(Ad-hoc) Dürr shows positive result at the end of three quarters

11/13/2003 - Dürr AG - WKN 556520 / ISIN DE0005565204

The Dürr Group achieved earnings before taxes of EUR 10.2 m in the third quarter of 2003 (previous year: EUR 9.9 m) under continuing difficult market conditions. Earnings before taxes for the first nine months of 2003 amount to EUR 5.3 m. Earnings before taxes improved in the first nine months of 2003 by EUR 11.0 m compared with the previous year's period, which was influenced by restructuring charges. It should be noted that they were burdened by pressure on margins, sluggish product business, and one-time charges for capacity adjustments and location revisions. The expenses of closing the pre-manufacturing operation in Darmstadt, which was decided in October, are not included yet in earnings. They will be charged to earnings in the fourth quarter of 2003.

EBITDA for the first nine months amount to EUR 47.2 m (EUR 50.0 m), consolidated net income to EUR 2.7 m (EUR minus 3.0 m), earnings per share: EUR 0.19 (EUR minus 0.21). Incoming orders rose to EUR 1,918.8 m (EUR 1,775.1 m; +8.1%), and sales to EUR 1,530.8 m (EUR 1,427.2 m; +7.3%). That is primarily due to the overall positive development of systems business. Calculated at previous year's exchange rates, incoming orders would turn out higher by an additional EUR 209.9 m, and sales by an additional EUR 118.5 m.

Orders on hand amounted to EUR 1,734.0 m on September 30, 2003 (EUR 1,514.7 m; +14.5%). This high amount is primarily due to strong incoming orders in the Paint Systems business unit and is not distributed uniformly throughout the Group. Consequently capacity utilization in the business units, product lines, and regions continues to vary greatly. The number of employees was up as of September 30, 2003 to 12,830 (12,608). New projects in the Services business unit, which had 4,452 employees at the end of September (3,996) are the reason for that. On the other hand, Dürr reduced personnel capacities in its four engineering business units by 234 employees compared with September 30, 2002 to 8,378 employees.

Sales in 2003 will probably be slightly above previous year's level. Dürr expects positive earnings before taxes for the full year even after deduction of all one-time charges and the burdens caused by exchange rate movements. Boosting profitability with the SPRINT SQUARED earnings enhancement program is Dürr's highest priority.

Dürr AG
The executive board

End of disclosure