Hunter Douglas Results First Quarter 2008
Hunter Douglas Results First Quarter 2008
Rotterdam, May 13, 2008 – Hunter Douglas, the world market leader in window coverings (Luxaflex®) and a major manufacturer of architectural products results for Q1 2008:
. Sales: 8.3% higher to USD 723.3 million compared with USD 667.5 million in Q1 2007.
. Income from Operations: 38.7% lower to USD 32.5 million compared with USD 53.0 million in Q1 2007.
. Net Profit from Operations: 44.6% lower to USD 23.7 million compared with USD 42.8 million in Q1 2007.
. Net Result Investment Portfolio: USD 55.1 million negative compared with USD 22.3 million positive in Q1 2007.
. Total Net Profit: USD 31.4 million negative compared with USD 65.1 million positive in Q1 2007.
Sales in Q1 were USD 723.3 million, 8.3% higher than USD 667.5 million in the first quarter of 2007. The sales increase reflects a 4.3% volume decrease, a 5.2% increase from acquisitions and a 7.4% positive currency impact. Sales in Europe and North America declined, but were higher in Latin America, Asia and Australia.
Europe accounted for 44% of sales, North America 39%, Latin America 7%, Asia 6% and Australia 4%. Window Coverings were 84% and Architectural and Other Products 16% of total sales.
Income from operations in Q1 was USD 32.5 million, 38.7% lower than USD 53.0 million in the first quarter of 2007. Income from operations was lower in all areas, except Latin America and Asia.
Net Profit from Operations in Q1 was USD 23.7 million, 44.6% lower than USD 42.8 million in the first quarter of 2007. Net profit from operations was lower in all areas, except Latin America and Asia.
Net result investment portfolio in Q1 was USD 55.1 million negative (after deduction of imputed interest and expenses) compared with USD 22.3 million positive in the first quarter of 2007. The investment portfolio had a fair value on March 31, 2008, of USD 730 million compared with USD 849 million at the end of December 2007. The Portfolio's return in USD (before imputed interest and expenses) was 5.4% negative compared with 4.3% positive in the first quarter of 2007. Management of these assets is delegated to a widely diversified range of independent managers.
Total net profit in Q1 was USD 31.4 million negative, compared with USD 65.1 million positive in the first quarter of 2007. Net profit per average outstanding common share was USD 0.74 negative (EUR 0.49 negative) compared with USD 1.55 positive (EUR 1.18 positive) in the first quarter of 2007.
Outlook
Hunter Douglas maintains its cautious outlook considering the deteriorating market conditions in the U.S. and slowing economic growth in many other markets.
Profile Hunter Douglas
Hunter Douglas is the world market leader in window coverings and a major manufacturer of architectural products. The Company has its Head Office in Rotterdam, The Netherlands, and a Management Office in Lucerne, Switzerland. The Group is comprised of 169 companies with 67 manufacturing and 102 assembly operations in more than 100 countries. Hunter Douglas employs about 21,000 people, and had sales in 2007 of USD 3.028 billion.
The common shares of Hunter Douglas N.V. are traded on Amsterdam's Euronext and the Deutsche Boerse.
For further information:
Leen Reijtenbagh
Chief Financial Officer
Tel. +31 10 486 9582
Email: l.reijtenbagh@hdnv.nl
Website: www.hunterdouglasgroup.com
A consolidated Statement of Income for the first quarter of 2008 (Annex 1), Balance Sheet per March 31, 2008 (Annex 2), and Sales change attribution percentages by geographic region for the first quarter 2008 (Annex 3) are attached.
