TAKKT Group continues on growth path

Thursday, 27. October 2011 07:31
Takkt AG /
TAKKT Group continues on growth path
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Earnings remain strong in third quarter

Stuttgart, Germany, 27 October 2011. Despite rising uncertainty surrounding the
economic outlook, TAKKT Group continued on its growth path in the third quarter
of the current financial year. In the first nine months, the Group's
consolidated turnover grew organically by 9.6 percent. There was a
disproportionately high increase in profitability, with EBITDA up 29.9 percent
on the previous year at EUR 99.1 million. The Management Board is standing by
its turnover and earnings forecasts for the full year.

Significant events in the first nine months of 2011
* Organic turnover growth of 9.6 (2010: 3.1) percent
* EBITDA margin increases from 13.0 to 15.6 percent
* Earnings per share rise by 49.1 percent to EUR 0.82 (0.55)
* Option secured on extension site for European mail order centre
* Dr Claude Tomaszewski new CFO as of 01 November 2011

Although the economic outlook has become increasingly uncertain since the middle
of the year, business at TAKKT has continued to develop positively. In the first
nine months of 2011, the Group posted turnover of EUR 633.6 (587.3) million.
This corresponds to turnover growth of 7.9 percent. Adjusted for currency
effects, consolidated turnover rose by 9.6 percent. As expected, growth slowed
down noticeably in the third quarter, not least due to the base effect prompted
by the positive turnover development since the second quarter of 2010. However,
both of the Group's divisions continued to grow rapidly during the reporting
period. "We are profiting from our in-house growth initiatives and this is
enabling us to outperform the economy as a whole," explained CEO Dr Felix A.
Zimmermann. "Business in Germany remains strong, which is the main factor
driving our turnover and earnings." The Management Board confirms the forecast
it issued at the end of the first half year. This means the executives still
anticipate organic turnover growth of approximately six percent for TAKKT Group
in 2011.

At 43.2 percent, the gross profit margin remained clearly above the previous
year's figure of 42.6 percent in the first nine months of 2011. Thus far, the
Group has successfully compensated for the pressure which is usually placed on
the gross profit margin during economic upturns. This was primarily due to very
good growth at the high-margin TAKKT EUROPE division.

In addition to the larger gross profit margin, turnover-related higher
utilisation of the mail order business infrastructure and increased advertising
efficiency led to another marked improvement in operational profitability
compared with the same period in the previous year. In the first nine months of
the financial year, EBITDA (earnings before interest, tax, depreciation and
amortisation) climbed to EUR 99.1 (76.3) million. The EBITDA margin rose to
15.6 (13.0) percent.

TAKKT's cash flow developed positively during the reporting period, increasing
32.5 percent to EUR 70.9 (53.5) million. The cash flow margin came in at 11.2
(9.1) percent.

At the end of the third quarter, the total equity ratio at 52.7 percent came
closer to the ceiling of the long-term TAKKT target range of 30 to 60 percent
(as against 46.5 percent on 31 December 2010).

Positive trend at TAKKT EUROPE continues
Although business continued to develop disparately at the Business Equipment
Group (BEG) and the Office Equipment Group (OEG), the TAKKT EUROPE division once
again set the pace at TAKKT Group. Overall, the division generated turnover of
EUR 372.8 (332.9) million, equivalent to 58.8 (56.7) percent of the consolidated
turnover. The growth rate reached 12.0 percent in the first nine months and 7.1
percent in the third quarter - equivalent to 9.8 percent and 5.4 percent when
adjusted for currency effects. This was attributable to very good developments
in the BEG's brands KAISER+KRAFT, gaerner, Gerdmans, KWESTO and Certeo, which
together posted a double-digit increase in turnover.

Meanwhile, the OEG's repositioning is starting to bear fruit; the average order
value is developing very pleasingly. However, the volume of orders lagged
clearly behind the previous year's figure, as expected. Turnover at the OEG fell
by a low double-digit percentage in the first nine months of the year. Topdeq
has decided to change its sales strategy in Austria. As of 2012, this market
will be served solely by online marketing. In conjunction with this, the Topdeq
site in Schwechat (Vienna) will be closed.

In the first nine months of the financial year, TAKKT EUROPE posted EBITDA of
EUR 77.6 (56.6) million. The EBITDA margin therefore rose from 17.0 percent in
the previous year to 20.8 percent.

Growth at all groups within TAKKT AMERICA
In the period from January to September, TAKKT AMERICA - which is made up of the
Plant Equipment Group (PEG), the Specialties Group (SPG) and the Office
Equipment Group (OEG) - increased its turnover to EUR 261.0 (254.5) million.
This is equivalent to growth of 2.6 percent. The division thereby contributed
41.2 (43.3) percent to consolidated turnover. Adjusted for currency effects,
turnover growth amounted to 9.3 percent in the reporting period and 6.1 percent
in the third quarter.

