DGAP-News: Ekotechnika AG publishes preliminary figures for FY 2018/2019
DGAP-News: Ekotechnika AG
/ Key word(s): Preliminary Results
Ekotechnika AG publishes preliminary figures for FY 2018/2019
Walldorf, 5 December 2019 - Based on preliminary figures, Ekotechnika AG (Primary Market; ISIN: DE000A161234), the German holding company of the EkoNiva-Technika Group, the largest dealer of international agricultural machinery in Russia, performed entirely according to plan in the fiscal year 2018/2019 (30 September). At around EUR 159 million, sales revenues were slightly below the previous year's EUR 163.7 million but within the projected range of EUR 153 million to EUR 164 million. Although gross profit declined as expected to approx. EUR 27 million (previous year: EUR 30.8 million; forecast: EUR 24 million to EUR 27 million), earnings before interest and taxes (EBIT) improved from EUR 9.4 million in fiscal 2017/2018 to an expected EUR 9.5 to 10 million in the past fiscal year, which is slightly above the expected range of EUR 7 million to EUR 9 million. The New Machinery segment, which generates more than half of Ekotechnika's revenues, recorded a sharp drop in sales of tractors to 206 machines, down from 283 in the previous year. Sales of combines and forage harvesters declined slightly from the previous year's 70 to 59 machines. According to the Executive Board, the restrained demand for tractors and combines is due to the fact that Russian farmers tended to invest more money in increasingly scarce arable land than in new agricultural equipment in the past fiscal year. However, this decline was almost offset by the increase in sales of other machines such as telescopic handlers, various special equipment such as rakes and soil compactors as well as grain drying equipment. The Spare Parts and Customer Service segments grew moderately in FY 2018/2019 and will successively be expanded in the current financial year 2019/2020. As the Smart Farming business segment is still in the pilot phase, sales revenues remained stable compared to the previous year. Bjoerne Drechsler, member of the Executive Board of Ekotechnika AG: "On balance, we are satisfied with the development in the financial year 2018/2019. We have reached our financial targets, even though sales of new machines, especially tractors, clearly fell short of our expectations. But as many Russian farmers urgently need to make investments in new machinery, we expect a significant increase in new machine sales in the current financial year." For the 2019/2020 fiscal year, the Executive Board also expects additional revenue potential of EUR 25 - 35 million due to the new John Deere sales regions. In addition, the build-up of the forestry machinery segment will continue. In the Smart Farming segment, the technologies used to date will be extended to other areas such as crop protection and soil management as well as to additional pilot customers so as to gain further experience and to further document the increase in efficiency in crop production. The Annual Report 2018/2019 of Ekotechnika AG will be published on 24 January 2020.
About Ekotechnika
05.12.2019 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. |
Language: | English |
Company: | Ekotechnika AG |
Johann-Jakob-Astor-Str. 49 | |
69190 Walldorf | |
Germany | |
Phone: | +49 (0) 6227 3 58 59 60 |
E-mail: | [email protected] |
Internet: | www.ekotechnika.de |
ISIN: | DE000A161234 |
WKN: | A1R1A1 |
Listed: | Regulated Unofficial Market in Berlin, Dusseldorf, Frankfurt, Munich |
EQS News ID: | 928549 |
End of News | DGAP News Service |
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928549 05.12.2019