The German remanufacturer announced today (9th May 2017) their year-end results for the fiscal year 2016 with stating “The market conditions in the core business of the Turbon Group, (…) were difficult in 2016”.
Turbon AG published their 2016 results on their website today. Consolidated sales in the fiscal year 2016 amounted to €96.6 million ($104.98 million), compared to €107.2 million ($116.53 million) in the previous year. In Europe, sales were €60.4 million ($65.65 million), €3.3 million ($3.58 million) on €57.1 million ($62.07 million) prior year sales, an increase of 5.8%.
In the Americas, the company reports a sharp €13.9 million ($15.11 million) decline in sales. Sales for 2016 were €33.5 million ($36.42 million); previous year sales were €47.4 million ($51.53 million). The fall in sales was attributed to drastic changes in the Americas division resulting in the merger and centralisation of production, closure of production at their Mexico plant and a change of the leadership of the Americas division to strengthen the sales orientation for the group.
EBIT (earnings before interest and taxes) amounted to €6.5 million ($7.06 million) (previous year: €8.8 million ($9.56 million)). Earnings before taxes were €5.7 million ($6.19 million) (previous year: €8.1 million ($8.80 million)). The differences between 2016 results and the prior year’s results were primarily attributable one-time expenditures. The results from the previous year included a one-off profit of €1.6 million ($1.73 million), while in 2016 Turbon AG recorded an unscheduled depreciation on an investment of €0.6 million ($0.65 million) as an expense.
The consolidated net profit for the year was €4.0 million ($4.34 million) (previous year: €6.2 million ($6.74 million)).
Looking forward, Turbon AG concludes that “we will continue to face difficult challenges for 2017 Market conditions”. For the 2017 financial year, the company is “planning a turnover of €115 – €120 million” ($125 – $130 million) which “we expect to have a revenue share of approximately 30% in areas that were newly acquired in the course of the realignment of the group of companies. In 2016 this share was still less than 15%.” EBT is expected to be €6.5 million ($7.06 million).
At Annual General Meeting scheduled for 22nd June 2017, the Management Board and the Supervisory Board will propose the payment of a dividend of €0.60 ($0.65) per share.