Financial News

16/November/2011

DGAP-News: VTG Aktiengesellschaft: VTG continues its path of growth



VTG Aktiengesellschaft / Key word(s): Interim Report

16.11.2011 / 07:31


Press Release

VTG continues on its path of growth

- Group revenue reported at EUR 558.3 million, a 20.6 percent rise from 2010

- EBITDA increases by 10.9 percent to EUR 126.0 million

- Wagon capacity utilization up once again

Hamburg, November 16, 2011. With its third-quarter results, the Hamburg based wagon hire and rail logistics company VTG Aktiengesellschaft (WKN: VTG999) saw the positive trend of the first six months of 2011 continue. There was clear growth in all three divisions, with overall revenue rising from EUR 462.8 million to EUR 558.3 million, an increase of 20.6 percent compared with same the period of 2010. Operating profit (EBITDA) amounted to EUR 126.0 million, a year-on-year rise of 10.9 percent.

'The third quarter met our expectations and confirmed our forecast for the year. We are continuing our path of growth and have further strengthened our position in the international rail freight traffic market with acquisitions in Italy and Russia', comments Dr. Heiko Fischer, CEO of VTG Aktiengesellschaft, adding: 'I am looking optimistically to the future, given our long-term contracts and a well-filled order book with more than 2,000 wagons.'

Wagon Hire: Capacity utilization climbs to 91.3 percent

In the first nine months of 2011, the Wagon Hire Division generated revenue of EUR 224.0 million. This represents a year-on-year increase of EUR 12.1 million, or 5.7 percent. EBITDA amounted to EUR 117.8 million, increasing by EUR 9.8 million, or 9.1 percent, against the same period in 2010. The EBITDA margin related to revenue also grew, increasing to 52.6 percent compared with 50.9 percent in the previous year.

Wagon Hire saw a general trend of increasing demand for wagons across all segments in the first nine months of 2011. As of September 30, 2011, capacity utilization was at a level of 91.3 percent, increasing over the previous quarter. It rose sharply in line with demand from a level of 88.2 percent at the end of the third quarter of 2010.

Rail Logistics: Continued upward trend

As of September 30, 2011, revenue in Rail Logistics had risen against the first nine months of 2010 by 51.9 percent to EUR 218.4 million (previous year: EUR 143.8 million). At EUR 9.0 million, EBITDA was also up by 36.9 percent from the previous year (EUR 6.5 million). The EBITDA margin on gross profit was 48.0 percent, compared with 52.7 percent for the same period of the previous year. The division successfully continued its positive trend in the first nine months of the year, particularly in eastern and southeastern Europe. Revenue and EBITDA are also positively influenced by including the Polish subsidiary of Transpetrol into the consolidation scope of the VTG group. Without the consolidation effect of the Polish subsidiary, EBITDA for Rail Logistics would have been EUR 7.3 million in the reporting period, representing an increase of 12.1 percent.

With the recent establishment of an ethanol wagon pooling system in cooperation with the Wagon Hire Division, Rail Logistics has managed to make access to rail freight transport easier for customers with small quantities and short-notice requirements while also taking traffic off the roads and onto the railway. This shows that the Rail Logistics Division's Europe-wide network of haulage partners and its access to the fleet of the Wagon Hire Division can provide customers with the right transport service and the right wagons.

Tank Container Logistics: Improved year-on-year trend

In the first nine months of 2011, Tank Container Logistics achieved an increase in revenue of 8.2 percent, to EUR 115.8 million (previous year: EUR 107.1million). There was a year-on-year increase in EBITDA of EUR 8.3 million, or 12.8 percent, to EUR 9.3 million. The EBITDA margin on gross profit increased to 48.5 percent (previous year: 45.0 percent). These increases are largely due to an improved trend in business, with an increase in demand for transports against the same period of the previous year. However, in recent weeks, demand for transport capacities in Asia has weakened somewhat.

As of September 30, 2011, the deployed fleet comprised 9,970 tank containers, 970 more units than at September 30, 2010.

VTG Group remains confident for 2011 and re-affirms forecast

The weakening of the global economy as described by some observers has so far had very little impact on the trend in VTG's business. Given its stable business model, VTG expects to report a solid 2011 result. Capacity utilization in Wagon Hire is expected to remain at a high level over the remaining months of 2011. Even if the logistics divisions await more moderate growth rates, the company expects to be able to continue successfully on its path of growth.

