ANDRITZ GROUP: Results for the first quarter of 2016

International technology Group ANDRITZ saw a solid development of profitability in the first quarter of 2016 despite slight declines in sales and order intake.

The key financial figures developed as follows:

• Sales amounted to 1,285.6 million euros (MEUR) and were thus lower than the reference figure for the previous year (-8.5% versus Q1 2015: 1,404.3 MEUR). All business areas recorded a decline in sales.
• Order intake, at 1,247.4 MEUR, reached a satisfactory level, however, it was 12.8% below the reference figure of the previous year (Q1 2015: 1,430.6 MEUR). While the PULP & PAPER business area in particular and also SEPARATION were able to increase order intake compared to Q1 2015, HYDRO and METALS saw a significant decline in order intake.
• Order backlog as of March 31, 2016 amounted to 7,147.6 MEUR, thus decreasing slightly compared to the end of last year (December 31, 2015: 7,324.2 MEUR).
• Despite the decline in sales, EBITA increased to 83.9 MEUR (Q1 2015: 73.4 MEUR). This is due to the very positive development in the PULP & PAPER and HYDRO business areas. Thus, profitability of the Group (EBITA margin) increased to 6.5% (Q1 2015: 5.2%).
• Net income without non-controlling interests increased to 52.5 MEUR (Q1 2015: 44.0 MEUR).

The situation on the markets served by ANDRITZ basically has not changed compared to 2015. While unchanged good project and investment activity prevails in the PULP & PAPER business area, several projects in HYDRO and METALS have been stopped temporarily or delayed due to uncertain demand. Based on the business results achieved in the first quarter of 2016, ANDRITZ expects Group sales for 2016 to decrease slightly compared to 2015. At the same time, however, profitability is expected to remain at a solid level.

Annual and financial reports

The annual reports and financial reports of the ANDRITZ GROUP are available as PDF for download at www.andritz.com. Printed copies can be requested by e-mail to investors@andritz.com.

Disclaimer

Certain statements contained in this press release constitute "forward-looking statements". These statements, which contain the words "believe", "intend", "expect", and words of a similar meaning, reflect the Executive Board’s beliefs and expectations and are subject to risks and uncertainties that may cause actual results to differ materially. As a result, readers are cautioned not to place undue reliance on such forward-looking statements. The company disclaims any obligation to publicly announce the result of any revisions to the forward-looking statements made herein, except where it would be required to do so under applicable law.