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Heidelberg posts best quarter since 2008

Wednesday, 10 May 2017
By Print21

A digital transformation strategy has helped press giant Heidelberg to record its best sales and result since 2008 in the final quarter of financial year 2016/2017.

Record Q4 sales of €845 million pushed annual net profit after taxes to €36 million (previous year: €28 million), says a Heidelberg statement.

The Group has achieved a sustained return to profitability. The improvement of nearly €60 million in the free cash flow to €24 million also underlines the success of the strategic realignment towards a digital company that has been initiated.

“Heidelberg has achieved its targets for 2016/2017 thanks to an excellent final quarter,” says CEO Rainer Hundsdörfer. “The net profit after taxes improved once again and we’ve created a solid basis for the company’s further development. We now need to gear our strategy towards becoming a digital company focused on customer needs.”

Sales after 12 months were slightly up at €2.524 billion (previous year: €2.512 billion). In the final quarter alone, sales increased by just under 20 percent to €845 million (previous year: €710 million). The more substantial growth in sales originally planned for the year as a whole did not materialise due to planned acquisitions being postponed until the new reporting year.

In the period under review, incoming orders of €2.593 billion bucked the industry trend by being significantly up on the previous year’s level (€2.492 billion). Despite the costs for the drupa industry trade show of €10 million in financial year 2016/2017, EBITDA excluding special items in the reporting period amounted to €179 million (previous year: €189 million, including non-recurring income of €19 million from the PSG takeover).

“We’ve significantly increased the free cash flow and further improved our balance sheet quality in reporting year 2016/2017,” says Heidelberg CFO Dirk Kaliebe. “This lays a firm foundation for the Group to independently finance our transition into the digital world and step up our pursuit of attractive takeover targets. We’ll be announcing some successes in this regard in the near future.”

 

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