Product category:
Printing Presses and Machinery (New and Used, Service and Repair)
News Release from: Heidelberg
Edited by the Printingtalk Editorial
Team on 08 June 2005
Restructuring Delivers Profits At
Heidelberg
Earnings by Heidelberg turned around in financial year 2004-2005 with incoming orders up by eight per cent to 3.5 billion Euros and a net profit of 61 million Euro achieved.
Earnings by Heidelberg turned around in financial year 2004-2005 with incoming orders up by eight per cent to 3.5 billion Euros and a net profit of 61 million Euro achieved "Even if the markets and the global economy did not exhibit the robust growth that we had hoped for, particularly in recent months, the figures nevertheless show that we are on the right track and that our measures are beginning to take hold," said Bernhard Schreier, the company's chief executive officer
This article was originally published on Printingtalk on 4 Feb 2004 at 8.00am (UK)
Related stories
Billingham Looks To Accelerate With Speedmaster
Billingham Press is replacing two two-colour presses, a GTO and an MO, with one Speedmaster SM52-5 and expects to more than double its output of short run multi-colour work as a result.
New Presses And Ancillaries At Drupa 2004
Heidelberg has announced two new presses ahead of Drupa, the B3 Printmaster PM52 and the new generation B1 Speedmaster with a new feeder on the SM102 and feeder and delivery on the CD102.
Group sales grew three percent to 3.207 billion Euros (previously 3.114 billion Euros) and by five per cent after adjustments for exchange rate movements.
Sales of the largest division for offset presses, increased by five per cent to 2.797 billion Euros, or by seven per cent after adjustment for exchange rate movements.
The free cash flow was well above the previous year at 154 million Euros and clearly exceeded its expectations, said the company.
Further reading
New Perfecting Presses And Prinect At Graph Expo
Heidelberg will unveil new equipment, workflow tools and service offerings that the company has claimed would enhance and accelerate productivity and efficiency in printing processes.
New Plate Technology From Heidelberg At Graph Expo
At Graph Expo Heidelberg will unveil additions to its consumable product line including the US introduction of Heidelberg Saphira Caleidoplate 46 for Quickmaster DI 46 Pro and Plus presses.
One Press Replaces Three To Boost Output
City Print in Milton Keynes (UK) is planning to increase productivity when it replaces three presses with one Heidleberg Speedmaster SM 74-5P five-colour perfector press.
Incoming orders in the financial year just closed were 3.508 billion Euros (previously 3.247 billion Euros) and were eight per cent higher than last year's figure.
The order backlog at March 31, 2005 was noticeably higher than one year ago.
It exceeded one billion Euros and consequently was almost 300 million Euros higher than at the end of financial year 2003-2004, added Heidelberg.
In terms of the trading outlook, sales and earnings for 2005-2006 are expected to improve on the previous year.
The company expects to see moderate growth in sales for the current financial year on a comparable basis and at the beginning of the year, the high order backlog will provide a solid foundation for sales growth.
Heidelberg's chief financial officer, Dr Herbert Meyer, commented: "The operating profit - including the operating loss from Nexpress - improved from 10m Euros to about 160m Euros.
Through the deep restructuring we achieved this major improvement in earnings, which will have continuing effects." The operating profit of the continuing operations improved by 33m Euros to 207m Euros, or around 6.5 per cent of sales.
The net profit for the Heidelberg Group amounted to 61m Euros (previously 695m Euros).
That corresponds to a return on sales after tax of 1.8 per cent.
The company's management and supervisory boards will propose that the annual general meeting on July 20 should approve a dividend of 0.30 Euros per share for the year just ended.
As of March 31, the Heidelberg Group had a workforce of 18,679 worldwide (previously 22,782).
The fall of 18 per cent is primarily due to the sale of the digital and web systems divisions.
In the offset press division sales in the financial year just closed rose by five per cent to 2.797 billion Euros.
Incoming orders increased by 10 per cent on the previous year to 3.087 billion Euros and the operating profit for 2004-2005 was 183m Euros compared to 151m Euros the year before.
In the post-press, or finishing division sales were 348m Euros and incoming orders were 359m Euros.
The operating performance in the division improved to a two million Euros defecit compared with a loss of 18m Euros in the previous year.
Sales in all regions were up on the previous year, with the exception of North America.
Incoming orders improved on last year's figures in all regions, climbing around eight per cent on average, added the company.
The company's new production site in China is being constructed during this financial year in the Shanghai Qingpu Industrial Zone to the west of Shanghai.
The contractual agreements have been signed and the licence to trade has already been issued.
The factory, which is still to be constructed and is intended to provide 5,000 square metres of production space, is scheduled for completion by the start of 2006.
Delivery of the first post-press products is also expected to start at the beginning of 2006, added Heidelberg.
Employee training and the assembly of the first folders in a temporary building will begin well in advance and Heidelberg said that it is looking to begin manufacturing printing presses in A3 format for the Chinese market as soon as possible after completing the necessary preparatory work.
Heidelberg's total investment volume for the site in China amounts to 10m Euros and the company plans to increase the workforce at the new site in the medium term to around 200 people.
• Heidelberg: contact details and other news
• Email this article to a colleague
• Register for the free Printingtalk email newsletter
• Printingtalk Home Page
Search the Pro-Talk network of sites
