CENTROTEC meets revenue and profit forecast and expects further growth for 2017
For 2017, CENTROTEC anticipates a mildly positive development in the economic environment. The European construction industry will continue to grow in 2017 and the downward trend in energy prices appears to have come to an end. Against this backdrop, CENTROTEC expects organic growth for the 2017 financial year to continue the pattern of the past three years and anticipates revenue of EUR 575 to 600 million.
The strategic measures to achieve a sustained, international improvement in revenue and earnings will entail above-average expenditure and investment in the development, service and international sales areas in 2017. However the greater part of these measures will not yet produce a profit contribution in 2017 and will diminish the operating result mainly in the second half of the year. Furthermore, the above-average increase in personnel expenses following negotiated pay increases and reductions in working hours as well as substantial rises in raw material prices, especially steel, will adversely impact the anticipated earnings performance. Overall, CENTROTEC expects to post an operating result (EBIT) in the range of EUR 33 – 35 million for 2017.
For the financial years thereafter, CENTROTEC expects to see a continuation in organic revenue growth and a return to a positive development in the profit margins.
Centrotec Sustainable AG
CENTROTEC Sustainable AG enjoys a presence in around 50 different countries through subsidiaries and sales partners. The principal group companies are Wolf, Brink Climate Systems and Ned Air in the Climate Systems segment, specialising in heating, climate control and ventilation technology e.g. in the form of solar thermal systems, CHP units and home ventilation systems with heat recovery, as well as Ubbink and Centrotherm in the Gas Flue Systems segment, with their focus on gas flue and air piping systems. CENTROTEC is consequently Europe's only listed full-service provider of heating and climate control technology, solar thermal systems and energy-saving solutions for buildings.