• Order gains in service and packaging and security printing
• Well filled project pipeline in all business fields
• 6.2% growth in revenue
• Full capacity utilization thanks to high order backlog
• Q1 earnings close to last year’s level despite growth expenses
• Equity ratio of 37.5%
• Guidance for 2019: revenue growth of around 4% and an EBIT margin of around 6% in the group

2019 started well for the Koenig & Bauer group, posting a double-digit increase in order intake in the first quarter year-over year to €276.4m. This strong growth, which exceeded the industry average, was underpinned by significantly more orders for services and for folding carton, direct glass and security printing presses. At €230.7m, revenue exceeded the previous year’s figure by 6.2%. EBIT was still slightly in negative territory due to the low revenue level, coming to –€2.8m despite high market-entry and growth-related expenses, and was thus not far off the previous year’s figure of –€1.9m. At –€4.9m, group net earnings in the first quarter of 2019 translate into earnings per share of –€0.30.

 

In addition to good service orders, the substantially higher orders for packaging printing presses caused order intake in the Sheetfed segment to rise by 12.4% to €173.5m. Revenue increased slightly by 1.8% to €113m. The good order backlog of €250.5m ensures continued high capacity utilisation. At –€3.1m, EBIT was below the previous year’s figure (€0.4m) due to the product mix and the costs arising in connection with the Print China trade fair.

 

Despite the strong growth in service business, orders in Digital & Web came to €31.9m, thus falling short of the previous year’s figure of €45.2m due to lower orders for newspaper and flexible packaging printing presses. At €32.4m, revenue remained at the prior year’s level. The previous year’s figure of €32.5m had been spurred by high service revenue due to large press relocations. At –€5.6m (–€4.5m in the previous year), EBIT was burdened by market-entry and growth-related expenses. At €85.4m, order backlog and capacity utilisation are at a high level.

 

More orders for services and presses for security printing and direct glass decorating caused order intake in the Special segment to rise by 37.7% to €80m. Revenue climbed by 20.8% to €92.8m. At €331.7m, the order backlog at the end of March was 6.2% higher than it had been twelve months earlier. Following a segment profit of €3.8m in the previous year, EBIT came to €2m in the first quarter of 2019.