DGAP-News: INDUS Holding AG / Key word(s): Half Year Results INDUS Holding AG: INDUS continues positive trend 14.08.2018 / 07:37 The issuer is solely responsible for the content of this announcement. --------------------------------------------------------------------------- INDUS continues positive trend - Revenues climb 5.1 % based on strong organic growth - Acquisition of remaining shares sends EBT rising (+11.1 %) - Earnings per share up disproportionately to EUR 1.76 Bergisch Gladbach, 14 August 2018 - Supported by a good economic environment, the INDUS Group is performing to plan at the half-year stage of 2018. Sales revenues of INDUS Holding AG increased by 5.1 % to EUR 844.7 million in the first six months of the fiscal year (H1 previous year: EUR 803.5 million). This mostly organic increase is mainly attributable to growth in the Metals Technology and Construction/Infrastructure segments. Earnings before interest and taxes (EBIT) rose by 4.8 % to EUR 76.2 million (H1 previous year: EUR 72.7 million). Adjusted for the effects of company acquisitions, EBIT stood at EUR 81.2 million (H1 previous year: EUR 78.5 million). The INDUS Group as a whole achieved an EBIT margin of 9.0 % in the first half of 2018. The adjusted EBIT margin amounts to 9.6 %. Earnings in the Construction/Infrastructure segment continue to grow at a high level. The highly profitable Engineering segment also delivered a solid performance. Although the Medical Engineering segment is feeling the effects of fierce competition and stricter regulatory requirements, the margin target of 13 % to 15 % for the full year remains realistic. Revenues and earnings in the Metals Technology segment are showing a clear upward trend. In the Automotive Technology segment, series production suppliers continue to face growing pressure on margins. "Our portfolio companies upstream and downstream of automotive series production which have a clear engineering focus continue to show a good performance," said Dr. Johannes Schmidt, Chairman of the INDUS Board of Management. "The situation for series production suppliers, which is difficult anyway, is being aggravated by increased materials prices and strong wage rises. In spite of our long-term investment strategy, we are checking whether individual companies and their employees may face better prospects under a new owner," added Dr. Schmidt. The INDUS Group's earnings before taxes (EBT) rose by 11.1 % to EUR 67.0 million (H1 previous year: EUR 60.3 million). This reflects the positive effects of the acquisition of the remaining shares in ROLKO and IEF-Werner in the first half-year, which has reduced the profit shares of the minority shareholders previously recognized in interest expenses. Earnings after taxes increased by 12.1 % to EUR 43.7 million (H1 previous year: EUR 39.0 million). Earnings per share improved by 11.4 % to EUR 1.76 (H1 previous year: EUR 1.58). Against the background of rising prices and delivery times of materials and in view of high capacity utilization, individual entities of the INDUS Group have deliberately increased their inventories, especially their stocks of raw materials and work in progress. Consequently, cash flow declined to EUR -22.4 million in the reporting period (H1 previous year: EUR 9.8 million). The Board of Management expects working capital to decline moderately as the year progresses. Three INDUS portfolio companies - AURORA, OFA Bamberg and a company from the Construction/Infrastructure segment - have made acquisitions in the fiscal year to date. "We are very actively looking for first-tier additions to our portfolio," Dr. Johannes Schmidt confirmed. "In the currently overheated M&A market, INDUS' decentralized business model, which preserves the independence of our hidden champions, represents a critical competitive advantage." As the economic environment is expected to remain good, INDUS has confirmed its targets for the fiscal year 2018, i.e. sales revenues of between EUR 1.65 billion and EUR 1.70 billion and earnings before interest and taxes (EBIT) of between EUR 154 million and EUR 160 million. Innovation and optimized production play an essential role for INDUS' successful future. "The development bank scheme is successful. As of today, INDUS supports 16 innovation projects within the Group. These range from air-conditioning in e-busses to VR technology to 3D metal printing and clearly strengthen the competitiveness of our portfolio companies," said Dr. Johannes Schmidt. "At the same time, a stronger focus is being placed on optimizing the value-added processes in the portfolio companies. Building on support from INDUS, our portfolio companies are bracing themselves for tougher times." For the full interim report for the period ended 30 June 2018 of INDUS Holding AG, click here. Contact: Nina Wolf & Julia Pschribülla Corporate Communications & Investor Relations INDUS Holding AG Kölner Straße 32 51429 Bergisch Gladbach Germany Tel +49 (0) 022 04 / 40 00-73 Tel +49 (0) 022 04 / 40 00-66 E-mail [email protected] E-mail [email protected] www.indus.de --------------------------------------------------------------------------- 14.08.2018 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. Archive at www.dgap.de --------------------------------------------------------------------------- Language: English Company: INDUS Holding AG Kölner Straße 32 51429 Bergisch Gladbach Germany Phone: +49 (0)2204 40 00-0 Fax: +49 (0)2204 40 00-20 E-mail: [email protected] Internet: www.indus.de ISIN: DE0006200108 WKN: 620010 Listed: Regulated Market in Dusseldorf, Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange End of News DGAP News Service --------------------------------------------------------------------------- 713629 14.08.2018