Interim report - first half of 2016

Thursday, Schouw & Co. released its interim report for the first half of 2016. Consolidated revenue was up by 4% and EBIT improved by 23%. Full-year EBIT guidance raised by DKK 35 million.

Highlights

Overall, Schouw & Co.’s businesses had a very good first six months of 2016.
Consolidated revenue was up by 4% to DKK 6,148 million.
EBIT improved by 23% to DKK 372 million.
Strong cash flows from operating activities at DKK 482 million. Cash flow from investing activities amounting to DKK 888 million used for acquisitions and capacity expansion.
BioMar, Fibertex Personal Care and Hydra/Specma all upgrade their full-year EBIT guidance. The other portfolio companies maintain their full-year revenue and EBIT forecasts.
After the end of the reporting period, the associate Incuba Invest agreed to sell its ownership interest in Scandinavian Micro Biodevices. The transaction is expected to add about DKK 65 million to Schouw & Co.’s profit after tax.
Schouw & Co. maintains its guidance of full-year 2016 revenue of approximately DKK 14.1 billion. EBIT guidance raised by DKK 35 million to the range of DKK 845-935 million.

Statement by Jens Bjerg Sørensen, President of Schouw & Co.

“Schouw & Co. maintains the solid momentum we’ve had for the past several quarters. The operating profit of DKK 215 million in the second quarter and of DKK 372 million in the first half year are the best in Group history. The future looks bright, and I’m very pleased that we are able to raise our full-year guidance.

Our good results are partly driven by our recent acquisitions of the hydraulics business Specma and the EMS company GPV, both of which have now been fully consolidated. Another very important factor has been the highly efficient operations of our portfolio companies and their constant focus on making every penny count when you produce in such large volumes as we do.

We make substantial investments in our portfolio companies, in capacity, innovation and new activities, and we are very well positioned to generate profitable growth in the future.”

Read the whole report here.

Conference call (in Danish) in relation to the interim report