DGAP-News: paragon AG Boosts 2017 Forecast
DGAP-News: paragon AG / Key word(s): Forecast
paragon AG Boosts 2017 Forecast
- Consolidated revenue now set to reach EUR 120 to EUR 125 million
- EBIT margin expected between 9.0 percent and 9.5 percent
Delbrück, Germany, November 21, 2016 - paragon AG [ISIN DE0005558696] raised its revenue forecast for the 2017 fiscal year and provided a target corridor for profitability.
The Managing Board increased its revenue expectations for 2017, taking into account the planning for 2017 that was recently approved by the Supervisory Board. Since November 2015, the company has consistently anticipated revenue growth of 15 percent to 20 percent from its expected total revenue of approximately EUR 102 million for 2016. This would correspond to total revenues of EUR 117 million to EUR 122 million for 2017.
The new revenue forecast of EUR 120 to EUR 125 million for the upcoming fiscal year is clearly at the higher end of the Managing Board's expectations. Here, the recent developments in the order backlog, particularly in the Electromobility division, have been taken into consideration. The Managing Board also expects enhanced activity in the quickly growing automotive market segments that paragon serves with its technological innovations in the automotive divisions for health, comfort and efficiency. However, the Managing Board anticipates that the launch of new products in these areas will only impact revenues and earnings starting in 2018.
The Managing Board also set an initial target corridor for profitability for the 2017 fiscal year. According to this, the company should achieve an EBIT margin between 9.0 percent and 9.5 percent in 2017, which corresponds to an EBIT (earnings before interest and taxes) in the double-digit millions.
"With the most recent investments, we want to secure increased profitability and see the dynamic growth in revenue we've planned come to fruition," says Klaus Dieter Frers, founder and Chief Executive Officer of paragon AG. "As announced, we will use part of the funds from the capital increase from the beginning of October towards these efforts." New products will now be ready for the market sooner - for instance, the particle sensor that has generated strong customer demand.
More information about paragon AG at www.paragon.ag/en/investors.
Listed in the regulated market (Prime Standard) of Deutsche Börse AG in Frankfurt am Main, paragon AG (ISIN 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 and its subsidiaries have locations in Suhl (Thuringia), Nuremberg (Bavaria), St. Georgen (Baden-Wuerttemberg), and Bexbach (Saarland), as well as in Kunshan (China) and Austin (Texas, USA).
Financial Press Contact & Investor Relations
Dr. Kai Holtmann
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|Listed:||Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich, Stuttgart, Tradegate Exchange|
|End of News||DGAP News Service|