August 25, 2016

Press release

Results of the first half year 2016

  • Consolidated revenues decrease to € 383.4 million due to deliveries 
  • Increase in deliveries in North America and parts of Europe 
  • EBIT still decreasing at € 18.8 million due to low coverage of fixed costs
  • 2016: revenues and EBIT expected to be on similar scale to previous year
Key corporate figrues1-6/2015 1-6/2016Change %
Revenuesin € million416.9383.4(8%)
EBITin € million21.918.8(14%)
Net profit for the periodin € million15.913.4(16%)
Cash flow from operating activitiesin € million(104.3)(31.2)-
Equity in % of total assets28.6%32.1%-
Investmentsin € million11.011.00%
Earnings per share1.31.2(5%)
Employees as of June 303,0163,2618%
Order backlog as of June 30 Junein € million835.7812.9(3%)
Order intakein € million479.5376.5(21%)

The firefighting industry is facing a range of different challenges in 2016 as well. Trends in demand should remain stable on the North American market. In Europe, the industry is recording a slight upturn. Based on the first half of the current year, demand from Asia and the Middle East can be expected to decline in the year as a whole due to the deteriorating general economic situation there and the low oil price.

Development of revenues and earnings
The Rosenbauer Group generated revenues of € 383.4 million in the first half of 2016 (1-6/2015: € 416.9 million). While decreases in deliveries were observed in some Middle Eastern countries, deliveries were on the rise in North America and parts of Europe. 

Due to the lower gross margins on orders delivered in the first months, delays in deliveries due to the political situation in the Gulf States and the resulting lower coverage of fixed costs, EBIT was still in decline year-on-year at € 18.8 million in the first six months (1-6/2015: € 21.9 million). The interim EBIT margin of 4.9% (1-6/2015: 5.3%) fell short of the figure for the previous year.

Orders
The Rosenbauer Group recorded a modest order development in the first half of the year, with incoming orders amounting to € 376.5 million (1-6/2015: € 479.5 million). While incoming orders in the MENA segment declined significantly year-on-year (-83 %) due to the political situation and the low oil price, those in the CEEU segment saw a substantial increase (+39 %). The order backlog as of June 30, 2016 was slightly down on the previous year’s figure at € 812.9 million (June 30, 2015: € 835.7 million). This order backlog gives the Rosenbauer Group a satisfactory level of capacity utilization at its production facilities and good visibility for the next ten months. 

Outlook
There was a decline in demand for fire service equipment in some Asian countries in the first few months of 2016. As a result of the political unrest and the low oil price, there is no discernible trend indicating that it will be possible to compensate for this weak demand by the end of the year. Furthermore, the political situation in the Gulf States is also leading to delays in deliveries in the current year.

The resulting weaker development of revenues means that – despite positive effects from the measures to enhance efficiency and reduce costs – the originally forecast improvement in earnings for the 2016 financial year cannot be achieved and earnings are instead expected to be on a similar scale to the previous year.

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