Revenues dip 5% to €514mn at TenCate in H1

Summary of first half of 2013 

-Decline in revenues of 5% to € 514 million (organic -6%, currency effect -1%, acquisitions / divestments 2%).

- Defence-related revenues in the US declined by US $17 million; delay in revenues of the Geosynthetics & Grass sector due in part to adverse weather conditions.

-Increased order positions and recovery in revenues in the second quarter, mainly at TenCate Advanced Armor USA and the Geosynthetics & Grass sector.

-EBITA declined by 8% to € 29 million (organic -9%, currency effect -1%, acquisitions / divestments 2%).

- Net profit € 13 million (H1 2012: €14 million).

- Earnings per share € 0.50 (H1 2012: €0.54).

- Decline in FTEs by approximately 470 since June 2012 on a comparable basis.

- Steep decline in net interest-bearing debt (€ 74 million) at the end of June despite acquisition of Amber Composites; net debt / EBITDA ratio 2.8.

Outlook

Market conditions in the second half of the year are expected to remain challenging as a result of constant pressure on government expenditure. However, the increased order positions and the recovery that occurred during the second quarter inspire confidence for the second half of 2013.

In the Advanced Textiles & Composites sector there is a more positive picture in respect of the second half of the year. The growth in revenues of TenCate Protective Fabrics for protective fabrics in the global industrial market will continue.

Deliveries of TenCate Defender M to the US Army are expected to remain at the current low level. Sales within TenCate Advanced Composites of aerospace composites for the Airbus A380 and A350 will increase in the second half of the year.

The outlook in respect of the revenue trend within the Geosynthetics & Grass sector is favourable for the second half of the year. The increased capacity utilization rate and cost savings in the Grass group will make a positive contribution to further profit recovery.

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