Nanogate AG Raises Forecast for Fiscal Year 2017 Following Strong Business Development in First Half-Year
Nanogate AG, a leading global specialist in design-oriented high-tech surfaces and components, is raising its forecast for Group sales and consolidated EBITDA for fiscal year 2017.
The new forecast predicts that Group sales are set to climb to over EUR 170 million (previous year: EUR 112.5 million); over EUR 160 million was previously expected. Despite the costs of integration of new US equity holding Nanogate Jay Systems, planned particularly for the second half-year, the forecast for consolidated EBITDA is being raised to at least EUR 20 million (previous year: EUR 12.4 million); consolidated EBITDA of at least EUR 18 million was previously expected. Despite depreciation charges and financing costs rising, as planned, consolidated net income is also likely to improve compared with 2016.
The annual forecast is being increased due to the strong business development in the first half of 2017. In the first six months of 2017, consolidated sales increased to over EUR 93 million according to preliminary figures; they stood at EUR 52.2 million in the same period of the previous year. The new US equity holding Nanogate Jay Systems also contributed to this. The operating Group result (EBITDA) improved to over EUR 10.5 million, compared with EUR 5.9 million in the same period of the previous year. As of the reporting date (June 30, 2017), cash and cash equivalents stood at over EUR 24 million (December 31, 2016: EUR 22.6 million). In addition, the Group is planning the start of a new innovation program with the introduction of numerous new technologies and applications.
Nanogate AG CEO Ralf Zastrau commented, “Thanks to strong demand across the Group, Nanogate achieved a significant jump in sales and earnings in the first half of the year. This pleasing development is likely to continue over the rest of the year, even if exchange rate effects and the planned integration steps for our new US equity holding Nanogate Jay Systems are impacting the momentum. Numerous projects are set to commence following integration into the Group, particularly in the areas of market development and technology portfolio expansion. At the same time, we are gradually improving the order and product mix. Nanogate will also be starting a new innovation program in the coming months that will also shape our development in 2018. We intend to extend our technology lead with this program. The focus is on new solutions and technologies, for example in the New Mobility target market and our N-Metals Design technology platform. The new applications will contribute to the expansion of our long-term innovation partnerships with international groups.”
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Nanogate (ISIN DE000A0JKHC9) is a leading global specialist for design-oriented high-tech surfaces and components of very high optical quality. The Group employs around 1,100 people. Nanogate develops and produces design-oriented surfaces and components and enhances them with additional properties (e.g. nonstick, scratchproof, anticorrosive).
The Group has first-class references (e.g. Airbus, Audi, August Brötje, BMW, BSH Hausgeräte, Daimler, FILA, Ford, Fresenius, GM, Jaguar, Junghans, Porsche and Volkswagen). Several hundred mass production projects for customers have already been implemented successfully. The Nanogate Group is represented on both sides of the Atlantic with its own production facilities. The Group comprises Nanogate Eurogard Systems B.V., Nanogate GfO Systems AG, Nanogate Industrial Systems GmbH, Nanogate Textile & Care Systems GmbH, Nanogate Glazing Systems B.V., Nanogate PD Systems GmbH and Nanogate Vogler Systems GmbH, as well as majority stakes in Nanogate Goletz Systems GmbH and U.S. company Nanogate Jay Systems LLC. It also has sales companies in the U.S. and Turkey.
True to its slogan "A world of new surfaces," Nanogate is a long-standing innovation partner who opens up the diverse possibilities offered by new materials to companies in a wide range of industries. It aims to improve customers' products and processes and to provide environmental benefits by using multifunctional surfaces, such as those made of plastic or metal, and innovative plastic components. The Group concentrates on attractive sectors such as automotive/transport, mechanical/plant engineering, buildings/interiors and sport/leisure. As a systems provider, Nanogate offers the entire value chain materials development for surface systems, series coating of various different substrates as well as the production and enhancement of complete plastic components. The main value drivers are the opening up of international markets, the development of new applications for the strategic growth areas Advanced Polymers (innovative plastics) and Advanced Metals (innovative metal enhancements) as well as external growth.