Further financial provisions for pulp mill project in South America
- Further financial provisions for pulp mill project in South America
- Preliminary results 2013 for the ANDRITZ GROUP: sales between 5.7 and 5.8 bn. euros; expected EBITA of approximately 160 MEUR
- Order intake in 2013 expected to reach 5.5 bn. euros – good development in fourth quarter of 2013
International technology Group ANDRITZ announces ad hoc that further financial provisions in the middle double-digit million euro range are necessary in connection with supplies for a pulp mill in South America. These provisions will have a significant negative impact on the earnings of the ANDRITZ GROUP in the fourth quarter of 2013, and consequently also on the full year results for 2013.
The reasons for the provisions are additional project cost overruns resulting from strikes on the site and additional expenses for construction and erection work. From today’s perspective, there is no evidence of a need for further financial provisions – however, they cannot be excluded. Start-up of the plant is expected in the first quarter of 2014.
As a result of all the financial provisions made for the pulp project in South America in 2013, the EBITA of the ANDRITZ GROUP in 2013 is expected to reach approximately 200 MEUR and, after deduction of the provisions already announced in the third quarter of 2013 for structural improvement measures planned in the Schuler Group (acquired by ANDRITZ in 2013), approximately 160 MEUR (2012: 357.8 MEUR), respectively. Sales of the ANDRITZ GROUP in 2013 are expected to amount to between 5.7 and 5.8 bn. euros (2012: 5,176.9 MEUR).
Order intake of the Group in the fourth quarter of 2013 amounted to approximately 1.5 bn. euros, thus order intake of the Group in 2013 is expected to reach around 5.5 bn. euros. This is an increase of about 12% compared to the previous year (2012: 4,924.4 MEUR).
The final financial results and more detailed information for the 2013 business year will be published as scheduled on February 28, 2014.
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The ANDRITZ GROUP
The ANDRITZ GROUP is a globally leading supplier of plants, equipment, and services for hydropower stations, the pulp and paper industry, the metalworking and steel industries, and solid/liquid separation in the municipal and industrial sectors. In addition, ANDRITZ offers technologies for certain other sectors including automation, the production of animal feed and biomass pellets, pumps, machinery for nonwovens and plastic films, steam boiler plants, biomass boilers and gasification plants for energy generation, flue gas cleaning plants, plants for the production of panelboards (MDF), thermal sludge utilization, and biomass torrefaction plants. The publicly listed, international technology Group is headquartered in Graz, Austria, and has a staff of around 23,900 employees. ANDRITZ operates over 220 production sites as well as service and sales companies all around the world.