Belimo with impressive profitability
BELIMO Holding AG / Belimo with impressive profitability . Processed and transmitted by Thomson Reuters ONE. The issuer is solely responsible for the content of this announcement.
Press release of the Belimo Group - Hinwil, March 11, 2013, 7:00 a.m.
The year 2012 was a positive one for the Belimo Group despite a rather difficult market environment. Sales in Swiss francs rose by 6.9 percent to CHF 444.6 million. Adjusted for currencies, this is equivalent to growth of 5.4 percent. The result was an operating income (EBIT) of CHF 76.3 million and thereby an operating margin of 17.2 percent. Net income was CHF 61.4 million, which is equal to earnings per share of CHF 100.74 (previous year CHF 84.61).
Return on equity (ROE) rose from 23.3 to 25.0 percent, and return on invested capital (ROIC) from 28.4 to 30.4 percent. Cash flow from operating activities amounted to CHF 82.8 million, and free cash flow was CHF 60.5 million. Overall, cash and cash equivalents were up year-on-year by CHF 30.0 million to CHF 105.4 million. All these figures are significantly higher compared to previous year.
The Board of Directors will propose a dividend of CHF 60 per share (previous year CHF 50) to the Annual General Meeting on Monday, April 8, 2013.
Innovative product line helps boost sales. Sales developed well in 2012 thanks to the multifaceted and innovative product range. All markets posted stronger growth in water applications than in air applications.
The growth in sales varied by region:
Europe. Sales in the Europe market region grew by 4.1 percent, and on a currency-adjusted basis by 5.7 percent. Virtually all the Group's subsidiaries reported higher results than a year ago. Growth was very positive in Germany, Poland, Austria, Italy and the Middle East. Spain was hit strongly by the recession. In terms of products, growth was again driven by water applications, followed by the fire protection product range.
Americas. After its excellent growth in the previous year, the Americas market region performed well again, growing by 10.9 percent, and on a currency-adjusted basis by 5.9 percent. The economic environment in the United States continued to recover slowly, but yet continuously. Brazil performed very well. Canada did not meet expectations, yet still displayed a positive trend towards the end of the year. Sales with OEM customers developed very well, and also sales in the contracting business were boosted considerably.
Asia/Pacific. Growth in the Asia/Pacific region was disappointing at 8.0 percent, and on a currency-adjusted basis at 1.7 percent. Economic growth slowed in various important markets. The measures introduced in China to avoid an overheating of the real estate market continued to have a noticeable impact.
Net sales by region
in CHF 1,000 | 2012 | % | Growth in local currencies in % | 2011 | % |
| Europe | 239,063 | 54 | 5.7 | 229,612 | 55 |
| Americas | 161,279 | 36 | 5.9 | 145,381 | 35 |
| Asia/Pacific | 44,281 | 10 | 1.7 | 40,990 | 10 |
| Group | 444,623 | 100 | 5.4 | 415,983 | 100 |
Net sales by application
in CHF 1,000 | 2012 | % | Growth in local currencies in % | 2011 | % |
| Air | 269,373 | 61 | 4.0 | 256,529 | 62 |
| Water | 175,250 | 39 | 7.5 | 159,454 | 38 |
| Total | 444,623 | 100 | 5.4 | 415,983 | 100 |
Innovation. The Belimo Energy Valve(TM) was the first product on the market to be launched with a built-in sensor and integrated intelligence. Thanks to this control valve, customers are able to save energy, thereby cutting operating costs and avoiding unnecessary investments. At the same time, the product displays energy flows and increases operational safety. For the American market the ZIP Economizer(TM) was developed. It enables optimal use of outside air to save energy needed for cooling.
Outlook. The year 2013 may see the global economy gaining a bit of momentum. However, the pace of growth will still vary from market to market.
Although there is some uncertainty on the European markets, information from the major markets indicates that growth is expected to continue in 2013 as well. In the American market, activity in the construction sector may well continue to develop positively. In addition, the ongoing trend to improve energy efficiency in buildings makes Belimo optimistic. In the Asia/Pacific market, Belimo hopes for accelerated economic growth and construction activity.
For 2013, the development of a small valve with an actuator specially designed for zone applications is planned. Its most attractive features are its slender design and very installation-friendly, tool-free plug-in assembly.
In the future, Belimo will continue to pursue its very ambitious aims of steady sales growth and a solid profitability. With innovative and energy-efficient solutions, Belimo is well on its way to achieving these goals.
Key figures of the Belimo Group for the 2012 financial year
| in CHF 1,000 (unless specified otherwise) | 2012 | 2011 | Change in % |
| Net sales | 444,623 | 415,983 | 6.9 |
| Operating income (EBIT) | 76,303 | 67,787 | 12.6 |
| in percent of net sales | 17.2% | 16.3% | |
| Net income | 61,426 | 51,556 | 19.1 |
| in percent of net sales | 13.8% | 12.4% | |
| Cash flow from operating activities | 82,818 | 57,359 | 44.4 |
| in percent of net sales | 18.6% | 13.8% | |
| Free cash flow | 60,513 | 41,313 | 46.5 |
| in percent of net sales | 13.6% | 9.9% | |
| Earnings per share, in CHF | 100.74 | 84.61 | 19.1 |
| Dividend per share, in CHF | 60* | 50 | 20.0 |
| Investments | 19,864 | 16,466 | 20.6 |
| Research and development | 27,344 | 27,564 | -0.8 |
| in percent of net sales | 6.1% | 6.6% | |
| Number of employees at December 31 (FTE's) | 1,227 | 1,172 | 4.6 |
* Proposal to the Annual General Meeting on April 8, 2013
The Belimo Group is a leading global manufacturer of innovative electrical actuator solutions for heating, ventilation and air-conditioning systems.The Group generated sales of CHF 445 million in 2012 and employs close to 1,300 people. Information about 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).
There will be a media information session on the 2012 financial statements at the WIDDER HOTEL in Zurich today, starting at 10:30 a.m.
| Contact | Beat Trutmann, CFO | Phone +41 43 843 62 65 |
| Agenda | Media information session / | |
| publication of 2012 Annual Report | March 11, 2013 | |
| Annual General Meeting 2013 | April 8, 2013 | |
| Semiannual Report 2013 | August 6, 2013 | |
| Publication of 2013 preliminary results | February 2014 | |
| Media information session / | ||
| publication of 2013 Annual Report | March 17, 2014 | |
| Annual General Meeting 2014 | April 14, 2014 |
The press release can be downloaded from the following link:
The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and other applicable laws; and
(ii) they are solely responsible for the content, accuracy and originality of the
information contained therein.
Source: BELIMO Holding AG via Thomson Reuters ONE
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