Nabaltec AG / Quarter Results

25.05.2010 10:25

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Nabaltec AG: Revenue growth of 49.7% in the first quarter of 2010

- Recovery gaining momentum in both business divisions, 'Functional
Fillers' and 'Technical Ceramics'
- Return to the profit zone at the operative level
- Revenue forecast for 2010 as a whole: EUR 85 - 95 million
- Nabaltec receives '2010 Future Prize' from the District of Schwandorf

Schwandorf, 25 May 2010 - Nabaltec AG registered clear improvement in its
operating performance over all product segments and sales regions in the
first quarter of 2010. The gradual recovery was already evident in the
third and fourth quarters of last year and recently, Nabaltec has posted
even stronger growth: consolidated revenues are up 49.7%, to EUR 24.4
million. Revenues in the 'Functional Fillers' business division grew 56.6%,
to EUR 16.6 million, while revenues in the 'Technical Ceramics' business
division were up 36.8%, to EUR 7.8 million. Operating profit (EBIT)
returned to the profit zone, rising from EUR -1.8 million in the first
quarter of last year to EUR 0.9 million in the first quarter of 2010.
Consolidated net result after non-controlling interests in the reporting
quarter was EUR -0.3 million, compared to
EUR -2.7 million in the first quarter of last year.

Gerhard Witzany, Management Board member of Nabaltec AG, commented as
follows: 'The increasing momentum and, above all, the breadth of the
recovery is, for us, a clear indication of sustainability. But we must also
keep in mind that the first quarter of last year was the low point of the
general crisis. It is too early to project the results from the first three
months of the year over all twelve months. Some of our customers,
particularly in the refractory industry, are expecting the market to move
sideways at mid-year.' In light of this situation, Nabaltec expects
revenues of between EUR 85 million and EUR 95 million for the year. EBIT
should be positive for the year as a whole, as was the case in the first
quarter. However, Nabaltec's consolidated result after interest and taxes
will once again be negative.

According to Johannes Heckmann, Management Board member of Nabaltec AG:
'Our current planning incorporates conservative assumptions with respect to
our new businesses: additives for the plastics industry and boehmites for
the electronics industry. Both segments have developed positively and we
expect to gain momentum in the second half of 2010. In the 'additives'
business unit release procedures are underway with customers for qualities
from the new production facility. In 2010 we will continue to promote the
success of our boehmites as halogen-free flame retardants in the production
of electronic printed circuit boards by establishing our own production in
Schwandorf, thus relieving the plant in Kelheim, which is currently working
at the limits of its capacity. The Kelheim plant will be used again as a
pilot facility for the development of new products.'

Nabaltec will continue to work intensively to develop new products and new
applications. At the same time, however, investments will be scaled back
considerably in 2010 and the years to come. The investments needed for the
commencement of boehmite production in Schwandorf are manageable, in the
low single-digit EUR millions, and can be financed from current cash flow.
Accordingly, free cash flow is projected to be clearly positive for 2010 as
a whole, now that the multi-year investment program is largely completed.
Cash flow from operating activities in the first quarter of 2010 was EUR
5.5 million (compared to EUR -3.6 million in the first quarter of last
year) and cash flow from investment activities was EUR -1.8 million
(compared to EUR -4.5 million in the first quarter of last year).

In yet another evidence to the company's innovativeness, Nabaltec AG
recently won the '2010 Future Prize' from the District of Schwandorf in the
category of business. According to the jury, the most important criterion
for the award of this prize, the first 'Future Prize' in the category of
business, is outstanding performance with a positive impact on the
development and future prospects for the district of Schwandorf. Nabaltec
took first place in this category, along with another company, according to
the jury, which included Prof. Gerhard Hirzinger of the German Aerospace
Center and Prof. Dr. Stefan Beer of Amberg-Weiden University.

About Nabaltec AG
Nabaltec AG, with registered office in Schwandorf, a chemicals business
which has received multiple awards for innovativeness, manufactures,
develops and distributes highly specialized products based on aluminum
hydroxide ('ATH') and aluminum oxide, as well as other raw materials, on an
industrial scale through its 'Functional Fillers' and 'Technical Ceramics'
divisions. The company's product range includes halogen-free flame
retardant fillers and eco-friendly additives for the plastics industry.
Flame retardant fillers are used e.g. in cables in tunnels, airports,
high-rise buildings and electronic devices, while additives replace
stabilizers containing heavy metals in PVC processing. Nabaltec also
produces base materials for use in technical ceramics, the refractory
industry and catalysis. Unlike halogenated flame retardant fillers, the
products manufactured by the company's 'Functional Fillers' division
contain no hazardous substances and do not require separate disposal.
Rather, the company's flame retardant fillers actually decrease the
development of fumes hazardous to human health and the environment in the
event of fire. Nabaltec maintains production sites in Germany and the US
and plans to continue to consolidate its market position by expanding
capacity, further optimizing processes and quality and making strategic
extensions to its product range. On the strength of its specialty products,
the company strives to attain not just the quality leadership, but also the
market leadership in each segment. 

Contact: 

Heidi Wiendl       
Nabaltec AG       
Phone: +49 9431 53-202     
Fax: +49 9431 53-260      
E-mail: InvestorRelations@nabaltec.de    

Frank Ostermair 
Better Orange IR & HV AG
Phone: +49 89 8896906-14
Fax: +49 89 8896906-66 
E-mail: frank.ostermair@better-orange.de




25.05.2010 Ad hoc announcement, Financial News and Media Release distributed by DGAP.
Media archive at www.dgap-medientreff.de and www.dgap.de

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Language:     English
Company:      Nabaltec AG
              Alustraße 50-52
              92421 Schwandorf
              Deutschland
Phone:        +49 9431 53-0
Fax:          +49 9431 53-260
E-mail:       info @nabaltec.de
Internet:     www.nabaltec.de
ISIN:         DE000A0KPPR7
WKN:          A0KPPR
Listed:       Freiverkehr in Berlin, Düsseldorf, München, Stuttgart; Entry
              Standard in Frankfurt
 
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