Company Announcement to the Danish Financial Supervisory Authority No. 20-2011, 18 August 2011.
The Board of Directors and the Group Management of FLSmidth & Co. A/S have today reviewed and approved the Interim Report for 1 January to 30 June 2011.
The Interim Report has been presented in accordance with IAS 34 and additional Danish information requirements regarding interim reporting of listed companies. No review or auditing of the interim report has taken place.
The Interim Report is accessible at FLSmidth's website:
http://www.flsmidth.com/reports
The main conclusions of the Interim Report are:
Expectations for 2011 unchanged, continued strong market trends and order intake in Minerals
- The order intake decreased 13% to DKK 11,012m (first half of 2010: DKK 12,716m ), but increased 11% in Minerals alone
- The order backlog has increased 5% to DKK 25,011m since the turn of the year (end of 2010: DKK 23,708m)
- Revenue decreased 2% to DKK 9,180m (first half of 2010: DKK 9,413m ), but increased 17% in Minerals alone
- Earnings before interest, tax, depreciation and amortisation (EBITDA) decreased 11% to DKK 935m (first half of 2010: DKK 1,047m corresponding to an EBITDA ratio of 10.2% (first half of 2010: 11.1%)
- Earnings before interest and tax (EBIT) decreased 15% to DKK 709m (first half of 2010: DKK 837m) corresponding to an EBIT ratio of 7.7% (first half of 2010: 8.9%)
- Earnings before tax (EBT) decreased 7% to DKK 661m (first half of 2010: DKK 710m)
- Profit for the period decreased 5% to DKK 467m (first half of 2010: DKK 491m)
- Cash flow from operating activities amounted to DKK 325m (first half of 2010: DKK 736m)
- Net interest-bearing receivables by the end of Q2 2011 amounted to DKK 687m (end of 2010: DKK 1,254m)
Outlook for 2011 (unchanged)
- The expectations for the cement market in 2011 are approximately 65m tonnes per year new contracted cement kiln capacity worldwide (exclusive of China).
- In 2011, FLSmidth & Co. expects consolidated revenue of DKK 21-22bn and an EBIT ratio of 9-10%
- The prospects of the individual business areas in 2011 are as follows:
Revenue
Cement DKK 9-10bn
Minerals DKK 10-11bn
Cembrit DKK approx. 1.4bn
EBIT ration
Cement 9-10%
Minerals 10-11%
Cembrit approx. 4%
- The effect of purchase price allocations regarding GL&V Process is expected to amount to approximately DKK -90m in 2011 in the form of amortisation of intangible assets
- In 2011, the effective tax rate is expected to be around 30%
- Cash flow from investing activities (exclusive of acquisitions) is expected to be around DKK -900m in 2011.
Please address any questions to this announcement to Mr Jørgen Huno Rasmussen, Group CEO, telephone +45 36 18 18 00.
An Investor & Press meeting and telephone conference regarding the Half Year Report will be held today at 15:00 hours CET at the company's headquarters. For further details please visit;
http://www.flsmidth.com/en-US/News+and+Press/News/2011/Investor+Meeting+Q2+2011
FLSmidth & Co. A/S
Corporate Communications & Investor Relations