DETTINGEN AN DER ERMS (dpa-AFX) - Elringklinger AG (EGKLF.PK) reported that its net loss after non-controlling interests for the second-quarter was 8.6 million euros, compared to net income of 8.5 million euros in the previous year. Loss per share was 0.14 euros compared to earnings per share of 0.13 euros last year.
Quarterly earnings before interest, taxes, depreciation, and amortization or EBITDA were 39.0 million euros down from 49.3 million euros in the previous year. This was attributable to the comparatively high cost base, driven primarily by the market downturn in Europe and China, the persistently strong demand in North America as well as commodity prices.
Revenue for the second-quarter rose 0.8% to 434.1 million euros from the prior year. Adjusted for currency effects and M&A activities, quarterly organic revenue declined 0.3%.
ElringKlinger anticipates that it will generate income in the high single-digit million-euro range from a real estate sale to be executed by the end of the financial year. Furthermore, cost structures are to be further optimized at the Swiss plant and the North American sites.
Overall, the Group will still be looking to achieve an EBIT margin of around 4% to 5% before purchase price allocation despite the more difficult conditions it currently faces.
The ElringKlinger Group continues to maintain its fiscal 2019 revenue target of growing organically by 2 to 4 percentage points above the rate of growth in the global market.
ElringKlinger also anticipates that it will generate income in the high single-digit million-euro range from a real estate sale to be executed by the end of the financial year.
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