13.08.2020 BAUER Aktiengesellschaft  DE0005168108

DGAP-News: BAUER Aktiengesellschaft: BAUER AG records a decline in revenues and earnings due to coronavirus pandemic


 

DGAP-News: BAUER Aktiengesellschaft / Key word(s): Half Year Results/Quarterly / Interim Statement
BAUER Aktiengesellschaft: BAUER AG records a decline in revenues and earnings due to coronavirus pandemic

13.08.2020 / 07:00
The issuer is solely responsible for the content of this announcement.


- At EUR 725.0 million, total Group revenues were down 12.8% compared to the previous year
- EBIT, at EUR 6.5 million, was significantly lower than the previous year at EUR 35.3 million; earnings after tax were negative at EUR -16.0 million (previous year: EUR -0.4 million)
- Order backlog increased significantly compared to the previous year, by 25.1% to EUR 1,275.7 million
- Reliable forecasts continue to be impossible for the 2020 financial year

Schrobenhausen, Germany - The BAUER Group recorded a decrease in total Group revenues by 12.8% for the first half of 2020 compared to the same period of the previous year, from EUR 831.6 million to EUR 725.0 million. Sales revenues fell by 13.0% to EUR 648.5 million and at EUR 6.5 million, EBIT was significantly below the previous year's value of EUR 35.3 million. Earnings after taxes were clearly negative and amounted to EUR -16.0 million (previous year: EUR -0.4 million).

"The effects of the coronavirus pandemic have led to a significant reduction in earnings and revenues," says Michael Stomberg, Chairman of the Management Board of BAUER AG. "Investment by our equipment customers is much more reserved. Various country-specific regulations and global travel restrictions are also making project management in the construction business more difficult.

In comparison with the reference period in the previous year, the order backlog in the Group increased very significantly by 25.1% and also increased by 24.1% to EUR 1,275.7 million compared to the end of 2019.

Business segments

With its three segments - Construction, Equipment and Resources - and its broadly diversified business model, the Group operates in more than 110 subsidiaries in some 70 countries around the world.

At EUR 321.5 million, total Group revenues in the Construction segment were slightly below the previous year's EUR 323.0 million. EBIT decreased significantly compared to the same period in the previous year, from EUR 4.5 million to EUR -1.7 million. At EUR -11.2 million, earnings after taxes were slightly below the previous year's value of EUR -10.0 million. This is primarily a reflection of the effects of the coronavirus pandemic, but interest rate hedging transactions also had a negative effect due to the corresponding development of market interest rates. A positive earnings contribution from the deconsolidation of a subsidiary counteracted this a little. Order backlog in the Construction segment grew significantly by 61.5% from EUR 509.0 million in the previous year to EUR 822.0 million. This was primarily due to a very large order in Europe that Bauer received in the second quarter.

The total Group revenues in the Equipment segment fell significantly by 22.0% in the first half of the year compared to the previous year, from EUR 380.8 million to EUR 296.9 million; sales revenues dropped by 26.9% from EUR 305.0 million to EUR 223.1 million. EBIT decreased considerably compared to the previous year, from EUR 31.2 million to EUR 6.1 million. Earnings after taxes dropped from EUR 14.3 million to EUR -3.8 million. The order backlog fell by 14.1%, from EUR 146.8 million in the previous year to EUR 126.1 million, and the order intake dropped by 16.7%, from EUR 377.7 million to EUR 314.8 million.

At EUR 142.5 million, total Group revenues in the Resources segment were down by 9.8% after the first half of the year, compared to the previous year's EUR 158.0 million. EBIT decreased from EUR 0.1 million to EUR -0.5 million, and earnings after taxes increased slightly from EUR 0.6 million to EUR 0.7 million. After the first six months, the order backlog decreased by 10.0%, from EUR 363.8 million to EUR 327.5 million. The order intake fell by 13.0%, from EUR 186.0 million to EUR 161.8 million.

The coronavirus pandemic mainly affected the construction and equipment segments

While work was able to continue on most construction sites during the first quarter, the Construction segment was significantly affected by the consequences of the coronavirus pandemic in the second quarter. In many countries, exit and travel restrictions complicated logistics and supply at construction sites in terms of equipment, materials and personnel.

