Pankl Racing Systems AG: Pankl Racing Systems AG - Q1-3 2014

Kapfenberg (pta010/04.11.2014/07:45 UTC+1) 4th November 2014

Revenues growth of 19.9% versus the same period last year
EBIT increased by 135.3% to Eur 9.4m
Capital expenditure programme largely completed

in TEUR	Q1-3 2014	Q1-3 2013	Change	in %		Q3 2014	Q3 2013	Change
Revenues	124,477	103,849	20,628	19.9 %		37,388	32,933	4,455
EBITDA	18,488	12,2	6,288	51.5 %		3,926	2,883	1,043
EBIT	9,39	3,991	5,399	135.3 %		813	40	773
Earnings after taxes	5,752	1,502	4,25	283.0 %		329	-771	1,1
EBITDA margin	15%	12%	-	-		11%	9%	-
EBIT margin	8%	4%	-	-		2%	0%	-

In the first three quarters of the fiscal year 2014, Pankl Group revenues increased by 19.9% from Eur 103.8m (Q1-3 2013)
to Eur 124.5m. The Racing/High Performance segment benefitted from rule changes in motor racing and from start of production of high performance projects. The Aerospace segment achieved small but positive revenues growth during the reporting period.

In the first three quarters of 2014, earnings before interest, tax and depreciation amounted to Eur 18.5m versus Eur 12.2m in the same period last year, which represented an increase of 51.5%. Earnings before interest and tax (EBIT) more than doubled from Eur 4.0m or 3.8% of revenues to Eur 9.4m or 7.5% of revenues.

The positive development of the first half of the fiscal year, continued also throughout Q3, the seasonally weakest quarter. In 2014Q3, revenues increased by 13.5% to EUR 37.4m, EBIT increased from EUR 0.04m to EUR 0.8m.

Racing/High Performance Segment
In the first three quarters of 2014, Racing/High Performance segment revenues amounted to Eur 104.4m, which represented a 21.2% growth versus the same period in the previous year (Q1-3 2013: Eur 86.1m). This growth was mainly driven by Formula 1 moving from V8 naturally aspirated engines to V6 turbo-charged engines and by the start of serial production in the new connecting rod production facility in Bruck upon Mur. In 2013, seasonal demand and hence revenues declined exceptionally early during the year, while in 2014 the high season lasted for longer and generated significant revenues growth. Optimisation measures in high performance projects which were initiated in the previous year and an improving product mix resulted in significant improvements of revenues and earnings. In the first three quarters of 2014 Racing/High Performance segment EBIT improved by 145.5% to Eur 7.3m or 7.0% of revenues (Q1-3 2013: Eur 3.0m or 3.5% of revenues).

Aerospace Segment
In the first three quarters of 2014, Aerospace segment revenues increased from Eur 18.0m by Eur 2.2m to Eur 20.2m. The growth was mainly due to an ongoing stable development of the European aerospace business and a recovery of the US aerospace subsidiary. Demand continued to be weak in the US military segment. In the first three quarters of 2014, Aerospace segment EBIT amounted to Eur 1.5m or 7.7% of revenues which was below the amounts of the previous year (Q1-3 2013: Eur 1.7m or 9.5% of revenues).

Ausblick
CEO Wolfgang Plasser: "In the first three quarters of 2014, we achieved record revenues and earnings. We experienced double digit growth rates in all our business divisions. Earnings before tax increased by 283% and amounted to Eur 5.8m. This was mainly due to the Racing/High Performance segment, which benefitted from a very good motor racing business, cost improvements (no further start-up expenses) and a better product mix in the serial production run-up. For the whole fiscal year, we expect revenues growth of at least 15% and a significant improvement in earnings compared to 2013."

The financial report for the first three quarters of the fiscal year 2014 is available on the homepage of the company under http://www.pankl.com/fileadmin/user_upload/PARS_Q3_2014_E_WEB.pdf

For further information:
Investor Relations
Tel.: +43 3862 33 999 113
e-mail: ir@pankl.com
Internet: www.pankl.com

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