DGAP-Adhoc

Westag & Getalit AG: Group sales revenues and earnings below prior year in H1 2017

DGAP-Ad-hoc: Westag & Getalit AG / Key word(s): Half Year Results Westag & Getalit AG: Group sales revenues and earnings below prior year in H1 2017 26-Jul-2017 / 15:57 CET/CEST Disclosure of an inside information acc. to Article 17 MAR, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. Westag & Getalit AG: Group sales revenues and earnings below prior year in H1 2017

Westag & Getalit AG generated consolidated sales revenues of EUR 117.8 million in the first half of 2017. This means that revenues were down by a moderate -0.9% on the previous year (EUR 118.8 million), reflecting the decline in domestic business. Exports showed a positive trend during this period, with revenues in the Group's foreign markets rising by 4.7% to EUR 26.5 million (previous year: EUR 25.3 million). Consequently, the export share climbed from 21.3% to 22.5%.

This business performance translated into consolidated earnings before taxes of EUR 4.5 million, which was clearly below the previous year's EUR 5.4 million. Apart from the unsatisfactory trend in top line revenues, earnings were impacted by price increases for a wide variety of raw materials as well as higher budgets allocated to sales activities. As a result, net profit for the period declined to EUR 3.1 million (previous year: EUR 3.8 million). Net profit per share amounted to EUR 0.56 for the ordinary shares (previous year: EUR 0.67) and to EUR 0.62 for the preference shares (previous year: EUR 0.73).

Outlook

The Management Board is not satisfied with the business performance during the first half of 2017. Apart from the subdued sales revenues for the first six months, current trends in the commodities markets are one of the key factors in the Group's profitability. Specifically, Westag & Getalit AG is faced with clearly higher raw materials prices. The result for the full year 2017 will be determined in great measure by the company's ability to pass on these price increases by raising the prices of its own products.