TAKKT reports profitable growth in first half of 2015

- 4.5 percent organic increase in consolidated turnover; 7.4 percent increase in reported consolidated turnover

- Gross profit margin decreased slightly to 42.9 (43.2) percent

- Increase of EBITDA margin to 15.5 (14.6) percent

- Earnings per share of EUR 0.64 (0.51)

- Acquisition of US direct marketing specialist Post-Up Stand; closing of transaction on April 1

- Acquisition of leading direct marketing specialist for business equipment BiGDUG in the UK; closing of transaction on July 2

Stuttgart, Germany, July 30, 2015. TAKKT recorded profitable growth in the first half of 2015. Along with organic turnover growth, the Group was able to announce two acquisitions. After a cautious start to the year in Europe, business developed more positively in the second quarter of 2015. The good development continued in North America. Consolidated turnover increased organically by 4.5 percent (i.e., adjusted for currency, acquisition and divestment effects). Felix Zimmermann, CEO of TAKKT AG, commented: "The first half of 2015 developed as expected. We are on a good track to achieve the target goals we have set ourselves for the current year."

In total, reported consolidated turnover increased by 7.4 percent to EUR 506.0 (471.3) million in the first half of 2015. In the second quarter, TAKKT grew organically by 5.5 percent compared to the previous year's quarter; at the same time, an increase of 9.0 percent in reported consolidated turnover to EUR 253.6 (232.7) million was seen.

At 42.9 (43.2) percent, the gross profit margin was slightly below the previous year's level. This decline was partly attributable to the higher share of TAKKT AMERICA in consolidated turnover. The absence of turnover from Topdeq and the Plant Equipment Group (PEG) had a positive effect since they had generated a significantly below-average gross profit margin in the previous yearʼs period. Earnings before interest, taxes, depreciation and amortization (EBITDA) came to EUR 78.4 (69.0) million in the first half of 2015 and the EBITDA margin increased to 15.5 (14.6) percent. The gain from the sale of the PEG had a positive one-time effect on the Group's profitability in the first half of the year. After adjusting for this gain, the EBITDA margin would have come to 14.8 percent. The TAKKT cash flow (defined as profit for the period plus depreciation and amortization, impairment of non-current assets and deferred taxes affecting profit and loss) amounted to EUR 59.1 (50.6) million in the first half of 2015.

TAKKT EUROPE: Organic growth in second quarter
Turnover for the TAKKT EUROPE segment saw a slight organic decrease of 0.4 percent in the first half of 2015. Reported turnover in the amount of EUR 259.3 (262.4) million was 1.2 percent lower. Adjusted for the development in Switzerland, where commercial activities experienced a considerable slump due to the stronger Swiss franc and the resulting reluctance of companies to invest, the segment achieved a slight organic turnover growth in the reporting period compared to the first half of 2014. With regard to the segmentʼs divisions, the Packaging Solutions Group (PSG) realized organic growth in the low single-digit percentage range in the first half of the year. Turnover in the Business Equipment Group (BEG) saw a currency-adjusted decrease in the low single-digit percentage range. As a specialist for plant, warehouse and office equipment, the BEG was more strongly influenced by the development of economic conditions in Europe. EBITDA for the segment decreased to EUR 50.0 (52.1) million and the EBITDA margin came to 19.3 (19.8) percent.

TAKKT AMERICA: Continued good performance
Turnover in the first half of 2015 increased by 11.6 percent in the TAKKT AMERICA segment. Even without the PEG turnover, the segment's turnover in the reporting currency of euros rose by 18.1 percent to EUR 246.9 (209.0) million due to the higher exchange rate of the US dollar. Within the segment, Post-Up Stand, acquired in April, as well as the Central company and the Office Equipment Group (OEG) division performed quite favorably in the first six months with clear double-digit organic turnover growth. The Specialties Group (SPG) recorded organic growth in the high single-digit percentage range. EBITDA increased to EUR 32.8 (22.2) million and the EBITDA margin rose to 13.3 (10.6) percent also due to the sale of the less profitable PEG business. After adjusting for the one-time gain earned from the sale of the PEG, the margin for the segment amounted to 11.9 percent.

Outlook: TAKKT holds to its forecast
Since the Purchasing Managers' Index figures for Europe have improved over the course of the first six months and the industry indicators in the US continue to point to a positive business climate, the Management Board still expects the development projected at the beginning of the year to take place. TAKKT CFO Claude Tomaszewski provides an outlook on the current financial year: "For 2015, we continue to expect organic turnover growth of three to five percent and an EBITDA margin at the upper end of the target corridor of 12 to 15 percent. This means that profitability will be above the level of the 2014 financial year. We therefore confirm the forecast scenario from our 2014 annual report."

Conference call
We would like to invite you to address your questions to the Management Board. We will be hosting a conference call for this purpose on July 30, 2015 at 3:00 pm (CEST). To take part, please dial the following number: +49 69 201 744 220 (access code: 779134#).

Financial calendar
The nine-month figures for the 2015 financial year will be published on October 29.


IFRS figures for TAKKT Group to the end of H1 2015:
(in EUR million)

About TAKKT AG
TAKKT is the leading B2B direct marketing specialist for business equipment in Europe and North America. The Group is represented with its brands in more than 25 countries. The product range of the TAKKT subsidiaries comprises more than 200,000 products for the areas of plant and warehouse equipment, office furniture, transport packaging, display articles, equipment for retailers, the food service industry and the hotel market.

The TAKKT Group has over 2,000 employees and just under three million customers worldwide. The company is listed on the SDAX and Deutsche Börse Prime Standard.

Contacts:
Dr. Christian Warns, Tel. +49 711 3465-8222
Giuseppe Palmieri, Tel. +49 711 3465-8250

Email: investor@takkt.de