- Turnover growth of 3.7 percent slightly above our expectations
- EBITDA margin at the lower end of the forecast
- Proposal for dividend omission
- Forecast for EBITDA margin 2019 at 4 to 6 percent
Schramberg, March 22, 2019 – According to preliminary unaudited figures, the SCHWEIZER Group expects a turnover of 125.3 million euro for the fiscal year 2018. This corresponds to a growth of 3.7 percent against the previous year, despite the challenging development in the relevant business markets in the second half year.
The EBITDA (earnings before interest, taxes, depreciation and amortisation) amounted to 9.3 million euro, which is equivalent to a margin of 7.4 percent. Thus it was at the lower end of the forecast of 7 to 9 percent.
SCHWEIZER is striving for dynamic growth on the global market for power electronics and chip embedding applications in future. The new high technology plant under construction in China is to start production at the beginning of 2020. In view of the necessary high investment resources and subject to the Supervisory Board’s approval, the Executive Board will propose a dividend omission at the Annual General Meeting planned for June 28, 2019 in order to invest the funds thus released into the growth investment in China.
The anticipated start-up losses of the new Chinese production plant will burden the result. Therefore we expect an EBITDA margin of 4 to 6 percent for the year 2019. Due to the political uncertainties as well as the continuing slowdown on the automotive market - our biggest customer group – SCHWEIZER reckons with a turnover development moving within a range of -5 to +5 percent.
Final, audited figures for the business year 2018 will be disclosed on April 17, 2019. Explanations to Financial Figures are available at: https://www.schweizer.ag/en/investor-relations/company- key-figures/explanations-financial-figures.html