Dätwyler Holding AG: Datwyler continues to post organic growth

Thus, net revenue fell slightly by 2.2% year on year to CHF 1,290.5 (previous year: CHF 1,319.5 million). Thanks to the company's consistent implementation of its niche strategy, all four Datwyler divisions generated robust demand, although the uncertainty triggered by the European debt crisis negatively impacted the operating environment in all of its markets and industries. There was no obvious uniform trend in seasonal developments in demand: whereas the Pharma Packaging and Sealing Technologies divisions reported strong growth in the second half of the year, the momentum in the Technical Components and Cabling Solutions divisions slowed slightly.

Excluding currency effects, the Technical Components Division achieved organic growth of 3.0%. As a result of consolidation in Swiss francs, net revenue decreased by 3.7% to CHF 626.4 million (previous year CHF 650.5 million). Whereas on the one hand the online/catalogue distribution for industrial electronics, automation and computer accessories (Distrelec, Elfa and Reichelt) expanded strongly, particularly in Germany and Eastern Europe, on the other the specialist distribution segment (Maagtechnic) had to struggle with lower order volumes from customers in Swiss industry and trades.

The Pharma Packaging Division was hit hardest by the exchange rate effect of consolidating accounts in Swiss francs: currency-adjusted organic growth of 8.3% translated into a decline in revenue of 4.4%. Net revenue totalled CHF 265.1 million (previous year: CHF 277.4 million). As already in 2010, Datwyler recorded above-average sales growth in the emerging markets.

The Cabling Solutions Division generated currency-adjusted growth of 5.5%. As measured in Swiss francs, net revenue decreased slightly by 1.1% to CHF 240.9 million (previous year: CHF 243.6 million). Once again, the division enjoyed extremely dynamic sales growth in China, where Datwyler managed to increase its market share. In Europe revenue trends varied considerably from country to country and region to region, with Switzerland leading the field and the countries of southern Europe bringing up the rear.

In the Sealing Technologies Division the efforts of earlier years bore fruit in 2011. Thanks to new series of standardised products for the automotive industry and the expanded cooperation with Nespresso, revenue increased by 7.0% to CHF 162.0 million (previous year: CHF 151.4 million). After adjustment for the negative currency effect, organic revenue grew by 10.7%.

Thanks to solid capacity utilisation and early implementation of measures to reduce dependence on the Swiss franc exchange rate, even in the challenging year under review the Datwyler Group will meet the target range for the EBIT margin that it set itself and report an EBIT margin of between 9% and 10%. In the results the one-time effects arising from restructuring costs are offset by income from the sale of property.

Contact
Dätwyler Holding AG Gotthardstrasse 31 6460 Altdorf Tel. 041 875 11 00 Fax 041 875 12 05 info@datwyler.com