Funkwerk AG advances in 9M 2011 thanks to reorientation
- Two company sell-offs completed as part of reorientation
- Consolidated sales for the continued operations at EUR 119.5m slightly down on the year; Loss before interest and taxes: EUR 7.0m
- 2011 as a whole: calculated on the basis of the small Group, stable sales volume and negative operating result in the low single-digit millions expected
In the third quarter, Funkwerk AG achieved important interim goals as part of its radical reorientation. As part of its concentration on core activities, it sold off both Alpha Meß-Steuer-Regeltechnik GmbH and the entire Enterprise Communication division. Sold off during the third quarter, Alpha GmbH was completely deconsolidated in the quarterly financial statements, while according to IFRS 5 the companies belonging to the Enterprise Communication division were not sold off until October and are carried separately. The continued operating activities of the Funkwerk Group primarily performed modestly owing to ongoing investment restraint by key client groups. In the third quarter, consolidated sales edged up 2.0 % to EUR 41.5m (Q3 2010: EUR 40.7m), but for the first nine months of 2011 consolidated sales volume was EUR 119.5m or 2.6 % down on the prior-year figure of EUR 122.7m.
Owing to the reorientation, from January to end of September 2011 countless restructuring measures were required and these likewise squeezed consolidated earnings. Moreover, considerable advance payments were needed to cover new projects. The loss before interest and taxes for the continuing activities came to EUR 7.0m for Q3 2011, compared to a loss of EUR 4.9m one year earlier; excluding restructuring costs, the loss on operating activities was EUR 6.4m, as against EUR 4.3m one year earlier.
After deducting tax, the Funkwerk Group posted a net loss of EUR 11.6m (prior year: EUR 5.9m).
The Funkwerk Group is in the midst of a difficult phase of restructuring and in coming months will have to implement additional hard-hitting measures. For business 2011 as a whole on the basis of the company sell-offs, the sales forecast has been adjusted to approx. EUR 170m (prior year, not adjusted: EUR 221m). Sales thus remain more or less stable compared with the prior-year volume after adjusting for the sell-offs. The loss on operating activities for the continuing activities, excl. the restructuring expense, will presumably be in the low single-digit millions.