AURELIUS Equity Opportunities reports successful results for the first half of 2017

10.08.2017

AURELIUS Equity Opportunities reports successful results for the first half of 2017

  • Total consolidated revenues of EUR 2,282.9 million (+66% over H1 2016)
  • Already four new acquisitions in the first half of 2017
  • EBITDA for the combined group at EUR 303.0 million (+ 204% over H1 2016), positive earnings effects from record sales (SECOP, Getronics) to follow in the third quarter
  • Operating EBITDA of Group companies at EUR 75.7 million (+59% over H1 2016)
  • Net asset value rises to EUR 1,475.6 million, despite dividend payment and share retirement
  • Record earnings expected for 2017; outlook is still very positive

Munich, August 10, 2017 – AURELIUS Equity Opportunities SE & Co. KGaA (ISIN DE000A0JK2A8) published its interim report for the first half of 2017 today. Total consolidated revenues rose by 66 percent to EUR 2,282.9 million (H1 2016: EUR 1,375.2 million). Annualized consolidated revenues from continuing operations of the AURELIUS Group rose to EUR 3.6 billion (H1 2016: EUR 1.7 billion).

Overall Group EBITDA at EUR 303.0 million, earnings effects from record sales not yet included

EBITDA for the combined group tripled in the first half of 2017 to EUR 303.0 million (H1 2016: EUR 99.7 million). The positive earnings contributions from the sales of the Group subsidiaries SECOP and Getronics are not yet included in this figure, as they were only booked in the current third quarter.

EBITDA for the combined group includes income from the reversal of negative goodwill arising on capital consolidation (“bargain purchase income”) from the companies acquired in the first half of 2017 in the amount of EUR 275.1 million (H1 2016: EUR 77.3 million). This item mainly includes the European operations (“Office Depot Europe”) of the U.S. company Office Depot, Inc., which were acquired as of January 1, 2017, and also contains the acquisition of AH Industries. The purchase price allocations of all companies acquired in the first half of 2017 are not yet completed and are therefore provisional. Restructuring and non-recurring expenses of EUR 47.8 million (H1 2016: EUR 28.9 million) were incurred for the restructuring of Group companies.

Operating EBITDA of Group companies rises by 59 percent to EUR 75.7 million

The operating performance of most Group companies was likewise very positive, so that the operating EBITDA (earnings before interest, taxes, depreciation and amortization) of the full Group rose by 59 percent to EUR 75.7 million in the first half of 2017 (H1 2016: EUR 47.7 million).

Net asset value rises to EUR 1,475.6 million

The net asset value of the Group companies rose to EUR 1,475.6 million at June 30, 2017, reflecting an increase of 4 percent compared to the end of financial year 2016 (December 31, 2016: EUR 1,420.9 million). The NAV was positively affected by the operational performance of the subsidiaries and the first-time inclusion of Office Depot Europe in the regular appraisal process. The NAV was negatively affected by the payment of a EUR 120.0 million dividend in June 2017 and the retirement of shares worth approx. EUR 70.0 million since the beginning of the year.

Record earnings expected for 2017; the outlook is still very positive

“In view of the already completed record sales of Secop and Getronics in the current financial year 2017, we raised our earnings forecast for financial year 2017 considerably already in early July 2017 and we now anticipate an EBITDA for the combined group of more than EUR 650 million,” said Dr. Dirk Markus, Executive Board Chairman of AURELIUS Equity Opportunities. “We continue to do well this year, with another new acquisition in the third quarter, the Danish “do-it-yourself” retail chain Silvan. We anticipate record results again in 2017. As in the past, we want our shareholders to benefit to an above-average degree – and not only in the form of yet another very attractive dividend. After already distributing roughly EUR 190 million to our shareholders this year in the form of dividends and share buybacks, we will buy back additional shares worth up to EUR 50 million under a new share buyback program initiated on July 24, 2017.”

The H1 2017 report can be downloaded over the Internet here.

Key figures (in euro millions)

 

01/01 - 06/30/2017

01/01 - 06/30/2016

Change

 

 

 

 

Total consolidated revenues

2,282.9

1,375.2

+ 66 %

Consolidated revenues (annualized) ¹

3,574.4

1,703.8

>100%

EBITDA combined group

303.0

99.7

>100%

thereof negative goodwill upon capital consolidation (bargain purchase income)

275.1

77.3

>100%

thereof restructuring and non-recurring expenses

 - 47.8

 - 28.9

 + 65 %

thereof income from sales of investments above book value

- / -

3.6

 

Operating Group EBITDA

75.7

47.7

+ 59 %

Consolidated profit ²

223.7

33.3

>100%

Earnings per share ¹

 

 

 

  Basic (in EUR)

7.46

0.14

>100%

  Diluted (in EUR)

 6.76

0.18

>100%

Cash flow from operating activities ¹

- 72.3

42.6

> -100%

Cash flow from investing activities ¹

24.7

- 21.2

>100%

Free cash flow ¹

- 47.7

21.4

> -100%

       
       

 

06/30/2017

12/31/2016

Change

 

 

 

 

Assets

 2,203.3

1,796.6

 +23 %

  thereof cash and cash equivalents

 256.3

416.4

-38 %

Liabilities

1,738.7

1,310.1

+33 %

  thereof financial liabilities

412.5

366.2

+13 %

Equity ²

 464.6

486.5

 - 5 %

Equity ratio ² (in %)

 21.0

27.1

 - 23 %

Number of employees at the reporting date

25,083

21,806

+15 %

¹ From continuing operations 
² Incl. minority interests

 

Net asset value of Group entities (in euro millions)

Group entities

NAV at 06/30/2017

Industrial

244.1

IT Services and Systems

221.7

Retail and Consumer Goods

371.8

Chemicals

157.9

Education and Training

134.0

Health and Beauty Care

54.8

Construction

53.9

Hospitality

43.2

Other

194.2

Total

1,475.6