GESCO AG: Dynamic start to the new financial year


- Incoming orders up by 27 %, sales up 15 %
- Above average earnings growth
- Full year guidance confirmed


Wuppertal, 14 August 2008 – The SDAX listed investment holding company GESCO AG is reporting continuing buoyant operating business in the first quarter (1 Apr. to 30 June 2008) of the financial year 2008/2009 (1 Apr. 2008 to 31 Mar. 2009) and has confirmed its full year guidance.

Incoming orders increased by 27 % to € 116 million (previous year: € 91 million). Sales were also up considerably by 15 % reaching € 92 million (€ 80 million). Key figures for operating earnings developed better than sales: Earnings before interest, taxes, depreciation and amortisation (EBITDA) increased by 27 %, up from € 11 million to € 14 million and earnings before interest and taxes (EBIT) grew by 32 % to € 11 million (€ 9 million). Group net income after minority interest saw even stronger growth, up 43 % to € 6.2 million (€ 4.3 million). This was also driven by a lower tax bill in the wake of the tax reform. Earnings per share amounted to € 2.03 (€ 1.42).  

The workforce increased by 4.5 %, up from 1,645 to 1,719 employees year-on-year, which was due to new jobs being created in GESCO Group companies on the back of buoyant demand.

At the accounts press conference on 26 June 2008, the company forecasted Group sales of € 370 million and Group net income after minority interest of € 21.5 million as well as earnings per share of € 7.11. Based on the figures for the first quarter the company is confirming this guidance.

GESCO Executive Board member Dr. Hans-Gert Mayrose on the Q1 figures: “GESCO Group had a dynamic start to the new year. We are therefore reaffirming our guidance for the full year, which already implies a slowdown in economic momentum in the second half of the financial year 2008/2009.”

Read the full quarterly report