Agfa-Gevaert Reports Strong Second Quarter Due to Graphics Business
MORTSEL, BELGIUM—August 25, 2010—Agfa-Gevaert today announced its second quarter results. Clearly outperforming the trend of the first months of the year, Agfa-Gevaert Group’s revenue grew 8.7 percent vs. the second quarter of 2009 to 736 million Euro. The increase is largely attributable to Agfa Graphics, whereas Agfa HealthCare posted a slightly higher revenue. The current exchange rate conditions had a beneficial impact on the Group’s top line business performance.
Due to the continuous success of the efficiency improvement programs, the optimal use of the manufacturing capacity, favorable raw material effects and an IP related one-off effect in Agfa Graphics, the Group’s recurring gross profit margin improved to 36.0 percent (265 million Euro) vs. 31.6 percent (214 million Euro) in the second quarter of 2009.
The Group’s recurring EBITDA (the sum of Graphics, HealthCare, Specialty Products and the unallocated portion) increased from 64 million Euro in the second quarter of 2009 to 107 million Euro. Recurring EBIT improved significantly from 38 million Euro (5.6 percent of sales) to 84 million Euro (11.4 percent of sales).
As a result of the strong operational performances of all business groups, a positive net result of 39 million Euro was booked, compared to a net loss of 9 million Euro in the second quarter of 2009.
Balance sheet and cash flow
• At the end of June 2010, total assets were 3,058 million Euro, compared to 2,852 million Euro at the end of 2009.
• Inventories were 585 million Euro (or 113 days). Trade receivables (minus deferred revenue and advanced payments from customers) amounted to 471 million Euro, or 58 days and trade payables were 235 million Euro, or 45 days.
• Net financial debt amounted to 391 million Euro, versus 445 million Euro at the end of 2009 and 569 million Euro at the end of the second quarter of 2009.