DGAP-News

KROMI Logistik AG reports further business growth in Q1 2016/2017 - Seite 2

continuing the last twelve months' successful performance, with KROMI
Logistik AG on track to report further profitable growth. It should be
noted that we are significantly outperforming our markets again. The trend
in our gross profit margin - at 25.2% - is very pleasing. So we have
succeeded in converting our revenue growth almost one-to-one into gross
profit," notes Jörg Schubert, CEO of KROMI Logistik.

The cost of materials increased from EUR 12,348 thousand to EUR 12,713
thousand in the reporting period, with the cost of materials ratio of 74.8%
below the previous year's 76.6%. Staff costs rose year-on-year from EUR
2,431 thousand to EUR 2,615 thousand, leaving the staff cost ratio at 15.4%
almost unchanged compared with the previous year's level of 15.1%. Other
operating expenses reduced significantly to EUR 1,497 thousand (previous
year: EUR 2,248 thousand). Among other items, other operating expenses
include unrealised currency differences of EUR 34 thousand (previous year:
EUR 1,157 thousand) that do not derive from trading transactions but
instead from the accountancy-based currency translation of the parent
company's investment in relation to its Brazilian subsidiary. Compared with
the previous year, additional one-off expenses of around EUR 380 thousand
were also incurred in connection with the SAP launch and participation at a
trade fair.

Following an operating result (EBIT) that was still negative to the tune of
EUR -866 thousand in the previous year, KROMI Logistik achieved a markedly
improved EBIT result of EUR 199 thousand during the first three months of
2016/2017. Pure operating earnings before currency effects stood at EUR 233
thousand (previous year: EUR 291 thousand). The year-on-year change
reflects additional, one-off expenses connected with the SAP launch and
attendance at a trade fair. Overall, this leads to a significantly higher
reported consolidated net result of EUR 9 thousand (previous year: EUR
-1,052 thousand).

"We currently note a somewhat wait-and-see investment stance across all
target sectors - especially among our major globally operating customers.
We believe this is due to both factors of political uncertainty as well as
general scepticism about global economic growth. We nevertheless expect
investment confidence to normalise again over the further course of the
fiscal year. We are satisfied overall with our business trends after the
first three months of the year, and see this as laying the basis for us to
reach our targets for the full 2016/17 fiscal year," comments Uwe Pfeiffer,