The Executive Board of VTG AG re-affirms its previous forecast for the financial year 2011 and is confident of achieving levels of revenue and EBITDA in the upper half of the target ranges (EUR 720 -760 million and EUR 165 - 170 million, respectively).

VTG remains committed to issuing solid dividends reliably over the long term.


Key figures for the VTG Group

Financial year 1.1-30.9. 1.1.-30.9. Change
  2011 2010 in %
Revenue in EUR million 558.3 462.8 20.6
EBITDA in EUR million 126.0 113.6 10.9
EBIT in EUR million 54.4 46.9 16.0
EBT in EUR million without refinancing* 23.8 24.7 -4.0
Group profit in EUR million without refinancing** 15.0 15.7 -4.4
Depreciation and amortization in EUR million 71.6 66.7 7.4
Capital expenditure in EUR million 105.1 115.2 -8.7
Operating cash flow in EUR million 99.5 99.5 0.0
Earnings per share in EUR without refinancing*** 0.64 0.69 -7.2
Wagon Hire Division
Revenue in EUR million 224.0 211.9 5.7
EBITDA in EUR million 117.8 108.0 9.1
EBITDA margin in % 52.6 50.9
Rail Logistics Division
Revenue in EUR million 218.4 143.8 51.9
EBITDA in EUR million 9.0 6.5 36.9
EBITDA margin in % 48.0 52.7
Tank Container Logistics Division
Revenue in EUR million 115.8 107.1 8.2
EBITDA in EUR million 9.3 8.3 12.8
EBITDA margin in % 48.5 45.0
  30.9. 30.9. Change
  2011 2010 in %
Number of employees 1,115 995 12.1
- in Germany 769 696 10.5
- abroad 346 299 15.7
  30.9. 31.12. Change
  2011 2010 in %
Balance sheet total in EUR million 1,479.1 1,355.2 9.1
Non-current assets in EUR million 1,194.8 1,174.8 1.7
Current assets in EUR million 284.4 180.4 57.6
Shareholders equity in EUR million 311.8 313.0 -0.4
Liabilities in EUR million 1,167.3 1,042.2 12.0
Equity ratio in % 21.1 23.1

* EBT Q3/2011 with refinancing = EUR 0.5 million = -97.9%

** Group profit Q3/2011 with refinancing = EUR 0.3 million = -97.9%

*** Earnings per share Q3/2011 with refinancing = EUR -0.05 = -107.2%

About VTG:

VTG Aktiengesellschaft is one of Europe's leading wagon hire and rail logistics companies. The company has the largest private wagon fleet in Europe. Globally, the fleet consists of some 51,200 wagons, with a focus on tank cars and state-of-the-art high capacity freight cars and flat cars. In addition to the hiring of wagons, the Group offers global tank container transports and comprehensive multi-modal logistics services, mainly around rail transport.

With the combination of its three interlinked divisions Wagon Hire, Rail Logistics and Tank Container Logistics, VTG offers its customers a high-performance platform for international transport of their freight. The Group has many years of experience and specific expertise, in particular in the transport of liquid and sensitive goods. Its customers include numerous well-known companies from almost every industrial sector, for example the chemical, petroleum, automotive, paper and agricultural industries.

In the financial year 2010, VTG generated revenue of EUR 629.4 million and operating profit (EBITDA) of EUR 154.4 million. Via its subsidiaries and affiliates the company, which has its head office in Hamburg, is mainly present in Europe, Asia and North America. As at 31 December 2010, VTG had 999 employees worldwide in consolidated companies. Since June 2007, VTG AG has been listed on the official Prime Standard market of the Frankfurt Stock Exchange and also on the SDAX (WKN: VTG999).

Media contact:

Monika Gabler

Head of Corporate Communications

Telephone: +49 (0) 40 23 54-1341

Fax: +49 (0) 40 23 54-1340

Email: monika.gabler@vtg.com

Investor Relations contact:

Felix Zander

Head of Investor Relations

Telephone: +49 (0) 40 23 54-1351

Fax: +49 (0) 40 23 54-1350

Email: felix.zander@vtg.com

Further information at www.vtg.com



End of Corporate News


16.11.2011 Dissemination of a Corporate News, transmitted by DGAP - a company of EquityStory AG.
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146441  16.11.2011

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