Operative result further improved in the third quarter
10-11-2005 Successful development continues for HARTMANN GROUP: By concentrating on the core medical range, the quality of the turnover of the HARTMANN GROUP has further improved as of September 30, 2005. Despite strategically stagnating turnover and noticeable pressure on prices in the sales markets, the company was able to distinctly improve the operative result of the Group.
Turnover in the medical core business is developing well
At turnover of EUR 338 million and an increase of 4 % relative to the corresponding previous year period, the segment "Incontinence Management" was able to retain its position as the segment with the biggest turnover as of September 2005. The turnover in the segment "Wound Management" increased by 5 % to EUR 267 million. In the segment "Operating Theatre Management", the turnover increased by 4 % rising to EUR 118 million. In opposition, the turnover in the other activities of the Group further decreased by 16 % to EUR 194 million as a strategic measure.
As expected, the share of the core medical range in the total turnover has further increased and has risen to 79 % in the meantime. This corresponds to an increase of 6 % compared to December 31, 2004.
All in all the HARTMANN GROUP achieved turnover to the amount of EUR 916 million as of September 2005. Assisted by the consistent focus, the Heidenheim-based health care company registered an operative increase of 2.0 % as of September 2005. The nominal decrease by 0.7 % compared to the corresponding previous year period can be ascribed primarily to the changes in the portfolio of shareholdings.
Results further improved despite cost pressure
Compared to the previous year period the result of the Group developed positively. The strains caused by higher purchase prices for raw materials and a distinctly noticeable pressure on prices in the sales markets could be overcompensated by a consistent cost management.
As of September 30, 2005, the result of the Group amounted to EUR 31 million, and thus was EUR 21 million over the figure of the previous year period. The EBIT amounted to EUR 61 million (an increase of EUR 33 million relative to the previous year period). Adjusted for one-time effects from disinvestments and restructuring measures, the operative result of the Group amounted to EUR 24 million an increase of EUR 14 million) and the operative EBIT to EUR 51 million (an increase of EUR 24 million).
Debts further decreased
As of September 30, 2005, the net debts of the HARTMANN GROUP amounted to EUR 153 million. Compared to December 31, 2004 (EUR 198 million), this is a decrease by EUR 45 million. The profit increases in the medical core business and the lower investments in fixed assets contributed decisively to this reduction. On account of the improved profit situation, the equity ratio increased to 44 % compared to 41 % on December 31, 2004.
Number of employees further decreased
The number of employees in the HARTMANN GROUP came up to 9,194 persons on September 30, 2005. The decrease by 458 employees compared to the end of the year 2004 was caused primarily by the sale of the doctors’ business of Sanimed GmbH, and the strategic focus on the medical core business initiated in 2004. On September 30, 2005, 62.2 % of the staff were employed in foreign subsidiaries.
Outlook
In view of the turnover and result data of the first nine months of 2005, the company continues to look ahead to the further development with cautious optimism.
