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- Strongly profitable growth despite unfavourable currencies
- Takeover of EFTEC automotive supply business in Mexico
- Strongly profitable growth despite unfavourable currencies
- Takeover of EFTEC automotive supply business in Mexico
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 2014, net sales increased by 4.8% and operating income (EBIT) by 17.5% compared to the previous year.
Consolidated net sales reached CHF 999 million (954) which is 4.8% higher than for the same period of the previous year. In local currencies, growth in net sales was 9.3%. In line with the expected favourable global economy, EMS was able to successfully expand business. Especially in the global automotive industry numerous new applications with high-performance polymers could be developed. Business Unit EMS-EFTEC strengthened its position by gaining further market share. Compared to the Euro (and the Swiss Franc) significantly weaker foreign currencies slowed the growth of net sales in Swiss Francs.
Net operating income (EBIT) rose to a high CHF 215 million (183) which is 17.5% above the previous year. Operational Cash Flow (EBITDA) increased by 15.2% to CHF 242 million (210). The EBIT margin reached 21.5% (19.2%), the EBITDA margin 24.2% (22.0%). Strong growth of high-margin speciality products and strict cost discipline had a positive effect on both result and result margin.
As of beginning of July 2014, EMS has taken over the remaining 2/3 shareholding of its Mexican partner in the joint venture Grupo Placosa EFTEC S.A. de C.V., Mexico.
At the Annual General Meeting of the EMS-CHEMIE HOLDING AG on August 9, 2014, the current members of the board Dr Ulf Berg (as Chairman of the Board of Directors and member of the Compensation Committee), Magdalena Martullo (as member of the Board of Directors) as well as Dr Joachim Streu (as member of the Board of Directors and of the Compensation Committee) will be proposed for election for a further one-year term of office.
As replacement for the previous member of the board, Urs Fankhauser, who passed away on February 27, 2014, the Board of Directors proposes election of Bernhard Merki (as member of the Board of Directors and of the Compensation Committee) for a one-year term of office.
In addition, re-election of KPMG AG as Statutory Auditor and payment of a dividend of CHF 11.00 (10.00) per share will be requested.
For 2014, EMS continues to expect net sales to close slightly above previous year and net operating income (EBIT) to increase slightly over-proportionately.