VIPsight - April 2015

COMPANIES

Hornbach: DIY flies high

The Hornbach Holding AG chain of DIY stores has announced that based on numbers presently available (at February 28), group turnover increased last year 2014-5 by 6 percent, and now stands at roughly 3.6 thousand million Euros. According to the SDax-listed concern, the turnover was powered by the 97-strong German store network. DIY and gardening increased in the other 49 European markets by 5 percent. The bankruptcy of former competitors Praktiker and MaxBahr, together with the take-over of 6 Praktiker sales points in Germany were obviously contributing factors to this success. According to Handelsblatt, Hornbach’s market share has risen in the meantime from 10 to 11 percent.

Euromicron: amending the balance sheet

Software house Euromicron AG is in the throes of dealing with serious miscalculations in its year-end accounts. A number of projects carried out in 2012 and 2013 were assessed wrongly and now require corrections back-dated to the group’s 2014 balance sheet. The Prime Standard-listed concern is facing a fall in equity capital of some 15 million Euros. Equity capital stood at 126 million Euros at the end of September. Euromicron is adamant that the mistakes will not have a negative impact on liquidity or its agreements with the banks. In any event, however, CIO Willibald Späth resigned his position at the end of March and his duties will be taken on ad interim by Managing Director Thomas Hoffmann. Since the company is still mulling over its numbers, publication of its 2014 report is being postponed to the end of April.

CEWE: Digital photography: business is booming

Photographic service and printing concern CEWE Stiftung & Co. KGaA has announced achieving all the targets set for fiscal year 2014. Provisional results show turnover down from 536 million Euros to 528 million while Ebit is up from 29 to 33 million Euros. According to the SDax-listed company, success was mainly due to favourable conditions in the 2014 Christmas quarter. CEWE is now debt-free and thus able to increase its base capital to approximately 51 percent. Profit after tax is down, some 21 million Euros lower than the 22 million of the previous year, the reason being a change in company format and a beneficial one-off tax liability brought forward from the previous year.

The company strategy of concentrating on on-line printing and photofinishing has clearly paid off – 94% of group turnover came from photofinishing and on-line printing has increased its turnover by 18 percent 70 million Euros. On the other hand CEWE has cut back on its retail trading business.

SAF-Holland: full speed ahead

The 2014 year-end results of supplier to the commercial vehicle industry, SAF Holland S.A., are also very good. Turnover is up 12 percent to 960 million Euros, a result exceeding even the management’s expectations of between 920 and 945 million Euros. The SDax listed company’s Ebit has also risen by no less than almost 20 percent to some 71 million Euros, and its profit stands at roughly 33 million Euros compared to the previous year’s 24 million Euros. The company, with its production of mainly axle shafts, clutches and brakes saw its service business perform very well. In the most important areas, the company was well-equipped to seize the opportunities that the recovering European market and the strong demand in the US. Outwith these two fundamental markets SAF-Holland suffered losses in Russia and Brazil that it was able to compensate for with growth in other emerging markets. The company also benefitted from having taken over a Chinese producer of suspension units for buses.