Gerresheimer Expects Around 9% Growth in 2016 - Seite 3

Outlook 

Gerresheimer's expectations for financial year 2016 are set out in the following, in each case based on constant exchange rates. For the US dollar-which has the largest currency impact on the Group currency and will now account for about a third of Group revenues in 2016 - Gerresheimer has assumed an exchange rate of approximately USD 1.12 to EUR 1.00.

In financial year 2016, the Company anticipates Group revenues of around EUR 1.5bn (plus or minus EUR 25m) on a constant exchange rate basis. The Group revenues of EUR 1.5bn correspond to revenue growth of about 9% at constant exchange rates compared with revenues in financial year 2015, and organic revenue growth of between 4% and 5%. Gerresheimer expects adjusted EBITDA to increase to approximately EUR 320m (plus or minus EUR 10m) in financial year 2016. Capital expenditure in financial year 2016 is anticipated to be no more than roughly 8% of revenues at constant exchange rates, and thus at the lower end of the previous guidance for financial years 2016 to 2018 of between 8.0% and 9.0% of revenues at constant exchange rates.

Major steps were taken in 2015 to make the business less capital intensive. The sale of the glass tubing business and the permanent closure of the moulded glass plant in Millville Gerresheimer significantly reduced the number of furnaces operated by a total of eight to thirteen. At the same time, the Company anticipates a decrease in the ratio of net working capital to revenues because, among other factors, buying finished glass tubes in line with requirements following the sale of the glass tubing business means that less inventory has to be held overall. Average net working capital is forecast to improve in 2016 by about two percentage points to around 17% of revenues at constant exchange rates.

In addition, the Company confirms its indication for the financial years 2016 to 2018, in each case stated at constant exchange rates and assuming a US dollar exchange rate of USD 1.12 to EUR 1.00. Gerresheimer is aiming for average annual organic revenue growth of 4% to 5% for the period from 2016 to 2018. For the adjusted EBITDA margin, the Group has set a target of approximately 22% for financial year 2018. In order to meet these targets, Gerresheimer will in all probability require significantly lower annual capital expenditure of the order of only about 8% of revenues at constant exchange rates.

Dividend 

At the Annual General Meeting on April 28, 2016, the Management Board and Supervisory Board will be jointly proposing that a dividend of EUR 0.85 per share be paid out for financial year 2015. This represents an increase of 13% against the prior-year dividend. The dividend ratio amounts to 25% of adjusted net income after non-controlling interests.

The Annual Report is available here:

http://www.gerresheimer.com/en/investor-relations/reports

- Cross reference: The full press release including tables is available at http://www.presseportal.de/nr/9072 -

Gerresheimer AG
Klaus-Bungert-Strasse 4
40468 Düsseldorf
Germany

Jens Kürten
Group Senior Director Communication & Marketing
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Internet http://www.gerresheimer.com