KBA 2002: Record Turnover, But new orders down 9.5%
Press release from the issuing company
April 11, 2003 -- Frankfurt am Main/Würzburg. In 2002 the Koenig & Bauer Group (KBA) bucked the slowdown in business and advertising to boost group turnover by 3.8% to €1,353.8m (2001: €1,304m), beating its own forecast by more than €100m. Nonetheless, it did not escape unscathed. At €1,084.5m the volume of new orders was 9.5% down on the previous year’s figure of €1,197.9m, while the backlog of orders on hand shrank 24.4% to €832.9m (2001: €1,102.2m).
At a press conference on the financial statements for 2002 – the first to be issued since KBA adopted International Financial Reporting Standards (IFRS) – KBA president Reinhart Siewert quoted a profit from ordinary activities (ebt) of €43.2m (2001: €62.3m). Although market-related pricing pressures and weak fourth-quarter sales pushed group operating profit below the €50m target set, it still compared well with that of other players in the print industry. Group net profit for the year, including deferred taxes, fell to €28.1m (2001: €40m). Earnings per share were €1.75, against €2.49 in 2001.
The annual accounts for the parent, Koenig & Bauer AG, on which dividend payments are based, were prepared in accordance with German Commercial Law (HGB). A one-off expense of €20.2m arising from the merger of a former joint-venture enterprise, Karat Digital Press GmbH, resulted in a smaller profit (€17.9m) than in the group accounts. The management and supervisory boards therefore propose a total dividend payment of €8m (2001: €16m), or 50 cents per ordinary share (previous year: 67 cents + 33-cent bonus).
Group capital outlay of €51.7m (2001: €81.4m) focused on replacing equipment and rationalising workflows to enhance productivity and cut lead times. Depreciation totalled €45m (2001: €38.5m).
The diminishing backlog and subsequent drop in capacity utilisation at KBA’s web plants caused the group to downsize its payroll to 7,391 (2001: 7,561) in the course of the year. The figure for 2002 includes 124 staff attached to Karat Digital Press GmbH.
WhatTheyThink is the global printing industry's go-to information source with both print and digital offerings, including WhatTheyThink.com, WhatTheyThink Email Newsletters, and the WhatTheyThink magazine. Our mission is to inform, educate, and inspire the industry. We provide cogent news and analysis about trends, technologies, operations, and events in all the markets that comprise today's printing and sign industries including commercial, in-plant, mailing, finishing, sign, display, textile, industrial, finishing, labels, packaging, marketing technology, software and workflow.