Cembre

BOARD APPROVES REPORT ON THE 1st HALF OF 2015

Cembre (STAR): consolidated sales grow by 11.3% in 1st Half of 2015
Operating profit and net profit reached their highest level

28/08/2015

  • Revenues for the first six months of 2015 increase by 11.3%, as a result of a 14.1% growth in domestic sales and a 9.6% increase in exports on the corresponding period in 2014
  • The net financial position remains positive (a surplus of €11.6 million at July 31, 2015) and sales for the first seven months of the year were up 10.1% on the corresponding period in 2014
  • Capital expenditure for the period amounts to €2.9 million
Consolidated figures

1st Half

 

1st Half

 

 

full year

 

(€’000)

2015

Sales margin %

2014

Sales margin %

Change

2014

Sales margin %

Sales

63,037

100

56,613

100

11.3%

112,905

100

Gross operating profit

15,257

24.2

12,053

21.3

26.6%

24,352

21.6

Operating profit

12,466

19.8

9,707

17.1

28.4%

19,433

17.2

Pre-tax profit

12,689

20.1

9,851

17.4

28.8%

19,702

17.5

Net profit

8,952

14.2

6,813

12.0

31.4%

13,542

12.0

Net financial position

8,364

 

2,551

 

 

11,659

 

 

Brescia, August 28, 2015 – The Board of Directors of Cembre Spa – a STAR listed company and one of the largest European manufacturers of electrical connectors and tools for their installation – chaired by its Chairman and Managing Director Giovanni Rosani, approved at today’s meeting the Report on the 1st Half  of 2015.

 

In the first six months of 2015, the Group reported consolidated sales of €63.0 million, up 11.3% on €56.6 million in the corresponding period in 2014.
In the 1st Half of 2015, domestic sales amounted to €25.3 million, up 14.1% on the 1st Half of 2014, while sales outside Italy amounted to €37.7 million, up 9.6%. A total of 40.2% of Group sales were represented by Italy (as compared with 39.2% in the 1st Half of 2014), 41.7% by the rest of Europe (46.1% in the 1st Half of 2014), and the remaining 18.1% by the rest of the World (14.7% in the 1st Half of 2014).

 

Consolidated gross operating profit for the 1st Half of 2015 amounted to €15.3 million, representing a 24.2% margin on sales, up 26.6% on the corresponding period in 2014 when it amounted to €12.1 million, representing a 21.3% margin on sales.
In 1st Half of 2015 the cost of personnel, the cost of services received and the cost of goods sold declined as a margin on sales on the corresponding period in 2014.
The average number of employees of the Group increased from 619 in the 1st Half of 2014, to 625 in the 1st Half of 2015.

 

Consolidated operating profit for the period amounted to €12.5 million, representing a 19.8% margin on sales, up 28.4% on €9.7 million in the 1st Half of 2014, when it represented a 17.1% margin on sales.

 

Consolidated profit before taxes amounted to €12.7 million, representing a 20.1% margin on sales, up 28.8% on €9.9 million in the 1st Half of 2014, when it represented a 17.4% margin on sales. Foreign exchange gains amounted in the period to €207 thousand while net interest income amounted to €16 thousand.

 

Net profit for the first six months of 2015 amounted to €8.9 million, up 31.4% on €6.8 million in the 1st Half of 2014. The margin on sales amounted to 14.2%, as compared to 12.0% in the 1st Half of 2014.

 

Capital expenditure in the 1st Half of 2015 amounted to €2.9 million and consisted primarily in investments in plant and equipment. In the 1st Half of 2014 they amounted to €3.7 million.

 

The consolidated net financial position at June 30, 2015 amounted to a surplus of €8.4 million, improving on June 30, 2014, when it was equal to a surplus of €2.6 million, while on December 31, 2014 it amounted to a surplus of €11.7 million. In the 1st Half of 2015, the Company paid out €6.1 million in dividends, against €4.4 million in the corresponding period in 2014.

 

“Cembre closes the 1st Half of 2015 reporting an 11.3% growth in consolidated sales due to a 14.1% increase in domestic sales – achieved despite a stagnant overall domestic demand – and a 9.6% increase in exports. Operating profit and net profit reached their highest level. Sales through the end of July show a 10.1% increase on the corresponding period in 2014. The Group’s financial position at July 31, 2015 amounted to a surplus of €11.6 million, up from a surplus of about €4 million at July 31, 2014” – commented Cembre’s Chairman and Managing Director Giovanni Rosani. “We expect to close 2015 as a whole with an increase in consolidated sales and a further improvement in the net financial position” continued Giovanni Rosani.

 

 

* * * *

 

Cembre designs, manufactures and distributes electrical connectors and cable accessories. It enjoys a leadership position in Italy and significant market shares in the rest of Europe. It is also the world's largest producer of connector installation tools (mechanical, pneumatic and hydraulic) and tools for cable shearing. The products it has developed for connection to the rail and for other railway applications are used by the main companies in this sector round the world. Cembre owes its success to an insistence on innovative, high-quality products, a broad and thorough collection, and an extensive distribution network both in Italy and abroad.
Founded in Brescia in 1969, the Cembre Group is now a full-fledged international force. Along with the parent company in Brescia it has seven subsidiaries: five trading companies (in Germany, France, Spain, the United States and Norway) and one manufacturing and trading subsidiary (Cembre Ltd. in Birmingham, U.K), for a total workforce of 633 as of June 2015. Since 1990 its products have been certified by Lloyd's Register Quality Assurance for the design and production of accessories for cables, electrical connectors and tools for their installation.
Cembre has been listed on the Italian Stock Exchange since December 15, 1997, and on the STAR section since September 24, 2001.

 

 

Contacts:
Ferruccio Peroni Comunicazione
Ferruccio Peroni  +39 335 6974871    f.peroni@peronicomunicazione.it

Cembre S.p.A.
Claudio Bornati    +39 030 36921    claudio.bornati@cembre.com

 

The manager responsible for preparing the Company’s financial reports, Claudio Bornati, declares, pursuant to paragraph 2 of Article 154 bis of the Consolidated Law on Finance, that the accounting information contained in this press release corresponds to the document results, books and accounting records.

Attachments – Condensed Consolidated Financial Statements at June 30, 2015:
- Consolidated Statement of Financial Position
- Consolidated Comprehensive Income Statement
- Consolidated Statement of Cash Flows

 


In the present document use is made of “alternative performance indicators” which are not provided for under European IFRS, and whose significance and content are illustrated below (in line with Recommendation CESR/05-178b published on November 3, 2005):

 

Gross Operating Profit (EBITDA): defined as the difference between sales revenues and costs for materials, of services received, and the net balance of operating income and charges. It represents the profit achieved before amortization, financial flows and taxes.
Operating Profit (EBIT): defined as the difference between the Gross Operating Profit and the value of depreciation, amortization and write-downs. It represents the profit before financial flows and taxes.
Net Financial Position: it represents the algebraic sum of cash and cash equivalents, financial receivables and current and non-current financial debt.

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