Board of Directors approves first quarter 2014 results
Revenues decreased during the first quarter, but recovery commenced in April.
All business areas showed improvement in variable margins.
For the period as a whole, volumes were stable, in line with 2013, and margins improved.
The non-strategic business of miniGears (plants in Padua and Surhou) was sold to the German fund Finatem.
Consolidated turnover for the quarter stood at EUR 177.4 million, compared with EUR 199.5 million for Q1 2013 (-11.1%). The business areas operating in the machinery sector recorded a decline of 7.7%, while turnover by Elettronica Santerno fell by 54% compared with the prior-year period.
The consolidated EBITDA margin improved from 5.7% to 6% (in absolute terms, EBITDA stood at EUR 10.7 million, a decline of 5.6% over EUR 11.3 million recorded as at 31 March 2013). In addition, the EBITDA margin on turnover by the business areas in the machinery sector (core business) also improved from 7.7% to 8.1%, although in absolute terms it declined by 3.1% (from EUR 14.8 million in Q12013 to EUR 14.4 million in Q1 2014).
The EBIT margin for the Group is essentially stable, going from 1.9% to 1.8%, while in absolute terms, a slight decline was registered, standing at EUR 3.2 million compared with EUR 3.7 million as at 31 March 2013. The EBIT margin for the business areas in the machinery sector improved from 4.4% to 4.7% and in absolute terms stood at EUR 8.4 million, in line with the prior-year period (EUR 8.4 million as at 31 March 2013).
As expected, as a consequence of reduced volumes, a net loss of EUR 5.0 million (-2.8% of turnover) was recorded, compared with a loss of EUR 3.1 million (-1.5% of turnover) in the first quarter of 2013. The Drive Tech business area posted a profit of EUR 2.3 million.
The net financial position showed liabilities of EUR 279.5 million, in line with the EUR 277.7 million as at 31 March 2013, though representing an increase over EUR 248.2 million posted as at 31 December 2013, due to negative fluctuations in net working capital and to investments during the period.