DGAP-News: A.S. Création Tapeten AG: Lower revenues

DGAP-News: A.S. Création Tapeten AG / Key word(s): 9-month figures/Interim Report A.S. Création Tapeten AG: Lower revenues weighing on earnings 05.11.2015 / 08:15 --------------------------------------------------------------------- A.S. Création Tapeten AG, Gummersbach (ISIN DE000A1TNNN5) Lower revenues weighing on earnings A.S. Création Tapeten AG, Europe's leading wallpaper manufacturer, today published the interim report for the period ended September 30, 2015. A summary is provided below: Revenues in Eastern Europe again drop sharply Having posted a 12.4% decline in sales revenues in the first half of 2015, A.S. Création recorded a similarly high reduction by 13.2% in the third quarter of 2015. The main reason is the persistently difficult economic environment especially in Eastern Europe. As a consequence, gross revenues in non-EU Eastern European countries were down by 44.0% on the previous year in the first nine months of 2015. The EU wallpaper markets as a whole, especially France, the UK and the Baltic states, were in a poor state, too, with sales revenues down by 5.6% on the prior year level. At EUR 126.8 million, A.S. Création's consolidated sales revenues for the total nine-month period of 2015 were down by EUR 18.4 million or 12.7% on the previous year's EUR 145.2 million. Earnings before taxes slightly below prior year level In spite of the EUR 18.4 million reduction in sales revenues, A.S. Création was able to limit the decline in earnings before taxes to EUR 0.5 million in the first nine months; accordingly, earnings before taxes came in at EUR 5.6 million (previous year: EUR 6.1 million). In view of the difficult environment, the Managing Board considers this to be a very good result, which was achieved thanks to an improved gross profit margin, reduced operating expenses and a greatly improved earnings situation at the Russian production company. Due to special tax factors, earnings after taxes for the first nine months of 2015 even exceeded the previous year's EUR 3.2 million and came in at EUR 3.4 million. Forecast for the full fiscal year 2015 confirmed At 12.7%, the decline in sales revenues in the first nine months of 2015 was in line with the latest forecasts, according to which Group sales revenues for the full year 2015 will decline by between 10% and 15% to between EUR 160 million and EUR 170 million. At the present stage, the Managing Board therefore assumes that the revenue forecast will be met. The Managing Board has also confirmed the earnings forecast, according to which earnings for the full year 2015 should improve significantly compared to the fiscal year 2014, provided that no significant burdens exceeding the amount of EUR 7.0 million already recognised as an expense arise from the antitrust proceedings and that the Russian rouble does not depreciate extremely against the euro by the end of 2015. After the loss-making year 2014, A.S. Création would thus again post a profit for the fiscal year 2015. In keeping with the company's dividend policy to date, such an improvement in earnings would lead to a dividend being paid for the fiscal year 2015, as A.S. Création's dividend policy provides for a high payout ratio as long as this is warranted by the company's financial position. As A.S. Création's financial position as of September 30, 2015 was excellent, the Managing Board currently sees no financial reasons that would speak against a dividend payment. Right on the contrary, net financial liabilities were reduced by EUR 11.6 million from EUR 11.9 million as of December 31, 2014 to EUR 0.3 million as of September 30, 2015, and an equity ratio of 62.7% as of September 30, 2015 (previous year: 58.8%) means that A.S. Création's equity capitalisation is excellent. The Group's key figures for the first nine months of 2015 are summarised below: <pre> 01.01.-30.09. 01.01.-30.09. Change 2015 2014 Sales EUR '000 126,839 145,240 -12.7 % EBIT EUR '000 6,751 8,606 -21.6 % Earnings before income taxes EUR '000 5,566 6,107 -8.9 % Earnings after income taxes EUR '000 3,445 3,176 8.5 % Earnings per share EUR/share 1.25 1.15 8.7 % Cash-flow EUR '000 10,181 11,886 -14.3 % Capital expenditures EUR '000 3,489 4,297 -18.8 % Depreciation EUR '000 6,362 7,096 -10.3 % Number of employees (average) 805 823 -2.2 % </pre> Gummersbach, November 5, 2015 A.S. Création Tapeten AG The Managing Board Inquiries: Maik Krämer, Director of Finance and Controlling, phone +49-(0)22 61/542-387, Fax +49-(0)22 61/542-304, e-mail: m.kraemer@as-creation.de The full nine-month report is available at: www.as-creation.de or from A.S. Création Tapeten AG, Frau Börngen, Südstr. 47, D - 51645 Gummersbach, phone: +49-(0)22 61/542-350, e-mail: investor@as-creation.de --------------------------------------------------------------------- 05.11.2015 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de --------------------------------------------------------------------- Language: English Company: A.S. Création Tapeten AG Südstraße 47 51645 Gummersbach Germany Phone: +49 22 61 54 2-0 Fax: +49 22 61 54 2-3 04 E-mail: investor@as-creation.de Internet: http://www.as-creation.de ISIN: DE000A1TNNN5 WKN: A1TNNN Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich, Stuttgart End of News DGAP News Service --------------------------------------------------------------------- 408869 05.11.2015