EANS-News: ANDRITZ GROUP: Solid business development in 2015

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annual result

Graz, March 4, 2016. International technology Group ANDRITZ showed
solid business development in the 2015 business year:

- Sales increased by 8.8%, reaching an all-time high of 6,377.2
million euros (MEUR)(2014: 5,859.3 MEUR). All four business areas
noted an increase in sales.

- Order intake amounted to 6,017.7 MEUR, thus almost reaching the
record level of the previous year (-1.4% versus 2014: 6,101.0
MEUR).

- The order backlog at the end of 2015 amounted to 7,324.2 MEUR
(-2.5% compared to the end of 2014: 7,510.6 MEUR).

- The earnings development was satisfactory considering the
extraordinary effects in connection with the measures to optimize
the value chain at Schuler. To adjust Schuler's manufacturing
capacities to the product mix and business volume, an amount of 78
MEUR was considered in the consolidated income statement, which was
partly offset by project-related positive extraordinary effects of
some 40 MEUR in the PULP & PAPER business area. Thus, the EBITA
amounted to 429.0 MEUR (+13.0% versus 2014: 379.5 MEUR), and the
EBITA margin increased to 6.7% (2014: 6.5%). Without these
extraordinary effects, the EBITA of the Group would have been 467.0
MEUR and the EBITA margin 7.3%.

- Net income (without non-controlling interests) increased to 267.7
MEUR (2014: 210.9 MEUR).

- The net worth position and capital structure as of December 31,
2015 remained solid. Total assets amounted to 5,778.0 MEUR
(December 31, 2014: 5,995.2 MEUR) and the equity ratio increased to
21.0% (December 31, 2014: 17.3%). Net liquidity amounted to 984.0
MEUR (end of 2014: 1,065.1 MEUR).

At the Annual General Meeting on March 30, 2016, the Executive Board
will propose a significant increase of dividend to 1.35 EUR per share
for the 2015 business year (2014: 1.00 EUR). This is equal to a
payout ratio of around 52% (2014: around 49%).

From today's perspective, ANDRITZ anticipates continued uncertainty
in its main markets and largely unchanged project activity in all
four business areas, and expects business development to continue on
a satisfactory level in the 2016 business year. Wolfgang Leitner,
President and CEO of ANDRITZ AG: "The main focus this year will lie
on further flexibilization and adjustment of the Group-wide cost and
organizational structure in order to adapt to the unchanged, volatile
market environment, as well as on developing new products. By doing
so, we want to create a basis on which to continue our long-term
profitable growth."

- End -

Key financial figures at a glance

(in MEUR) 2015 2014 +/- Q4 2015 Q4 2014 +/-
Sales 6,377.2 5,859.3 +8.8% 1,788.1 1,736.4 +3.0%
HYDRO 1,834.8 1,752.3 +4.7% 525.2 520.1 +1.0%
PULP & PAPER 2,196.3 1,969.3 +11.5% 609.9 599.4 +1.8%
METALS 1,718.1 1,550.4 +10.8% 478.3 438.6 +9.1%
SEPARATION 628.0 587.3 +6.9% 174.7 178.3 -2.0%

Order intake 6,017.7 6,101.0 -1.4% 2,250.1 1,529.4 +47.1%
HYDRO 1,718.7 1,816.7 -5.4% 596.7 650.7 -8.3%
PULP & PAPER 2,263.9 1,995.7 +13.4% 1,008.2 366.1 +175.4%
METALS 1,438.6 1,692.8 -15.0% 484.8 364.7 +32.9%
SEPARATION 596.5 595.8 +0.1% 160.4 147.9 +8.5%

Order backlog
(as of end of period) 7,324.2 7,510.6 -2.5% 7,324.2 7,510.6 -2.5%

EBITDA 534.7 472.0 +13.3% 170.6 173.1 -1.4%
EBITDA margin 8.4% 8.1% - 9.5% 10.0% -

EBITA 429.0 379.5 +13.0% 134.0 145.1 -7.6%
EBITA margin 6.7% 6.5% - 7.5% 8.4% -

EBIT 369.1 295.7 +24.8% 110.0 119.7 -8.1%

Financial result 7.3 3.7 +97.3% 3.3 5.4 -38.9%

EBT 376.4 299.4 +25.7% 113.3 125.1 -9.4%

Net income (without
non-controlling
interests) 267.7 210.9 +26.9% 86.4 87.3 -1.0%

Cash flow from
operating
activities 179.4 342.1 -47.6% 46.6 116.5 -60.0%

Capital expenditure 101.4 106.5 -4.8% 41.7 44.6 -6.5%

Employees (as of end
(of period; without
apprentices) 24,508 24,853 -1.4% 24,508 24,853 -1.4%

All figures according to IFRS. Due to the utilization of automatic
calculation programs, differences can arise in the addition of
rounded totals and percentages. MEUR = million euro. EUR = euro.

Press release for download
The press release is available for download at the ANDRITZ web site:
www.andritz.com/news.

The ANDRITZ GROUP ANDRITZ is a globally leading supplier of plants,
equipment, and services for hydropower stations, the pulp and paper
industry, the metalworking and steel industries, and for solid/liquid
separation in the municipal and industrial sectors. The publicly
listed technology Group is headquartered in Graz, Austria, and has a
staff of approximately 24,500 employees. ANDRITZ operates over 250
sites worldwide.

Annual and financial reports The annual reports and financial reports
of the ANDRITZ GROUP are available as PDF for download at
www.andritz.com. Printed copies can be requested by e-mail to
investors@andritz.com.

Disclaimer Certain statements contained in this press release
constitute "forward-looking statements". These statements, which
contain the words "believe", "intend", "expect", and words of a
similar meaning, reflect the Executive Board's beliefs and
expectations and are subject to risks and uncertainties that may
cause actual results to differ materially. As a result, readers are
cautioned not to place undue reliance on such forward-looking
statements. The company disclaims any obligation to publicly announce
the result of any revisions to the forward-looking statements made
herein, except where it would be required to do so under applicable
law.

Further inquiry note:
Dr. Michael Buchbauer
Head of Group Finance, Corporate Communications & Investor Relations
Tel.: +43 316 6902 2979
Fax: +43 316 6902 465
mailto:michael.buchbauer@andritz.com

end of announcement euro adhoc
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company: Andritz AG
Stattegger Straße 18
A-8045 Graz
phone: +43 (0)316 6902-0
FAX: +43 (0)316 6902-415
mail: welcome@andritz.com
WWW: www.andritz.com
sector: Machine Manufacturing
ISIN: AT0000730007
indexes: WBI, ATX Prime, ATX, ATX five
stockmarkets: official market: Wien
language: English