Dornbirn, Austria – The Zumtobel Group concluded the reporting year with consolidated revenues of EUR 1,282.3 million (2006/07: EUR 1,234.0 million), which equates to year-on-year growth of 3.9%. The pace of growth at the international lighting group was slowed by foreign exchange effects in the amount of approximately EUR 20 million, resulting from the strength of the euro. After adjustment for negative foreign exchange effects, growth was on a par with the previous year at 5.5%.
EBIT (earnings before interest and taxes, adjusted for special effects) improved from EUR 112.3 million in the previous year to EUR 123.0 million (+9.5%), enabling the Zumtobel Group to increase its EBIT margin by 50 basis points from 9.1% in the previous year to 9.6% in the reporting year.
Net income for the year showed a year-on-year fall of EUR 10.1 million to stand at EUR 93.5 million. The reasons for this downturn are to be found in an item of non-recurring income in the previous year in the amount of EUR 9.4 million from the sale of the airfield lighting activities, as well as in realised and unrealised losses due to foreign exchange effects.
Equity rose by EUR 72.6 million in the 2007/08 financial year to EUR 514.2 million (2006/07: EUR 441.6 million). This led to an increase in the equity ratio from 38.6% to 46.5%. Net debt showed a further reduction in the reporting year, falling from EUR 185.7 million to EUR 129.0 million.
The Management Board and Supervisory Board will recommend that the annual general meeting to be held in Dornbirn on 29 July 2008 approve a dividend of EUR 0.70 per share (2006/07: EUR 0.50 per share).
For the current 2008/09 financial year the Zumtobel Group is expecting a weaker market environment. Along with the uncertain economic backdrop, further negative foreign exchange effects and a strong rise in personnel and material costs will impact on the lighting group's business. Against this background, and after adjustment for foreign exchange factors, the Management Board anticipates that the revenue growth recorded by the Zumtobel Group will outpace the growth rates in the European commercial construction sector by between 2% and 3%. In terms of earnings, the Management Board considers an EBIT margin of between 8% and 9% realistic for 2008/09.