TAKKT AG: TAKKT shows strong growth in sales and earnings in the third quarter; profitability significantly improved compared to the first half of the year

DGAP-News: TAKKT AG / Key word(s): Quarterly / Interim Statement/9-month figures

25.10.2018 / 07:00
The issuer is solely responsible for the content of this announcement.

TAKKT shows strong growth in sales and earnings in the third quarter; profitability significantly improved compared to the first half of the year

  • Sales growth of 10.8 percent in the third quarter, organic increase in sales of 5.0 percent, positive acquisition effect of 6.1 percentage points
  • EBITDA margin at the previous year's level with 13.3 (13.4) percent
  • Earnings per share increase 23 percent to EUR 0.37 (0.30)
  • TAKKT receives German CSR prize
  • Sales and earnings forecast confirmed

Stuttgart, Germany, October 25, 2018. In the third quarter, TAKKT experienced good growth and was able to build on the positive development of the second quarter. Sales were 10.8 percent higher than in the previous year's period, at EUR 310.7 (280.4) million. Both good organic growth of 5.0 percent and contributions from acquisitions of 6.1 percentage points contributed to this. Unlike in the first half of the year, currency effects only had a minor negative impact (minus 0.3 percentage points). "With the good development shown in the third quarter, we are on track to reach our forecast for 2018," says Felix Zimmermann, CEO of TAKKT AG. The TAKKT EUROPE segment achieved organic growth of 6.1 percent, while TAKKT AMERICA recorded organic growth of 4.0 percent. In Europe, all divisions saw favorable growth; both the Ratioform group and the newport group, which was newly established at the beginning of the year, achieved nearly double-digit organic growth. In the United States, all divisions, with the exception of the Hubert group, witnessed solid to very good growth. The NBF group experienced double-digit growth. Business at Hubert decreased by mid-single-digits, showing slight improvement over the previous two quarters. In the first nine months of the year, the overall organic growth of the Group came to 2.9 percent.

TAKKT's third quarter earnings showed significant improvement over the first half year. The gross profit margin decreased, but less strongly than in the previous quarters. The decline was to a large part a result of the acquisitions executed in 2018, which generate a gross profit margin below the previous TAKKT average due to their product range. In addition, higher freight costs and lower freight margins had a negative impact. TAKKT kept the EBITDA margin of 13.3 (13.4) percent at the previous year's level. EBITDA increased by 9.3 percent to EUR 41.2 (37.7) million. In addition to good growth, the measures initiated mid-year to manage income and costs began to show positive effects. For the first nine months, the overall EBITDA margin was at 12.6 (14.2) percent.

In the current year, the Group expanded its portfolio with two acquisitions in Europe. TAKKT further strengthened its market position in important European markets with the acquisitions of OfficeFurnitureOnline in the UK at the end of January and Runelandhs in Sweden at the end of May. TAKKT remains on course with its digital transformation. The share of e-commerce business in order intake was further increased, comprising 51.6 percent at the end of the third quarter. The Group also intends to remain a role model in terms of sustainability in its industry. In October, TAKKT was recognized with the German CSR Award 2018 in the category "Environmental Commitment" at the German CSR Forum. With the award, the expert jury honored TAKKT's extensive measures to reduce carbon emissions and increase resource efficiency.

Looking toward the final quarter, TAKKT confirms its sales and earnings forecast for the 2018 financial year. CFO Claude Tomaszewski notes, "We reaffirm the forecast organic growth of between two and four percent announced at the beginning of the year." For the remaining three months, the Management Board expects higher earnings than in the fourth quarter of 2017. Both the current positive business development and measures to manage income and costs will contribute to this result. As part of this, income might be generated from a real estate sale in the United States that has been planned for some time. The property is an office building that originally belonged to the former TAKKT subsidiary C&H and, upon the sale of C&H, initially remained in the possession of TAKKT. For the full financial year, the Group holds its expected EBITDA margin at the lower end of the initially projected corridor of 13 to 14 percent. Depending on the further course of the trade conflicts that are increasing worldwide, an EBITDA margin of slightly under 13.0 percent cannot be entirely excluded.

Conference call: October 25, 2018, at 3:00 p.m. (CEST).
The login details to participate in the earnings call are available at the following link: www.takkt.com/event


IFRS figures for the TAKKT Group as of the end of the third quarter 2018
(in EUR million)

Change in % 9M
Change in %
TAKKT Group sales 280.4 310.7 +10.8 845.4 878.0 +3.8
Organic growth     +5.0     +2.9
TAKKT EUROPE 133.6 158.1 +18.3 423.2 477.5 +12.8
Organic growth     +6.1     +4.1
TAKKT AMERICA 146.9 152.7 +3.9 422.4 400.7 -5.2
Organic growth     +4.0     +1.7
EBITDA 37.7 41.2 +9.3 119.7 110.2 -7.9
EBITDA margin (%) 13.4 13.3   14.2 12.6  
EBIT 31.2 34.5 +10.6 99.3 89.4 -10.0
Earnings per share (in EUR) 0.30 0.37 +23.0 0.94 0.95 +0.3
TAKKT cash flow 27.1 31.8 +17.3 85.6 84.7 -1.1
TAKKT cash flow margin (%) 9.7 10.2   10.1 9.7  


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 subsidiaries comprises more than one million products for the areas of plant and warehouse equipment, office furniture, transport packaging, display articles and equipment for the food service industry, hotel market and retailers. The TAKKT Group has over 2,000 employees. The company is listed on the SDAX and Deutsche Börse Prime Standard.

Dr. Christian Warns Tel. +49 (0) 711 3465-8222
Giuseppe Palmieri Tel. +49 (0) 711 3465-8250

Email: investor@takkt.de

25.10.2018 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Archive at www.dgap.de

show this

Your Contact

Michael Loch
Michael Loch
Head of Investor Relations
Tel: +49 711 3465-8222