Leifheit AG: results significantly up on previous year

Leifheit AG / Half Year Results12.08.2010 08:57Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted byDGAP - a company of EquityStory AG.The issuer is solely responsible for the content of this announcement.---------------------------------------------------------------------------- Continued focus due to sale of Bathroom Furnishings division- EBIT from continuing operations up at EUR 7.7 million - Consolidated turnover rises to EUR 105 million (excluding BathroomFurnishings)- Outlook: 2010 annual results tend towards previous year's level despitesale of Bathroom Furnishings divisionNote on the comparability of key ratiosDue to the sale of the Bathroom Furnishings division in the second quarterof 2010, this is classified as 'discontinued operations'. In accordancewith IFRS 5, the results for this division are now shown separately in theincome statement. As a result, the income statement shows details only forthe continuing operations, comprising the former Household Productsdivision and the non-allocatable items (group functions). The figures forthe previous year were adjusted accordingly. The statement of financialposition for the period ending 30 June 2010 no longer includes thedeconsolidated Bathroom Furnishings division. The Bathroom Furnishingsdivision is, however, still included in the statement of financial positionfor the period ending 31 December 2009.Nassau, 12 August 2010 - Leifheit AG presents its report today on the firsthalf of 2010. The company has again increased turnover and all theimportant earnings components.After the sale of the Bathroom Furnishings division in the first half of2010, the company is now organised in the segments 'Brand business'(Leifheit, Dr. Oetker Bakeware and Soehnle) and 'Volume business'(Birambeau and Herby).Results significantly outperform expectations Consolidated turnover (excluding Bathroom Furnishings) grew by around 1 %to EUR 105 million, slightly above the comparable figure for the previousyear (1st half of 2009 excl. Bathroom Furnishings: EUR 104 million, inc.Bathroom Furnishings: EUR 137 million). The foreign share was unchanged at56 %.EBIT from continuing operations was EUR 7.7 million. It includes unrealisedforeign exchange gains from the revaluation of foreign exchange futurestransactions amounting to EUR 2.1 million. Therefore adjusted EBIT was EUR5.6 million, well above not only the comparable figure for the previousyear (1st half 2009 excl. Bathroom Furnishings: EUR 0.9 million) but eventhe previous year's figure including Bathroom Furnishings (EUR 2.8million). This positive trend is due particularly to the growth in Brandbusiness, with a qualitative improvement in gross margin.EBT from continuing operations rose in the period ending 30 June 2010 toEUR 6.6 million (1st half 2009 excl. Bathroom Furnishings: EUR -0.1million, 1st half 2009 inc. Bathroom Furnishings: EUR 1.6 million).The result for the period, primarily from the proceeds of the disposal andthe result of the former Bathroom Furnishings division, increasedsignificantly to EUR 15.6 million (1st half 2009: EUR 0.4 million).Cash flow from operating activities was EUR 0.2 million (1st half 2009: EUR28.5 million), and now includes changes in receivables and payables for theformer Bathroom Furnishings division.Brand business the mainstay of the groupOur strong brands Leifheit, Dr. Oetker Bakeware and Soehnle were again themainstay of group success. With turnover of EUR 90 million, the brandsmatched the previous year (1st half 2009: EUR 90 million), which stillincluded turnover of c. EUR 6 million from the former ladders business.Almost half (49 %) of turnover for the first half came from outsideGermany. The growth rates in Austria and the USA offset the continuingdeclines in Eastern Europe. Cleaning products were particularly successful,benefiting from the success of the TV campaign for the twist system.The contribution of Brand business to consolidated EBIT for the periodending 30 June 2010 rose significantly to EUR 7.3 million (1st half 2009:EUR 1.1 million).Solid Volume business Volume business, with articles previously distributed entirely outsideGermany by Birambeau (kitchen) and Herby (laundry) grew almost 4 % yearover year to EUR15 million (1st half 2009: EUR14 million). The segment'sshare in consolidated turnover was stable at 14 %. In the first half of2010, Birambeau managed to offset a missing special offer campaign inFrance from the previous year through turnover from its kitchen appliances.However, the loss of private label business in Spain partly diminished thispositive effect. In the laundry business area, Herby further expanded itsspecial offer and stockist business in France, generating growth of 10 %.The contribution to consolidated EBIT for the period ending 30 June 2010rose significantly to EUR 1.8 million (1st half 2009: EUR 1.4 million).Moderate growth in second halfBy end-2010 the company expects turnover to slightly exceed 2009 levels forthe comparable segments.Growth in earnings in the second half will be relatively moderate comparedto the first half, as that included foreign exchange effects andnonrecurring effects from the sale of the Bathroom Furnishings division.However, the Board of Management is confident that earnings will tendtowards previous year's level even without the Bathroom Furnishingsdivision. On a comparable basis (continuing operations excluding BathroomFurnishings) the company will increase earnings in 2010, confirming thegrowth path in the core areas.Additional information is available in the financial report for the firsthalf year to 30 June 2010, available athttp://www.leifheit.de/en/investor-relations/publications/financial-reports.htmlContact:Leifheit AGD-56377 +49 2604 97721812.08.2010 Ad hoc announcement, Financial News and Press Release distributed by DGAP.Media archive at www.dgap-medientreff.de and www.dgap.de--------------------------------------------------------------------------- Language:     EnglishCompany:      Leifheit AG              Leifheitstraße              56377 Nassau              DeutschlandPhone:        02604 977-0Fax:          02604 977-340E-mail:       :     www.leifheit.comISIN:         DE0006464506WKN:          646450Listed:       Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr              in Hamburg, München, Berlin, Düsseldorf, Hannover, Stuttgart End of News                                     DGAP News-Service ---------------------------------------------------------------------------