Belimo reports accelerated pace of growth and i...

BELIMO Holding AG / Belimo reports accelerated pace of growth and increased profitability processed and transmitted by Hugin AS. The issuer is solely responsible for the content of this announcement. 

Hinwil, August 5, 2010 7:00 a.m.



Press Release
Belimo Group Semiannual Report 2010



The Belimo Group, global leader in the field of actuator solutions for
regulating and controlling heating, ventilation and air conditioning systems,
can look back on a strong first half-year. Increased sales and market gains were
reported in all key markets, despite cautious forecasts due to the recession and
continuing partly unfavorable market conditions.



Sales in the first half of 2010 were CHF 209.3 million, which is equivalent to
year-on-year growth of 10.1 percent. On a currency-adjusted basis sales were up
13.3 percent.


Operating margin before interest and taxes (EBIT) amounted to 19.5 percent (same
period 2009 14.8 percent). The continuing impact of the recession-related cost
saving measures implemented the previous year and the hitherto only modest
increase in material and freight costs had a correspondingly positive effect on
profitability.

Net income improved by 38.4 percent to CHF 31.5 million despite the adverse
impact of the weakening euro.



Measured in local currencies, the change year-on-year was 14.8 percent for
Europe, 8.2 percent for the Americas and 26.6 percent for Asia/Pacific.
Converted into Swiss francs, sales by market region amounted to 55 percent in
Europe, 36 percent in the Americas and 9 percent in Asia/Pacific.



In local currencies, sales of air applications grew by 12.2 percent and sales of
water applications were up 15.2 percent.



Europe

The European market region recovered quickly from the downturn in 2009, with all
European subsidiaries reporting growth. Particularly noteworthy is the
contribution to growth from Germany, the UK and Switzerland as well as the
recovery in sales volumes from major OEM customers. In Southern Europe, where
markets are stable or enjoying a modest upswing, significant growth in sales was
recorded.



Business in water applications developed at a rapid pace, growing almost twice
as fast as the air applications business. Above all countries in Central Europe
posted impressive performance, achieving double-digit growth. On a
currency-adjusted basis, overall growth in water applications in Europe was well
over 20 percent.


Americas

In an environment that continued to be marked by a negative market trend, the
level of sales growth achieved in the first half-year was impressive.

USA and Canada achieved comparable growth, while in Latin America sales more
than doubled.



Gains in market share were achieved in the OEM business. In the contracting
business, growth was attributable mainly to large customers. There was a clear
improvement in the replacement and retrofit business via dealers.

Overall, sales growth from water applications slightly outperformed that from
air applications.

Asia/Pacific

Belimo achieved currency-adjusted growth in the Asia/Pacific of around 27
percent and performed much better than the market for commercial buildings.
China, Hong Kong and Australia accounted for the strongest growth, but Japan,
Malaysia and India also performed well.



Air applications enjoyed higher growth than water applications. Air applications
posted a strong increase above all for actuators for volumetric flow controllers
as well as fire protection and smoke control applications. Valves and valve
actuators for air conditioning systems contributed primarily to the increase in
water applications.





 in CHF 1'000    1st half 2010   Share in %    1st half 2009   Share in %

 Europe                115'496           55          102'616           54

 Americas               74'452           36           71'673           38

 Asia/Pacific           19'374            9           15'769            8

 Total                 209'322          100          190'058          100








 in CHF 1'000          1st half 2010   Share in %   1st half 2009   Share in %

 Air applications            131'576           63         119'795           63

 Water applications           77'746           37          70'263           37

 Total                       209'322          100         190'058          100






Innovation

The fully revamped range of energy-saving spring actuators is in the process of
being launched on the market. In addition, a new area of application for
SuperCap safety actuators (electronic energy storage device for safety function)
was developed within a short space of time in close collaboration with
customers. This is a new area of application for Belimo and has been developing
extremely well.


In the field of water applications, a new valve with electronic flow sensor
technology (EPIV, Electronic Pressure Independent Valve) was successfully
launched. The product offers added convenience, energy savings and optimum
operation. Belimo continues to systematically expand its range of water
applications, including the 6-way valve which is being further developed for
other markets and applications.





Outlook

Despite a number of uncertainties, the construction industry is showing signs of
recovery, and market growth is expected in all regions. However, the various
markets are subject to different factors, with fire protection or building
sustainability as potential growth drivers. The rollout of new products, notably
the new generation of spring actuators, will also contribute to sales growth.



Raw material prices are expected to rise, and delivery bottlenecks for
components cannot be ruled out.



The Board of Directors and Group Executive Committee are confident about the
Belimo Group's short- and long-term development thanks to its innovative product
portfolio and continuous improvements in the value chain. The very encouraging
first half-year results form a solid basis for the full year.



Belimo Group key figures



in CHF 1'000                             1st half 2010 1st half 2009 Change in %

Net sales                                      209'322       190'058        10.1

Operating income before interest,               47'498        34'813
taxes, depreciation and amortization                                        36.4
(EBITDA)                                         22.7%         18.3%
in percent of net sales

Operating income before interest and            40'835        28'199
taxes (EBIT)                                                                44.8
in percent of net sales                          19.5%         14.8%

Net income                                      31'501        22'766
in percent of net sales                                                     38.4
                                                 15.0%         12.0%

Investments                                      5'704         5'910        -3.5

Cash flow from operating activities             43'341        39'805         8.9

Free cash flow                                  38'253        33'923        12.8

Earnings per share in CHF                        51.98         37.59        38.3

Employees (FTEs, six-month average)              1'057         1'073        -1.5






The Belimo Group is a leading global manufacturer of innovative actuator
solutions for heating, ventilation and air-conditioning systems. The Group
generated sales of CHF 386 million in 2009 and employs more than 1'100 people.
Information regarding the company and its products is available on the Internet
at www.belimo.com/investorrelations.



The shares of BELIMO Holding AG have been traded on the SIX Swiss Exchange since
1995 (BEAN).



Link to Semiannual Report 2010 (PDF - 107 kb)




Contact   Beat Trutmann, CFO                           Phone [phone]



Key dates Publication of the preliminary results for               February 2011
          2010

          Annual results media information session                March 14, 2011

          Annual General Meeting                                   April 4, 2011




The press release and the Semiannual Report can be downloaded from the following
links:


[HUG#1435834]



 --- End of Message --- 

BELIMO Holding AG
Brunnenbachstrasse 1 Hinwil null

ISIN: CH0001503199;

Semiannual Report 2010: 


http://hugin.info/100133/R/1435834/381078.pdf

Press release (PDF): 


http://hugin.info/100133/R/1435834/381077.pdf




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