Consolidated financial statements for 2013 published

Kölleda, 16 April 2014 - In the 2013 financial year, Funkwerk AG achieved consolidated sales of €94.8 million in its continuing operations, which was around €12 % below the comparable figure for the previous year (previous year: €107.3 million). Sales in both the Traffic & Control Communication and Security Communication segments fell to EUR 47.9 million (previous year: EUR 56.3 million) and EUR 46.9 million (previous year: EUR 50.9 million) respectively. The figures from both years have been adjusted for parts of the company that were sold. In 2013, Funkwerk sold Microsyst Systemelectronic GmbH in Weiden, the British subsidiary Funkwerk Information Technologies York Limited and Funkwerk eurotelematik GmbH, Ulm. After carefully weighing up the opportunities and risks, the Group also disposed of the Operations Control and Signalling Technology division, which was mainly located at the previous site in Kiel. Economically, the transaction took place on 1 January 2014, with the final closing taking place at the beginning of this week.

Group-wide incoming orders totalled EUR 91.8 million in 2013 compared to EUR 96.3 million in the previous year. As several orders were merely postponed, the company expects a catch-up effect in 2014. The order backlog totalled EUR 45.3 million at the end of December (previous year: EUR 47.2 million).

In addition to the disposals, with which Funkwerk aims to concentrate on its traditional core business and profitable units, business development was characterised by restructuring work at the Salzgitter plant, relocation of production and measures to increase productivity. The operating result from continuing operations before value adjustments and restructuring expenses was slightly positive at EUR 0.1 million (previous year: EUR 2.2 million). EBIT improved from EUR -4.7 million to EUR -1.3 million. This was due to significantly lower restructuring expenses and value adjustments. After taxes, the net loss fell from EUR -7.3 million to EUR -5.1 million. This results in earnings per share of -0.63 (previous year: -0.90) euros.

For the current 2014 financial year, Funkwerk AG is forecasting a slight increase in Group turnover to around €100 million. It is relying on organic growth, more stable basic sales, the expansion of service activities and increasing internationalisation. The company sees particular opportunities in the area of integrated solutions and intends to position itself as a specialist for sophisticated systems. The Group's operating result is expected to improve to around EUR 2 million in the current year.

In March 2014, Funkwerk AG signed agreements with Hörmann Holding GmbH & Co. KG and Hörmann Finance GmbH, both companies of the majority shareholder, to secure follow-up financing after the previous syndicated loan agreement with three German banks expired. With an unlimited guarantee facility of up to 20 million euros and an additional factoring agreement, a stable basis was created for the future of Funkwerk AG.