The following information relates to the continuing operations of
the Heidelberg Group. These include the Press, Postpress and
Financial Services divisions. The Digital Division was sold and
deconsolidated on May 1, 2004, the Web Systems Division on August
6, 2004. All figures for the previous year mentioned in this press
information have been adjusted to ensure that the figures stated
provide a basis for comparison.
- Incoming orders for third quarter 17 percent up on previous
- Sales nine percent up on previous year's figure after
- Operating result almost double at 143 million Euro
- Outlook for full financial year 2005/2006 unchanged
The positive trend for sales and incoming orders continued at
Heidelberger Druckmaschinen AG (Heidelberg) in the third quarter of
financial year 2005/2006. Sales by the Heidelberg Group amounted to
2.44 billion Euro in the first nine months (April 1, 2005 to
December 31, 2005), nine percent up on the previous year's
figure for the same period (previous year: 2.23 billion Euro). At
908 million Euro, sales in the third quarter alone were roughly six
percent up on the corresponding quarter of the previous year
(previous year: 860 million Euro). Incoming orders in the period
under review amounted to 2.73 billion Euro, the same high level as
the previous year (incoming orders for previous year including
drupa: 2.73 billion Euro). Incoming orders in the third quarter
were significantly up on the previous year. At 965 million Euro,
they exceeded incoming orders for the same quarter the previous
year by approximately 140 million Euro or around 17 percent
(previous year: 823 million Euro). The order backlog as at December
31, 2005 was 1.32 billion Euro.
"The favorable business development in the print media
industry has stabilized," said Heidelberg CEO Bernhard
Schreier. "Although the economic recovery hasn't extended
to all regions, Heidelberg's overall sales and results were
significantly up on the previous year's figures. We are very
confident of achieving the target set in our annual forecast."
In the period under review, the Heidelberg Group nearly
doubled the previous year's operating result to 143 million
Euro (continuing operations previous year: 75 million Euro). The
third quarter alone brought an operating profit of 72 million Euro
(continuing operations previous year: 69 million Euro). This
corresponds to an operating return on sales of 7.9 percent for the
third quarter and around 5.9 percent for the whole of the period
under review. The net profit after nine months was 67 million Euro
(previous year, including discontinuing operations: minus 18
"After several good quarters in a row, Heidelberg's
figures demonstrate that we have once again significantly improved
our profitability," stated Heidelberg CFO Dr. Herbert Meyer.
"However, we still need to keep an eye on the Heidelberg
Group's cost structure. Risks such as exchange rate movements
and raw material and energy prices are still very much a
As at December 31, 2005, the Heidelberg Group had a workforce
of around 18,700 worldwide (previous year: approximately 18,800).
Nine-month sales and results show significant improvement in
In the Press Division (offset printing), sales rose by
roughly ten percent to 2.13 billion Euro in the first nine months
(previous year: 1.94 billion Euro). Incoming orders in the period
under review amounted to 2.4 billion Euro, the same high level as
the previous year. At 120 million Euro, the operating result for
the nine months virtually doubled (previous year: 61 million Euro).
In the Postpress Division (finishing), nine-month sales
amounted to 271 million Euro, 11 percent up on the equivalent
figure 12 months ago (previous year: 244 million Euro). Incoming
orders totaled 294 million Euro (previous year: 277 million Euro).
The operating result in the period under review improved to two
million Euro (previous year: minus ten million Euro), giving the
Postpress Division its first overall positive result.
Sales up in virtually all regions
Compared to the same quarter one year previously, figures
for the third quarter remained stable or improved in all regions
except North America. A comparison of the sales figures for the
nine-month period shows increases for all regions except Eastern
Europe, the only region to have a slightly lower figure.
On November 8, 2005, the Management Board of Heidelberger
Druckmaschinen AG decided on a share buyback program covering up to
five percent of its capital stock. As at December 31, 2005, we had
repurchased 970,000 shares and an additional 53,217 shares which
are being used for an employee share purchase program. This means
that, in total, 1.2 percent of the shares outstanding have been
Outlook for financial year 2005/2006 unchanged
The Company expects to see moderate growth in sales for
the current financial year 2005/2006 on a comparable basis. During
the current financial year, Heidelberg is planning to surpass both
the result of operating activities for financial year 2004/2005 of
167 million Euro and the after-tax result of 61 million Euro.
The complete report for the third quarter of 2005/2006 will
be available online at
from 7.00 a.m. onwards.
The scheduled publication date for the preliminary annual accounts
for financial year 2005/2006 is May 3, 2006.