Wincor Nixdorf continues on the path to success - Excellent first quarter underscores growth expectations
Wincor Nixdorf AG has begun the new 2006/2007 fiscal year with an impressive first quarter: buoyed by particularly solid year-end business, consolidated net sales rose by 13% to €549 million (previous year: €488 million). Adjusted for movements in the euro/U.S. dollar exchange rate, growth in net sales stood at 15%. Earnings before interest, taxes and amortization (EBITA) climbed by 18 % to €46 million (previous year: €39 million). Net profit increased to €26 million, 44 % up on the figure of €18 million posted for the same period a year ago. "This positive start clearly shows that Wincor Nixdorf is on the right track. I believe that our success story will continue in the current fiscal year," comments Eckard Heidloff on the quarter. The former CFO will succeed Karl-Heinz Stiller as Chief Executive Officer of Wincor Nixdorf AG on conclusion of today's Annual General Meeting of Shareholders, following Mr. Stiller's retirement from operational duties for age reasons.
Against the backdrop of a favorable first-quarter performance, the company reaffirmed its forecast for the current fiscal year. The expected growth rates amount to six percent for net sales and eight percent for EBITA, thus corresponding to the medium-term growth rates determined for the Group as a whole. "We are continuing to grow by reaping the rewards of globalization and evolution in the banking and retail sectors," explained Heidloff.
Solid business in Germany, significant gains in Asia and the Americas
In Europe (excluding Germany) net sales grew by nine percent in the first quarter, taking the figure to €290 million (previous year: €265 million). At 53% (previous year: 55%), this region yet again contributed the largest proportion of net sales within the Group.
Year-on-year growth in Germany stood at 17%, taking net sales to €145 million (previous year: €124 million). Thus, business in Germany accounted to 26% (previous year: 25%) of total net sales within the Group.
Asia and the Americas each produced double-digit growth rates over the course of the first quarter. Within this context, Asia/Pacific/Africa recorded a 29% gain in net sales, calculated in U.S. dollars, compared with the same period a year ago. Translated into euros, this represents an increase of 18% to €71 million (previous year: €60 million). Thus, this region contributed 13% (previous year: 12%) to total net sales.
The Americas also recorded a significant improvement in net sales. Here, net sales expressed in U.S. dollars rose by 19% in the period under review. Translated into euros, this equates to growth of ten percent, taking net sales to €43 million (previous year: €39 million). As a result, the Americas accounted for eight percent of total net sales within the Group, as was the case a year ago.
Strong banking business
Within the Banking segment, net sales for the first quarter rose by 20% to €349 million (previous year: €290 million). This was driven mainly by buoyant growth in the company's product and services business in Europe and other regions.
The Retail segment recorded net sales growth of one percent, taking the total to €200 million (previous year: €198 million).
Calculated on the basis of business streams, consolidated net sales associated with the Group's product business rose by 14% in the first quarter, up to €339 million (previous year: €297 million). Consolidated net sales attributable to solutions and services rose by ten percent to €210 million (previous year: €191 million), thus accounting for 38% (previous year: 39%) of total business. Correspondingly, product-related business made up 62% (previous year: 61%) of total net sales.
Wincor World 2007 firmly established as information platform
Wincor Nixdorf's ambition of generating further growth within the global arena is being actively supported by Wincor World, an international trade fair to be held in Paderborn from January 30 to February 1, 2007. The event has already firmly established itself worldwide as an information platform for the banking and retail sectors. As in the past, the organizers are expecting more than 7,000 visitors, mainly from abroad. Joined by around 70 partners, Wincor Nixdorf will be showcasing pioneering products and solutions geared to enterprise processes at bank branches and retail outlets, in addition to presenting a portfolio tailored to the requirements of similar industries such as postal and lottery operators as well as restaurant chains and service stations. CEO designate Heidloff: "Wincor World gives us the chance to show our customers how we can shape the future of branch operations in a concerted effort."