EANS-News: voestalpine AG /voestalpine significantly increased earnings in the second fiscal quarter 2016/17; Half year's figures declined in comparison to last year because of weak oil- and gas marke

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6-month report

The macroeconomic environment of the first six months of the business
year 2016/ 17 was characterized by the continuation of the moderate
economic recovery in Europe, which turns out to be even resistant
against the BREXIT-vote as well as the crisis in the Middle East so
far. In North America on the other hand, economic dynamics started to
slow down, whereas the growth trend in China stabilized and Brazil
was able to decelerate its recession trend. Against this backdrop the
essential market segments for the voestalpine Group, automotive and
aircraft industry, continued their strong development; Railway
infrastructure as well as consumer goods remained on solid levels. By
contrast the energy segment, in particular the oil- and gas-sector,
showed no trend reversal after the slump in the previous year. The
decline in revenues of 6.5% in the annual comparison of the first six
months is stemming from the deflationary trend of raw material
developments in general but in particular from the continuing weak
markets in the oil- and gas-segment. The comparison of earnings in a
12-months perspective has only limited validity due to significant
positive one-offs in the first half of the last business year. Clean
figures, which are excluding these one-offs are describing the
operational developments, but nevertheless the comparison is showing
declining earnings. The main reason for this development stems from
the significant decline of the oil- and gas-business, which affected
the Metal Engineering Division (seamless tubes for OCTG-goods)
substantially, and to a lesser extent also the Steel Division (heavy
plate for pipelines) and the Special Steel Division (special
materials for oil- and gas-exploration).

While the Steel and the Metal Engineering Division were confronted
with declining revenues as well as earnings in the comparison of the
half year's figures, the Special Steel Division was able to
compensate the weakness in the oil- and gas-segment and delivered
rising earnings despite declining revenues. The Metal Forming
Division on the other hand significantly increased revenues as well
as earnings due to the strong automotive business and the successful
execution of the internationalization strategy. Looking at the first
half of business year 2016/17, voestalpine Group was able to
significantly increase earnings (EBITDA: +11.1%, EBIT +20.1%) in the
second fiscal quarter in comparison to the first fiscal quarter
2016/17. The main driver for this development was the Steel Division,
which markedly improved its earnings. The other divisions were
showing a solid development on quarterly basis including the normal
seasonality - meaning the second fiscal quarter was somewhat weaker
than the first fiscal quarter because of summer season. For the
remainder of the actual business year 2016/17 no significant changes
of the developments of the economies, being essential for the
voestalpine Group, are expected. The same accounts for the most
important customer segments of the group, where a continuation of the
existing trends can largely be expected. Against this backdrop, the
actual expectations for the business year 2016/17 are as follows:
Profit from operations (EBIT) should unchanged come close to the
figures in the last business year (adjusted figure). With respect to
operating result (EBITDA) a repetition of the adjusted figure from
last year should now be possible.

Half year's figures of the voestalpine Group

________________________________________________________________________
|(acc._IFRS;_in_EURm)_______|H1_2015/16(1)_____|H1_2016/17________|Change|
|___________________________|04/01_-_09/30/2015|04/01_-_09/30/2016|in_%__|
|Revenue____________________|5,786.7___________|5,407.8___________|-6.5__|
|EBITDA_____________________|892.1_____________|704.9_____________|-21.0_|
|EBITDA_margin_in_%_________|15.4______________|13.0______________|______|
|EBIT_______________________|575.1_____________|368.9_____________|-35.9_|
|EBIT_margin_in_%___________|9.9_______________|6.8_______________|______|
|Profit_before_tax__________|504.6_____________|311.4_____________|-38.3_|
|Profit_after_tax_(2)_______|420.8_____________|233.7_____________|-44.5_|
|EPS_(in_EUR)_______________|2.29______________|1.28______________|-44.1_|
|Gearing_ration_in_%_(09/30)|57.1______________|60.1______________|______|

(1) H 1 2015/16 retroactively adjusted. Further details are provided under
"General information/Accounting policies."
(2) Before deduction of non-controlling interests and interest on hybrid
capital.

Quarterly figures of the voestalpine Group

_______________________________________________________________________
|(acc._IFRS;_in_EURm)|Q1_2016/17___________|Q2_2016/17___________|Change|
|____________________|04/01/16_-_06/30/2016|07/01/16_-_09/30/2016|in_%__|
|Revenue_____________|2,772.4______________|2,635.4______________|-4.9__|
|EBITDA______________|333.9________________|371.0________________|11.1__|
|EBITDA_margin_in_%__|12.0_________________|14.1_________________|______|
|EBIT________________|167.6________________|201.3________________|20.1__|
|EBIT_margin_in_%____|6.0__________________|7.6__________________|______|
|Profit_before_tax___|138.9________________|172.5________________|24.2__|
|Profit_after_tax_(1)|105.8________________|127.9________________|20.9__|
|EPS_(in_EUR)________|0.58_________________|0.70_________________|20.7__|

(1) Before deduction of non-controlling interests and interest on hybrid
capital.

Further details on the 2nd quarter results 2016/1 are available on
our homepage www.voestalpine.com.

Attachments with Announcement:
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http://resources.euroadhoc.com/us/glqnMEZ1
http://resources.euroadhoc.com/us/ZGtD6HcL

Further inquiry note:
DI Peter Fleischer
Head of Investor Relations
Tel.: +43/50304/15-9949
Fax: +43/50304/55-5581
mailto:peter.fleischer@voestalpine.com
http://www.voestalpine.com

end of announcement euro adhoc
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Attachments with Announcement:
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http://resources.euroadhoc.com/us/glqnMEZ1
http://resources.euroadhoc.com/us/ZGtD6HcL

company: voestalpine AG
voestalpine-Straße 1
A-4020 Linz
phone: +43 50304/15-9949
FAX: +43 50304/55-5581
mail: IR@voestalpine.com
WWW: www.voestalpine.com
sector: Metal Goods & Engineering
ISIN: AT0000937503
indexes: WBI, ATX Prime, ATX
stockmarkets: official market: Wien
language: English

Original-Content von: voestalpine AG, übermittelt durch news aktuell