH. The expansion of US production capacity also contributed to the group result in the first half of 2015. The company’s equity capital was able to be further boosted by means of the implementation of the growth strategy. Among other things, this is attributable to a further improvement in earnings; operational cash-flow rose from EUR 3.1 m. in the first half of 2014 to reach EUR 8.9 m. as of 30 June 2015. As of the end of the reporting period, the equity ratio rose to 15.6 per cent (31 December 2014: 14.8 per cent). With the launch of operations at the second US site operated by German Pellets, namely in Urania, Louisiana, the company benefited even more strongly from more favourable production costs in the US. The natural securing of the US production by concluding the sales contracts in US dollars proved to be the right strategy: accordingly, as before, the strong US dollar has not to date exerted any negative effect on the earnings of the US companies. For the future, German Pellets is also planning to sell product on the US market through working with established-name partners. Investments in further growth Furthermore, German Pellets is at a well-advanced stage of negotiations with the German energy provider E.ON regarding the takeover of a coal-fuelled power-station in Belgium. Currently German Pellets Holding Belgium NV is being formed for this purpose. The aim is to convert the plant from coal to wood pellets. Current market developments against the background of the oil-price development In the industrial heating and power-generating markets an upturn in demand is expected, independently on oil price developments. A number of heat and power stations are in a project planning status to be converted from coal to alternative energy-carriers (wood pellets, among others) in the Netherlands, Denmark, Belgium, Sweden and the United Kingdom. From 31 August 2015 the complete half-year report can be obtained on the website www.german-pellets.de, under ‘Investor Relations’. Press Contact: End of Media Release Issuer: German Pellets GmbH Key word(s): Energy 2015-08-26 Dissemination of a Press Release, 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 |
389727 2015-08-26 |