Press release BoxID: 179117 (ElringKlinger AG)
  • ElringKlinger AG
  • Max-Eyth-Str. 2
  • 72581 Dettingen / Erms
  • Contact person
  • Stephan Haas
  • +49 (7123) 724-137

ElringKlinger AGM declares dividend increase and stock split

Strong financial year in 2007

(PresseBox) (Stuttgart, Dettingen/Erms, ) SDAX-listed ElringKlinger AG will pay a dividend of EUR 1.40 (1.25) per share for the 2007 fiscal year. Additionally, the approx. 700 shareholders attending today's Annual General Meeting at the Stuttgart Cultural and Congress Center passed a resolution for a 1:3 stock split.

Maintaining a dividend policy that allows shareholders to participate in the company's success in a sustained manner, ElringKlinger AG increased its dividend by 12% for fiscal 2007. Since 1997, the total dividend payout has risen from EUR 1.4 million to the present figure of EUR 26.9 million. Calculated on the basis of consolidated net income after minority interests and adjusted for extraordinary income, the dividend ratio thus stands at 40%.

The company's shareholders can look back on a successful financial year in 2007. The automotive supplier managed to lift sales by 15.0% to EUR 607.8 (528.4) million in 2007; consolidated net income after minority interests and having deducted non-recurring effects was propelled upward by 28.0% to EUR 67.2 (52.5) million. The company's stock also performed well. In 2007, ElringKlinger's share price rose by almost 70%.

As a result of the stock split approved by shareholders, the overall number of shares will increase threefold from 19,200,000 to 57,600,000. At the date of issue, ElringKlinger's share price will thus adjust downwards to a third of its pre-split price. The exact date of the initial listing has yet to be set. The stock split will have no effect on the company's ownership structures or equity.

Close to 100 percent of the company's shareholders voted in favor of formally approving the actions of the Management Board and Supervisory Board. KPMG Deutsche Treuhand-Gesellschaft Aktiengesellschaft Wirtschaftsprüfungsgesellschaft was again appointed as auditor for the fiscal year 2008.

In the foyer of the Liederhalle Cultural and Congress Center the company presented the latest trends in the area of "CO2 Reduction", focusing on developments within its business segments and at the Group's subsidiaries.

Visitors showed a particularly keen interest in the glass exhaust tract displayed by the company as well as the pioneering contributions made by ElringKlinger AG with regard to fuel cell research. Acquired as recently as April, former SEVEX AG - now trading as ElringKlinger Abschirmtechnik Schweiz AG - showcased its new thermal shielding solutions deployed within the area of vehicle underbodies.

Despite a challenging market environment, the Group anticipates growth in sales and earnings for 2008. "We are determined to continue on the path of growth witnessed in recent years. We again plan to direct significant investments at research and development as well as machinery and production plant," said ElringKlinger AG's CEO, Dr. Stefan Wolf, when addressing the company's shareholders. "Within this context, our focus will be on solutions tailored to the core requirements of today's automobile industry: the lowering of emission levels, the reduction of fuel consumption and the use of alternative drive concepts," said Wolf.