Manz Automation AG reports marked revenue and earnings leap in 2010
- Total operating revenue more than doubles from € 101 million to € 205 million
- Return to profitability with EBIT of € 0.6 million
- Significant double-digit growth expected for 2011
Today, Manz Automation AG, one of the world's leading technology providers for the photovoltaic and Flat Panel Display (FPD) industry, has published preliminary business figures for 2010. The company's revenue went up from € 85.9 million to € 181.4 million. At the same time, total operating revenue more than doubled from € 101.1 million to € 205.0 million. Along with a strong increase of customer demand, the successful launch of newly developed products on the market was the main reason for this significant growth.
The company, based in Reutlingen, Germany, achieved a record result particularly in its FPD segment in which Manz Automation AG develops and produces innovative system solutions for the production of flat screens and touch panels. Driven by the boom for tablet computers and touch panel mobile phones, segment revenue quadrupled from € 14.9 million to € 58.8 million. Revenue also increased in the photovoltaic segment, rising from € 46.9 million to € 65.7 million. Newly developed crystalline solar cell production systems, in particular, enjoyed a considerable demand boost.
Improved capacity utilisation was the reason for last year's additional productivity gains. At the same time, cost-cutting measures fed through to a return to profitability. Following a loss before interest and tax (EBIT) of € -15.9 million in the previous year, Manz Automation reported EBIT of € 0.6 million in 2010. The positive net financial result, which, as previously, is attributable to the company's solid liquidity position, resulted in earnings before tax (EBT) of € 0.7 million (previous year: € -13.0 million).
Manz Automation generated positive operating cash flow of € 2.0 million (previous year: € 39.7 million), despite significantly higher working capital requirements due to the operating business expansion. Financing for the CIGS technology license that was acquired in the previous year from Würth Solar is the main reason for the decline in the cash and cash equivalents position to € 38.9 million as of December 31, 2010 (previous year: € 59.3 million). At 66.9%, the equity ratio at the end of 2010 remained at a high level (previous year: 79.0%).
For Dieter Manz, CEO of Manz Automation AG, the results that have been achieved are a solid basis for a further growth leap in the ongoing year: "We expect significant double-digit sales growth in 2011. In view of the current order book position of around € 140.7 million we anticipate sales of € 240 million to € 250 million." The Management Board is confident that it will be able to acquire its first CIGS technology customer: "In this instance, we would anticipate that sales would grow even more strongly. Irrespective of this, we expect an EBIT margin of at least 5% as the result of further optimisations of our cost structure." In the Management Board's assessment, particularly Asian markets such as China and India will make significant contributions to future growth.
Manz Automation AG, based at Reutlingen/Germany (ISIN: DE000A0JQ5U3), is a globally leading high-tech mechanical engineering company. The company, which was founded in 1987, has developed over recent years from an automation specialist into a provider of integrated production lines for the photovoltaic industry (crystalline and thin film), and for the manufacturing of flat screens. The development and manufacturing of production systems for lithium-ion batteries comprises a new business area. The Group of companies, which is managed by founder Dieter Manz, and which has been listed on the Germany stock market since 2006, currently manufactures in Germany, China, Taiwan, Slovakia and Hungary. There are also distribution and service branches in the USA, South Korea, India and Spain. The company employed around 1,750 staff as of the end of 2010, 800 of whom are located in Asia. Revenue in the past financial year amounted to more than EUR 181 million. With their new "passion for efficiency" claim, Manz express their service commitment to provide ever more efficient production systems to their customers that operate in important sectors of the future.