The Equipment segment is currently the segment most significantly affected by the customers' reluctance to invest. This was particularly evident in the second quarter. At the main site in Schrobenhausen, Germany, production was reduced and a short-time working arrangement was introduced in response. However, the business is showing positive development in China, where there has been a good order situation again since April.

In the first half of the year, the Resources segment only experienced minimal effects due to the coronavirus pandemic. However, for the second half of the year, the impact of the coronavirus pandemic on the markets is becoming apparent here as well. The environmental business achieved good results, as did the business with well materials.

Focus on reorganization measures and concentration on the core business

The company is working intensively on the reorganization measures initiated in recent years. "We can't do very much about external factors such as the pandemic, but we need to observe them and react flexibly," says Michael Stomberg. "However, we continue to work consistently on the issues that we are able to influence."

It is planned to move the business with well drilling rigs under the brand name Prakla from Peine to Schrobenhausen or Nordhausen over the course of the year and to cease operations at the relevant location in Peine. Also ESAU & HUEBER GmbH, which reported losses over the past two years, is to be sold. A letter of intent has already been signed for this purpose. In addition, and as already announced, Bauer will be ending its deep drilling technology joint venture with Schlumberger.

"We will consistently implement this concentration on our core business and relevant areas for growth," says Michael Stomberg. With regard to financing, as already communicated in June, the management was able to find a good solution with all financial partners following the breach of covenant. In addition, the liquidity situation is good and net debt is below that of the previous year.

Outlook

In the second quarter, the global effects of the coronavirus pandemic made themselves felt primarily in the Construction and Equipment segments. It is difficult for the company to forecast further developments. The situation looks very different in each of the many regions and countries around the world. Fundamentally, this entails a significant amount of overall uncertainty for the current financial year and outlook.

Due to the uncertainties surrounding the rest of the year, BAUER AG withdrew its forecast for the 2020 financial year in an ad-hoc announcement on June 17, 2020 after reviewing the projections. It is still impossible to reliably predict the impact of the pandemic on further construction activities around the world and on customer demand for equipment, and thus ultimately on the revenue and earnings development. Therefore, the Management Board is still unable to create robust plans and, consequently, to provide a specific new forecast for the 2020 financial year.

"Overall, however, we are confident," says Michael Stomberg, "that we will succeed in effectively limiting the negative effects of the pandemic on the Group thanks to the many measures which have been introduced."


The complete half-year report can be found online at www.bauer.de.


About Bauer

The BAUER Group is a leading provider of services, equipment and products related to ground and groundwater. With over 110 subsidiaries, Bauer operates a worldwide network on all continents.

The operations of the Group are divided into three future-oriented segments with a high potential for synergy: Construction, Equipment and Resources. The Construction segment offers new and innovative specialist foundation engineering services alongside the established ones, and carries out foundation and excavation work, cut-off walls and ground improvements worldwide. Bauer is a world market leader in the Equipment segment and provides a full range of equipment for specialist foundation engineering as well as for the exploration, mining and extraction of natural resources. In the Resources segment, Bauer focuses on highly innovative products and services in the areas of water, environment and natural resources.

Bauer profits greatly from the collaboration between its three separate business divisions, enabling the Group to position itself as an innovative and highly specialized provider of products and services for demanding projects in specialist foundation engineering and related markets. Bauer therefore offers appropriate solutions for the world's major challenges, such as urbanization, growing infrastructure needs, the environment, and water, oil and gas.

The BAUER Group was founded in 1790 and is based in Schrobenhausen, Bavaria. In 2019, it employed some 12,000 people in around 70 countries and achieved total Group revenues of EUR 1.6 billion. BAUER Aktiengesellschaft is listed in the Prime Standard segment of the German stock market.

More information can be found at http://www.bauer.de.

