ElringKlinger AGM raises dividend by 75% - Dr. Margarete Haase appointed as new member of Supervisory Board
Stuttgart, Dettingen/Erms, May 31, 2011 +++ MDAX-listed ElringKlinger AG will pay a dividend of EUR 0.35 (prev. year EUR 0.20) per share for fiscal 2010. The Annual General Meeting elected Dr. Margarete Haase onto the Supervisory Board as a new shareholder representative and approved the actions of the Supervisory Board and Management Board by a large majority.
Benefiting from the speedy recovery of the automotive markets, ElringKlinger saw its net profit after minorities almost double in fiscal 2010 to EUR 65.6 (33.2) million. Against this backdrop, the company's shareholders agreed, with 99,99% of the votes, to a dividend of EUR 0.35 (0.20) per share. Participating in the company's success, shareholders will receive a dividend payout of EUR 22.2 (11.5) million in total. Based on net income of EUR 36.5 million generated by ElringKlinger AG, this corresponds to a dividend ratio of 60.8%. In this context, the new shares of ElringKlinger AG placed at the beginning of October 2010 are entitled to dividends as from January 1, 2010.
Addressing an audience of 700 shareholders and guests attending the AGM at the Liederhalle Cultural and Congress Center in Stuttgart, CEO Dr. Stefan Wolf gave a positive summary of the fiscal year 2010 just ended: "We were tremendously encouraged not only by the performance of the economy as a whole but also by that of ElringKlinger. Indeed, ElringKlinger managed to outperform the automotive markets by a significant margin," said Wolf. Driving sales revenue by 37.4% to EUR 795.7 million, ElringKlinger posted earnings before interest and taxes (EBIT) of EUR 106.7 (63.3) in fiscal 2010.
New member appointed to Supervisory Board
As a successor to Dr. Rainer Hahn, Dr. Margarete Haase was voted onto the Supervisory Board by the Annual General Meeting with 99,87% of the votes. Dr. Haase is a member of the Management Board of Deutz AG, where her responsibilities include Finance, HR and Investor Relations.
At a harmonious meeting, the company's shareholders also approved with large majorities the other proposals put forward by management. The actions of the Management Board and the Supervisory Board were ratified with 99,91% and 99,65% of the votes respectively. PricewaterhouseCoopers Aktiengesellschaft Wirtschaftsprüfungsgesellschaft, Stuttgart, was re-appointed as auditor for the fiscal year 2011.
Embracing Both Worlds
In the foyer of the Cultural and Congress Center visitors were able to inform themselves about the extensive product portfolio offered by the company and its subsidiaries. Under the heading "Embracing Both Worlds", ElringKlinger presented not only its range of well-established products designed to improve the performance of combustion engines but also its new solutions developed by the E-Mobility division.
The cell contact and pressure equalization systems for lithium-ion batteries showcased at the event were met with great interest, as was the plastic injection-molding tool developed by a group of apprentices at ElringKlinger AG.
Positive business outlook for 2011
After a solid start to fiscal 2011, CEO Dr. Stefan Wolf looked forward with optimism to the remainder of the financial year. Over the course of the first quarter of 2011, the ElringKlinger Group continued to recover from the adverse effects of the sales crisis previously blighting the international vehicle industry. It managed to lift sales revenue by 33.8% to EUR 244.5 (182.7) million, while operating profit for the Group was increased by 39.7% to EUR 32.7 (23.4) million. The Group will be targeting organic revenue growth of 5 to 7% for the fiscal year 2011 as a whole. The Static Flat Gaskets division acquired from the Freudenberg Group is expected to contribute an additional EUR 50 million. Group EBIT is to rise by 15 to 25%.
Additionally, the recent majority takeover of Swiss-based exhaust treatment specialist Hug in May 2011 is to contribute around EUR 30 million to Group sales revenue during the current financial year. In percentage terms, Hug's operating margin is towards the middle of the single-figure percentage range.
"Benefiting from significant investments in recent years as well as our expertise in the field of development, we now have a brimming product pipeline that will allow us to generate profitable growth in years to come," said Wolf. "Whether it's the combustion engine, hybrids or e-mobility solutions – we're on board with tailor-made products and ready to make a high-tech contribution."
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