47% increase in total revenues to EUR 97.7 million (previous year: EUR 66.6 million)
Record order backlog of EUR 1.362 billion (previous year: EUR 781 million) / OHB entering operational phase of the Galileo* FOC program; subcontract worth EUR 230 million awarded to SSTL
Firsttime consolidation of CGS and the current project structures, which are characterized by a greater proportion of external sourcing, caused the cost of materials to rise by 79% to EUR 59.1 million. Staff costs climbed by 21% to EUR 25.0 million particularly due to the increase of 246 in the Group headcount following firsttime consolidation. With advance outlays up substantially, EBITDA improved by 4% to EUR 7.6 million. After depreciation/amortization expense, which was up 12% due to the Group's growth, EBIT came to EUR 5.0 million, thus remaining on a par with the very good performance in the same period of the previous year. Heightened interest expense caused net finance expense to rise by EUR 0.3 million to EUR 1.4 million. The net profit for the period attributable to OHB's shareholders after minority interests was up 10% over the same period in the previous year. Earnings per share contracted by EUR 0.01 to EUR 0.14 in the first three months of 2010 due to the increase in the total number of shares outstanding following the issue of fresh equity.
In the first three months of 2010, nonconsolidated total revenues in the Space Systems + Security business unit climbed by EUR 18.5 million over the yearago period to EUR 34.6 million. This sharp rise was materially due to successful commencement of the Galileo* program. In this connection, the cost of materials and services purchased increased by EUR 17.0 million to EUR 26.3 million. At the same time, EBIT rose by 61% to EUR 1.8 million (previous year: EUR 1.1 million), while the EBIT margin in this segment relative to nonconsolidated total revenues shrank to 5.3%, down from 7.0% in the previous year.
At EUR 17.6 million, nonconsolidated total revenues in the Payloads + Science business unit were EUR 2.5 million down on the previous year for invoicing reasons. This was largely mirrored in a decline of EUR 2.2 million in the cost of materials to EUR 10.4 million. Segment EBIT rose to EUR 1.1 million, up from EUR 0.9 million in the previous year. As a result, the EBIT margin widened to 6.1% (previous year: 4.6%).
Established on October 1, 2009 the new Space International business unit comprises the activities of Carlo Gavazzi Space S.p.A. and LUXSPACE Sàrl. In the first quarter of 2010, it reported nonconsolidated total revenues of EUR 12.0 million. With the cost of materials and services purchased coming to EUR 6.7 million, EBIT of EUR 0.7 million was generated, translating into an EBIT margin of 5.8%.
The nonconsolidated total revenues of the Space Transportation + Aerospace Structures business unit contracted slightly over the previous year by EUR 0.6 million to EUR 33.2 million (previous year: EUR 33.8 million) on account of reduced deliveries in the first quarter of 2010. With order backlog remaining strong, the cost of materials and services purchased declined at a slower rate. This caused EBIT to contract by EUR 0.8 million to EUR 1.4 million, resulting in an EBIT margin of 4.2%, down from 6.4% in the same period one year earlier.
Nonconsolidated total revenues in the Telematics + Satellite Operations business unit in the first three months of 2010 were down slightly by EUR 0.1 million on the yearago period. EBIT contracted to EUR 0.1 million (previous year: EUR 0.5 million) primarily as a result of the increase of EUR 0.4 million in the cost of materials and services purchased to EUR 1.6 million in connection with future projects. However, it should be noted in this connection that EBIT in this segment had risen at a particularly sharp rate in the previous year following the invoicing of several projects. In fact, the Telematics + Satellite Operations business unit generated 65% of its fullyear EBIT for 2009 in the first quarter.
The OHB Group's firm order backlog of EUR 1.362 billion reached a new record as of March 31, 2010 (previous year: EUR 781.2 million). Of this, OHB-System alone accounts for EUR 741.8 million or around 54% (previous year: EUR 204.3 million).
The OHB Group's total assets as of March 31, 2010 were up 22% or EUR 97.2 million on the figure recorded as of December 31, 2009, with cash and cash equivalents within current assets rising in particular by a total of EUR 63.1 million to EUR 140.0 million. In addition, inventories increased by EUR 10.2 million for projectrelated reasons, while trade receivables were up EUR 21.6 million. On the other side of the balance sheet, the main increase was in current and noncurrent prepayments received, which rose by EUR 94.3 million. The equity ratio contracted to 18% as of March 31, 2010 due to the increase in total assets, down from 22% as of December 31, 2009.
The OHB Technology expects total revenues to grow to EUR 420-440 million in 2010 as a whole accompanied by an increase in EBITDA to EUR 32-35 million and in EBIT to EUR 22-24 million.
* The OHB project is funded by, and part of, the Galileo programme which is an initiative by the European Union (EU), and where the European Space Agency (ESA) acts in the name of, and on behalf of, the EU. "Galileo" is a trademark subject to OHIM application number 002742237 by EU and ESA.