Leoni sets sales and earnings records

In line with the preliminary figures provided earlier, consolidated external sales rose by about 36 percent to EUR 2.11 billion (2005: EUR 1.55 billion). Roughly 28 percent of this increase was the result of organic growth, with acquisitions and the increased price of copper accounting for about 36 percent each. Consolidated earnings before interest and taxes were up by nearly 27 percent to EUR 130.2 million (2005: 102.8). Net income rose by around 41 percent to EUR 79.3 million (2005: 56.1). This includes once-off income of EUR 4.8 million from having capitalised a corporate tax credit balance. The earnings-boosting factors were above all the larger volume of business and the increased proportion of output involving more value creation. Based on the assumption of an unchanged, favourable economic setting and an average copper price of EUR 5 per kg, the Leoni Group should generate a sales increase in 2007 by a mid single-digit percentage rate. Due to pre-production spending towards further growth in the Wiring Systems division, earnings before interest and taxes will from today's perspective amount to between EUR 120 and 125 million. In 2008 there is likely to be a sales increase similar to that in 2007 and a significant rise in earnings. Possible acquisitions are disregarded in this forecast. Click Here for the full report.