DGAP-News: paragon AG / Key word(s): Final Results

2016-03-03 / 12:07
The issuer is solely responsible for the content of this announcement.

- Highest sales growth since 2006, rising by over 20% to EUR 95 million

- Biggest investment in company's history

- Simultaneously, EBIT disproportionately improved

- 2016 Forecast: again revenue growth faster than industrial sector's

- Investment phase peak exceeded, margin improvement expected


Delbrück, Germany, 3 March 2016 - paragon AG increased its consolidated revenues in fiscal year 2015 by 20.2% from EUR 79.0 million to EUR 95.0 million, thus achieving the highest growth since 2006. EBIT (Earnings Before Interest and Taxes) rose disproportionately by 24.9% to EUR 7.8 million (previous year EUR 6.3 million), despite the largest annual investment in the company's history of EUR 33.2 million. The EBIT margin improved from 7.9% to 8.2%. Expenses in connection with the development of new business meant that the adjusted EBIT rose from EUR 9.3 million by 29.6% to EUR 12.0 million with the adjusted EBIT margin improving from 11.7% to 12.6%. Similarly in fiscal year 2016, paragon AG expects a sales growth rate above industrial sector. Having exceeded the investment phase peak paragon AG, direct supplier to the automotive industry, predicts an increase in the EBIT margin.


Klaus Dieter Frers, CEO of paragon AG says, "We are very pleased with the results of the fiscal year. This is, of course, as a result of our excellent figures but more so for the strategic and operational decisions that we made in 2015: We now have our own production plants on sites in the US and China, have made a significant impact in the field of E-mobility and hit the mark for automobile manufacturers with our product offensive. We expect this significant growth to continue over the coming years in light of these positive developments."


Specifically, the Sensors division increased its revenues from EUR 31.3 million to EUR 34.6 (+10.5%) and the Acoustics division rose from EUR 14.5 million to 16.1 million (+11.0%). The Cockpit division improved significantly, not least through the acquisition of the now fully-integrated SphereDesign GmbH, from EUR 27.5 million to EUR 32.3 million (+17.5%). The newest business division, Body Kinematics, grew by EUR 3.7 million to EUR 5.0 million (+35.1%).


The E-mobility division excelled in fiscal year 2015 with the largest percentage increase in sales (+252.4%) and revenues soared from EUR 2.1 million to EUR 7.4 million. These revenues are spread almost equally across the subsidiaries of Voltabox Germany GmbH and Voltabox of Texas, Inc.. Klaus Dieter Frers added, "Despite these already enormous increases, further revenues would have been made if a customer had not shifted a major project forward to 2016. Including this project Group sales would have substantially exceeded the EUR 100 million mark."


Earnings figures in the last fiscal year also developed very well. The rise in adjusted EBITDA of 37.9% to EUR 18.7 million (previous year: EUR 13.5 million) reflected the strong operating performance of the company. The EBITDA margin rose to 19.6% (previous year: 17.1%). Unadjusted EBITDA improved by 35.0% to EUR 14.2 million with the EBITDA margin also increasing to 15% (previous year: 13.3%). Accordingly, net income rose to EUR 3.4 million from EUR 2.8 million with earnings per share rising from EUR 0.67 in the previous year to EUR 0.83. For fiscal year 2016, the Managing Board expects further growth in Group sales by around 8% compared to 2015, which once again clearly exceeds the industrial sector's average.


Frers says, "On the earnings side, in 2016 we will also benefit from significantly lower investment now that the foundations for further expansion have been laid. With planned investments in 2016 amounting to EUR 14.0 million, expenditure is less than half that of 2015 and, in fact, below the level of 2014." The company predicts further disproportionate earnings growth with an improved EBIT margin of around 9%. Among the drivers of this growth is the continuation of positive business developments in the Sensors division, particularly in E-mobility. Consequently, the Managing Board expects the additional contribution of the Voltabox subsidiaries in Germany and in the USA to double, rising to over EUR 15 million. E-mobility, with its increasing momentum, will provide a significant share of sales.


Frers concludes, "Added to this, our order book is virtually full with our revenue forecast already covered by 95% with customer orders and we are expecting further significant contracts during the course of 2016."


Company Profile

Listed in the regulated market (Prime Standard) of Deutsche Börse AG in Frankfurt am Main, paragon AG (DE0005558696) develops, produces, and sells innovative automotive electronics solutions. The portfolio of this direct supplier to the automotive industry includes products in the business segments of Sensors, Acoustics, Cockpit, E-mobility and Body Kinematics. In addition to its headquarters in Delbrück (North Rhine-Westphalia), paragon AG has locations in Suhl (Thuringia), Nuremberg (Bavaria), St. Georgen (Baden-Württemberg) and Bexbach (Saarland) and subsidiaries in Bexbach (Fa. ShereDesign), Kunshan (China) and in Austin (Texas, USA).



paragon AG
Schwalbenweg 29
33129 Delbrück
Phone: +49 (0) 52 50 - 97 62-0
Fax: +49 (0) 52 50 - 97 62-60
Internet: www.paragon.ag
E-Mail: info@paragon.ag

Financial Press Contact & Investor Relations
Hillermann Consulting
Anna Landi
Poststraße 14-16
20354 Hamburg
Phone: +49 (0)40 320 27 91-0
E-Mail: office@hillermann-consulting.de

2016-03-03 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.
Media archive at www.dgap-medientreff.de and www.dgap.de

show this back