Half-year results 2017 (January - June 2017) of the EMS Group
- New record levels for net sales and income
- Raw material shortages lead to price increases
The EMS Group, with its companies combined in EMS-CHEMIE HOLDING AG, is globally active in the business areas High Performance Polymers and Specialty Chemicals. In the first half of 2017, net sales increased by 6.5% and net operating income (EBIT) by 5.8% compared to the previous year.
Consolidated net sales in Swiss Francs reached CHF 1,067 million (1,002) which represents a growth of 6.5% compared to previous year. As expected, overall economic development in the main markets China, Europe and NAFTA slowed. EMS was able however, to expand its business with innovative speciality products in all regions and customer markets. Particularly pleasing growth was achieved in Asia.
Net operating income (EBIT) increased to CHF 280 million (265), 5.8% above previous year. The operational cash flow (EBITDA) rose by 5.6% to reach CHF 307 million (291). The EBIT margin reached 26.2% (26.4%), the EBITDA margin 28.7% (29.0%). New business with specialty products had a positive effect on result development. Continuing supply shortages are causing raw material prices to increase strongly, making customer sales price increases unavoidable.
At the ordinary Annual General Meeting of the EMS-CHEMIE HOLDING AG on August 12, 2017, the current members of the Board of Directors, Dr. Ulf Berg, Magdalena Martullo, Dr. Joachim Streu and Bernhard Merki will be proposed for reelection in unchanged functions. Ernst & Young AG, Maagplatz 1, 8010 Zürich, will be proposed for election as new Statutory Auditor. At the Annual General Meeting, the Board of Directors will propose a dividend payment of total CHF 17.00 (CHF 15.00) per share.
Executive Management of the EMS Group will be reconstituted as following: Dr. Rolf Holderegger will enter his retirement on December 31, 2017. Markus Kremmel will return to the Business Unit EMS-EFTEC. Peter Germann will hand over his responsibilities as CFO to Stefan Baumgärtner (46), currently Division Chief Financial Officer with RUAG Space, as per October 16, 2017. From January 1, 2018 therefore, Executive Management of the EMS Group will consist of the following members: Magdalena Martullo, Peter Germann, Dr. Jürgen Spindler and Stefan Baumgärtner.
For 2017, EMS continues to expect net sales and net operating income (EBIT) slightly above the previous year.