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Ad-Hoc

Dürr AG: Dürr with profit in 2005

Dürr Aktiengesellschaft / Preliminary Results

 

 

 

Ad-hoc-Announcement according to § 15 WpHG transmitted by DGAP - a company of EquityStory AG.

The issuer is solely responsible for the content of this announcement.

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Dürr with profit in 2005

 

Dürr completes financial restructuring on its own

 

Stuttgart, March 2nd, 2006 – Dürr finished realigning group activities to

focus on core business with the automotive industry at the end of 2005. Its

range of products and services comprises painting and final assembly

equipment, environmental technology, balancing and diagnostic technology

for vehicle components, and cleaning and filtration systems for production

of engine and transmission components.

 

According to preliminary figures (IFRS), Dürr achieved 2005 a positive

result after taxes in the group of EUR 4.3 million (previous year: EUR 4.7

million). Set against high income from divestments (EUR 116 million) were

one-off expenses from the group's FOCUS program (EUR 74 million, including

EUR 46 million for restructuring). High interest expenses burdened the

result. Operating result (EBIT before one-off effects) in continuing

operations was positive despite difficult market conditions. Due to lower

sales revenues, EBIT before one-off effects decreased by EUR 32.3 million

compared with the previous year to EUR 3.5 million.

 

Incoming orders in continuing operations declined by 12% last year to EUR

1,217 million due to the weak demand in plant engineering business

(painting and assembly equipment) and for industrial cleaning equipment.

Set against that, however, was significantly higher demand in mechanical

engineering and systems business (including painting robots and application

and balancing systems) and in environmental engineering. Sales revenues in

continuing operations decreased by EUR 326 million to EUR 1,400 million

mainly due to the expiration of large-scale contracts in the United States.

 

The company's financial restructuring was completed at the end of 2005.

Liquid funds increased by year's end to EUR 124 million (December 31, 2004:

EUR 46.4 million). Drawings on the company's syndicated line of credit were

repaid in full as of December 31, 2005. Dürr accordingly reduced its net

financial debt to EUR 85 million (September 30, 2005: EUR 312.2 million).

Its financial ratios improved significantly by the end of 2005 partly due

to a capital increase, with the equity ratio at 20.9% compared with 15.5%

as of December 31, 2004.

 

Outlook: Improved operating result expected in 2006

 

'For 2006, we expect rising demand in service and modernization business,'

says Ralf Dieter, chairman of Dürr AG's Board of Management, 'where we have

registered an increase of project inquiries.' Overall, Dürr foresees little

change of sales revenues. The operating result is expected to improve

significantly. Dürr anticipates positive earnings after taxes. The year

2006 will remain one of transition and implementation of the FOCUS

restructuring program. The positive effects of all FOCUS measures will only

find expression in the course of 2007.

 

After approval by the Supervisory Board, the complete financial statements

for 2005 will be presented at the financial press conference on March 30,

2006.

 

 

 

in EUR m 2005 2004

Sales revenues* 1,400 1,725.9

Incoming orders* 1,217 1,387.4

Operating result* (EBIT before one-off 3.5 35.8

effects)

Group earnings after taxes 4.3 4.7

Equity* 248 222.7

Equity ratio* 20.9% 15.5%

Net financial debt* 85 242.8

 

 

 

 

*Continuing operations: The Measuring & Process Technologies and

Development Test Systems business units and the Premier Group, which were

sold in 2005, are no longer included in continuing operations. A

distinction between continuing and discontinued operations is no longer

necessary in 2006.

 

Contact:

Dürr AG

Günter Dielmann

Corporate Communications & Investor Relations

Phone: +49 (0)711 136-1785

Fax: +49 (0)711 136-1716

E-mail: corpcom@durr.com

 

 

 

 

DGAP 02.03.2006

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language: English

emitter: Dürr Aktiengesellschaft

Otto-Dürr-Strasse 8

70435 Stuttgart - Zuffenhausen Deutschland

phone: +49 (0)711 136-0

fax: +49 (0)711 136-1034

email: investor.relations@durr.com

WWW: www.durr.com

ISIN: DE0005565204

WKN: 556520

indexes:

stockmarkets: Amtlicher Markt in Frankfurt (Prime Standard), Stuttgart;

Freiverkehr in Berlin-Bremen, Düsseldorf, Hamburg

 

End of News DGAP News-Service