Group key figures January - June 2020 (IFRS)

  2019 2020 Change
  in million EUR in million EUR  
Total Group revenues 831.6 725.0 -12.8%
Of which      
- Construction* 323.0 321.5 -0.5%
- Equipment 380.8 296.9 -22.0%
- Resources* 158.0 142.5 -9.8%
- Other/Consolidation -30.2 -35.9 n/a
Sales revenues 745.4 648.5 -13.0%
Order intake 837.6 973.1 +16.2%
Order backlog 1,019.6 1,275.7 +25.1%
EBITDA 82.5 58.0 -29.7%
EBIT 35.3 6.5 -81.5%
Earnings after tax -0.4 -16.0 n/a
Total assets 1,733.3 1,655.5 -4.5%
Equity 420.8 366.8 -12.8%
Employees (average number during the year) 11,620 11,547 -0.6%
* Adjusted previous year figures; see half-year Interim Report 2020 p. 14

Contact:
Christopher Wolf
Investor Relations
BAUER Aktiengesellschaft
BAUER-Strasse 1
86529 Schrobenhausen, Germany
Phone: +49 8252 97-1797
Fax: +49 8252 97-2900
investor.relations@bauer.de
www.bauer.de


13.08.2020 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.

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Language: English
Company: BAUER Aktiengesellschaft
BAUER-Straße 1
86529 Schrobenhausen
Germany
Phone: +49 (0)8252 97 1218
Fax: +49 (0)8252 97 2900
E-mail: investor.relations@bauer.de
Internet: www.bauer.de
ISIN: DE0005168108
WKN: 516810
Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange
EQS News ID: 1116815

 
End of News DGAP News Service

1116815  13.08.2020 

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Die wichtigsten Finanzdaten auf einen Blick
  2013 2014 2015 2016 2017 2018 2019 2020e
Umsatzerlöse1 1.404,17 1.375,68 1.378,99 1.396,88 1.667,86 1.589,09 1.470,92 1.500,00
EBITDA1,2 124,00 171,00 185,10 158,39 182,55 198,62 123,05 140,00
EBITDA-Marge3 8,83 12,43 13,42 11,34 10,95 12,50 8,37 9,33
EBIT1,4 32,08 76,43 90,72 68,35 89,57 100,06 22,48 60,00
EBIT-Marge5 2,28 5,56 6,58 4,89 5,37 6,30 1,53 4,00
Jahresüberschuss1 -19,43 15,73 28,99 14,41 3,67 24,09 -36,55 5,00
Netto-Marge6 -1,38 1,14 2,10 1,03 0,22 1,52 -2,48 0,33
Cashflow1,7 45,44 115,40 32,43 124,88 183,33 147,44 168,88 0,00
Ergebnis je Aktie8 -0,99 0,85 1,73 0,66 0,16 1,32 -2,17 0,25
Dividende8 0,00 0,15 0,15 0,10 0,10 0,10 0,00 0,00
Quelle: boersengefluester.de und Firmenangaben

  Geschäftsbericht 2019 - Kostenfrei herunterladen.  
1 in Mio. Euro; 2 EBITDA = Ergebnis vor Zinsen, Steuern und Abschreibungen; 3 EBITDA in Relation zum Umsatz; 4 EBIT = Ergebnis vor Zinsen und Steuern; 5 EBIT in Relation zum Umsatz; 6 Jahresüberschuss (-fehlbetrag) in Relation zum Umsatz; 7 Cashflow aus der gewöhnlichen Geschäftstätigkeit; 8 in Euro; Quelle: boersengefluester.de

Wirtschaftsprüfer: PricewaterhouseCoopers

INVESTOR-INFORMATIONEN
©boersengefluester.de
Bauer
WKN Kurs in € Einschätzung Börsenwert in Mio. €
516810 9,470 Halten 162,23
KGV 2021e KGV 10Y-Ø BGFL-Ratio Shiller-KGV
14,57 16,47 0,873 18,46
KBV KCV KUV EV/EBITDA
0,42 0,96 0,11 6,632
Dividende '19 in € Dividende '20e in € Div.-Rendite '19e
in %
Hauptversammlung
0,00 0,00 0,00 25.06.2020
Q1-Zahlen Q2-Zahlen Q3-Zahlen Bilanz-PK
13.05.2020 13.08.2020 13.11.2020 09.04.2020
Abstand 60Tage-Linie Abstand 200Tage-Linie Performance YtD Performance 52 Wochen
1,47% -14,75% -37,28% -34,69%
    
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