MEDIA RELEASE
Schwerzenbach, February 24, 2016
WALTER MEIER CLOSES 2015 BUSINESS YEAR WITH DECLINE - SLIGHT RECOVERY ANTICIPATED FOR 2016
Climate Technology sales fall
5.2 percent
Results reflect negative exchange rate effects
Adjusted EBIT margin in Climate Technology comes to 7.4 percent (prior year 7.7 percent)
Adjusted net income from continuing operations reaches CHF 1.78 per share
Proposed dividend payout at CHF 2.00 per share
Slight recovery anticipated for 2016
With the sale of its Machining Solutions business on December 11, 2015,
Walter Meier completed realigning its business focus on climate technology, where the company recorded sales of CHF 240.7 million in 2015. This represents a decrease of 5.2 percent compared to the prior year. The main reasons for this development are a drop in the maintenance business as well as additional discounts granted to clients.
The Group's continuing operations, i.e., the Climate Technology business, reported EBIT of CHF 9.6 million, following CHF 19.5 million in the prior year. The fixing of the euro exchange rate for planned purchases in the euro region in 2015 resulted in a one-off negative impact on operating results in the amount of CHF 8.2 million.
Eliminating these effects, the EBIT margin came to 7.4 percent (prior year
7.7 percent).
Compared to the prior-year figure of CHF 15.9 million, net income for 2015 was CHF 7.4 million for continuing Climate Technology operations, with effects from the fixed euro exchange rate reducing income by CHF 5.6 million in the prior year.
Adjusted for these effects, net income in the Climate Technology business amounted to CHF 1.78 per share.
Until the end of November 2015, the Machining Solutions business, which was discontinued as of the beginning of December, contributed CHF 43.0 million to the Group's revenue and CHF 2.4 million to EBIT. As a result of the sale, a profit of CHF 0.1 million was reported in Walter Meier's financial statements.
Including all one-off effects, net income for the 2015 business year amounted to CHF 9.5 million or CHF 1.30 per share.
For reasons of consolidation, the cash flow statement cannot be compared to the prior year. The free cash flow of CHF 18.9 million for 2015 (prior year
CHF -18.3 million) was influenced by effects from the sale of the Machining Solutions business.
As of year-end 2015, financial liabilities amounted to CHF 11.0 million (prior year CHF 17.3 million) and net debt was virtually unchanged compared to year-end 2014 at CHF 6.7 million. Besides operating cash flow and dividend payouts, these items mainly reflect investments in the new central logistics facility and proceeds on the sale of the Machining Solutions business.
Due to consolidation effects, equity as of year-end 2015 decreased to
CHF 32.2 million (prior year CHF 40.9 million), which corresponds to an equity ratio of 29.4 percent (prior year 30.2 percent).
The number of employees dropped from 907 as of year-end 2014 to 774 (full-time equivalents), also mainly due to the effects of consolidation.
January 1 to December 31 | ||||
in thousand CHF | 2015 | 2014 1) | Variation in % | |
Sales | 313 118 | -9.4 | ||
Climate segment | 253 880 | -5.2 | ||
Machining Solutions segment 2) | 59 238 | -27.4 | ||
EBITDA | 27 547 | -43.3 | ||
EBIT | 24 994 | -52.8 | ||
Climate segment | 19 464 | -50.4 | ||
Machining Solutions segment 2) | 4 939 | -50.8 | ||
Group adjustments | 591 | |||
as a % of net sales | 8.0% | |||
Climate segment | 7.7% | |||
Machining Solutions segment 2) | 8.3% | |||
Group profit | 19 921 | |||
per registered share in CHF | 2.46 | |||
Free Cashflow | -18 294 |
283 718 |
240 690 |
43 028 |
15 627 |
11 831 |
9 648 |
2 431 |
-248 |
4.2% |
4.0% |
5.6% |
9 492 |
1.30 |
18 938 |
in thousand CHF 12/31/2015 12/31/2014
Financial liabilities | 11 004 | 17 317 |
Liquidity, net | -6 673 | -6 495 |
Equity | 32 174 | 40 852 |
as a % of total assets | 29.4 | 30.2 |
1) Prior-year figures only disclosed for the Climate and Machining Solutions business units
2) The Machining Solutions business was discontinued as of December 11, 2015 in the context of a management buy-out
Personnel matters
In order to focus entirely on the challenges of being a new co-owner of the Machining Solutions business, Jochen Nutz will not stand for re-election to the Board of Directors at the Annual Shareholders' Meeting on March 23, 2016, and will therefore also step down as Delegate of the Board of Directors. As of that date, the Head of Group Division Climate, Martin Kaufmann, will take over as Executive Head of the Group. At the same time, Matthias Ryser, currently Financial Head of the Climate business, will become the new CFO and appointed as member of management.
Annual Shareholders' Meeting
The Board of Directors of Walter Meier will submit a proposal to the Annual Shareholders' Meeting on March 23, 2016 to issue a dividend payout of CHF 2.00 per share. With the exception of Jochen Nutz, all current members of the Board of Directors as well as the current Chairman of the Board of Directors are standing for re-election.
Outlook
Walter Meier anticipates its results to recover slightly in 2016, with the currency turmoil in the markets likely to settle down and various measures to improve operational efficiency to be taken over the coming months. As the situation stands, the Group should be able to maintain the dividend payout level of CHF 2.00 per share for continuing Climate Technology operations.
It should be possible to sustain the stable dividend policy at its current level for the next years, thanks in part to the new logistics center taking up operations in the second half of 2016.
Further information
Walter Meier, Corporate Communications
Phone +41 44 806 49 00, group@waltermeier.com
Key dates
February 24, 2016 Media and Financial Analysts' Conference on the Annual Report 2015 March 23, 2016 Annual Shareholders' Meeting
August 18, 2016 Half-year Report
December 31, 2016 End of the 2016 Financial Year
The climate technology group Walter Meier operates with a focus on the Swiss market. The company was founded in 1937 and today generates sales of over CHF 240 million with around 750 employees. Shares in Walter Meier are listed on the SIX Swiss Exchange (symbol WMN).
This media release and the Annual Report 2015 are available at www.waltermeier.com/investors.
Walter Meier Ltd.
Bahnstrasse 24, 8603 Schwerzenbach, Switzerland
Phone +41 44 806 41 41, Fax +41 44 806 49 49
group@waltermeier.com, www.waltermeier.com
Walter Meier AG issued this content on 24 February 2016 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 24 February 2016 06:02:10 UTC
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