TAKKT AMERICA continued to profit from the extensive diversification of its
customer and product portfolio. All three groups recorded substantial currency-
adjusted growth in the first nine months. This was due mainly to the higher
average order value, but order numbers were also somewhat up on the previous
year. However, growth began to lose pace in some units, especially the PEG.

TAKKT AMERICA generated EBITDA of EUR 28.7 (25.3) million in the period under
review, giving it an EBITDA margin of 11.0 (9.9) percent. Meanwhile, scheduled
start-up losses at the European Hubert companies, IndustrialSupplies.com and NBF
in Canada had a negative impact on earnings.

In August, the SPG's web-only brand cateringplanet.com went live in the USA.
TAKKT has therefore achieved its target of setting up a web-only brand in each
of its five groups earlier than planned. The aim was to roll out the new brands
by the end of 2011.

Outlook for 2011 confirmed
All around the world, economic forecasts for the rest of 2011 and the following
financial year were revised downwards. Although companies' order books are still
full at present, the mood in the real economy has darkened. Management Board
endorses its forecast released with the half year figures. It therefore expects
organic turnover for the TAKKT Group of around six percent for the full year.
Provided the turnover target is achieved, Corporate Management still anticipates
that the EBITDA margin on Group level can reach the 14.0 percent mark. This
would place it in the upper half of the long-term target corridor of twelve to
15 percent.

Management Board complete
On 13 September 2011, the Supervisory Board of TAKKT AG appointed Dr Claude
Tomaszewski as the company's new CFO. The 42-year-old graduate in business
administration will take up his new post on 01 November 2011. Tomaszewski,
currently Group Finance Director at Celesio's British subsidiary AAH
Pharmaceuticals, succeeds Dr Florian Funck, who resigned from his position as
TAKKT Group's CFO after seven years as of 01 September 2011 to join the
Management Board of Franz Haniel & Cie., TAKKT AG's majority shareholder.

Effective 01 October 2011, KAISER+KRAFT EUROPA GmbH fully acquired its long-
standing strategic IT partner Uben Unternehmensberatung Enzinger GmbH. The
takeover enables TAKKT EUROPE to secure important long term IT expertise for its
direct marketing business.

Conference call
We invite you to directly address the Management Board with your questions. We
will be hosting a conference call for this purpose at 15:00 (CEST) on 27 October
2011, during which we will be open to questions. To take part, please dial the
following number: +49 69 201744-295 (access code: 779134#).

IFRS figures for TAKKT Group to the end of Q3 2011
in EUR million

| | | | | | 9M| |
|    |Q3 2011|Q3 2010|Change in %|9M 2011| 2010|Change in %|
|TAKKT Group turnover| 216.0| 210.5| 2.6| 633.6|587.3| 7.9|
| | | | | | | |
|Organic growth |  | | 5.7|  | | 9.6|
| | | | | | | |
|  TAKKT EUROPE | 118.3| 110.5| 7.1| 372.8|332.9| 12.0|
| | | | | | | |
|  TAKKT AMERICA | 97.8| 100.0| -2.2| 261.0|254.5| 2.6|
|EBITDA | 31.3| 24.1| 29.9| 99.1| 76.3| 29.9|
| | | | | | | |
|EBITDA margin | 14.5| 11.4|  | 15.6| 13.0|  |
|EBIT | 27.3| 19.1| 42.9| 86.7| 61.4| 41.2|
| | | | | | | |
|EBIT margin | 12.6| 9.1|  | 13.7| 10.5|  |
|Profit before tax | 24.6| 17.1| 43.9| 80.4| 54.7| 47.0|
| | | | | | | |
|Pre-tax profit | 11.4| 8.1|  | 12.7| 9.3|  |
|margin | | | | | | |
|TAKKT cash flow | 21.5| 16.7| 28.7| 70.9| 53.5| 32.5|
| | | | | | | |
|TAKKT cash flow | 10.0| 7.9|  | 11.2| 9.1|  |
|margin | | | | | | |

Company calendar
TAKKT will present the preliminary figures for the financial year 2011 on 16
February 2012.
Short profile of TAKKT AG
TAKKT is the leading B2B direct marketing specialist for business equipment in
Europe and North America. The Group is represented with its brands in more than
25 countries. The product range of the TAKKT subsidiaries comprises some
160,000 items for the areas of business and warehouse equipment, classic and
design-oriented office furniture and accessories, and supplies for retailers,
the food service industry and the hotel market.

TAKKT Group employs some 1,900 staff, has around three million customers
worldwide and distributes more than 50 million catalogues and mailings per year.

TAKKT AG is listed on the SDAX and was admitted to Deutsche Boerse's Prime
Standard on 01 January 2003.

Dr Felix A. Zimmermann, CEO                            Tel. +49 711 3465-8201

Email: investor@takkt.de

--- End of Message ---

Takkt AG
Presselstr. 12 Stuttgart

Listed: Regulierter Markt in Frankfurter Wertpapierbörse;

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