DGAP-News: Mayr-Melnhof Karton AG / Key word(s): Quarter Results
2016-05-19 / 08:00
The issuer is solely responsible for the content of this announcement.

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Results for the 1st Quarter of 2016

* Good first quarter
* Growth again in sales and profit
* Visibility is currently decreasing


The Mayr-Melnhof Group was able to solidly maintain its position in the first quarter of 2016 despite a considerably restrained market environment. Both divisions succeeded in increasing their business volumes and thus registered an overall good capacity utilization of production sites. The acquisition of a folding carton group in France at the end of October last year contributed an expected growth compared to the previous year. With a largely stable development on the procurement markets, high price discipline and cost efficiency enabled MM Karton and MM Packaging to keep the yield from the business at the good level of the previous year.
Due to a continuous lack of impulses from the overall economy, the situation on our markets is characterized by a further decrease in visibility and therefore high competition. The priority lies on safeguarding profitability as best as possible as well as maintaining respectively extending our market shares.

GROUP KEY INDICATORS - IFRS
in millions of EUR
1Q/2016 1Q/2015 +/-

Sales 576.0 533.9 +7.9 % Operating Profit 55.2 50.8 +8.7 % Operating margin (in %) 9.6 % 9.5 % Profit before tax 53.2 47.6 +11.8 % Income tax expense (13.8) (12.1) Profit for the period 39.4 35.5 +11.0 % Earnings per share (in EUR) 1.96 1.77
 

The Group's consolidated sales rose by 7.9 % or EUR 42.1 million to EUR 576.0 million (1Q 2015: EUR 533.9 million). This increase primarily results from higher business volumes in both divisions.

Analogously, a rise in operating profit of 8.7 % or EUR 4.4 million to EUR 55.2 million (1Q 2015: EUR 50.8 million) was reached. It was therefore possible to maintain the Group's operating margin with 9.6 % at the good level of the comparative period of the previous year (1Q 2015: 9.5 %).
Financial income of EUR 0.7 million (1Q 2015: EUR 0.4 million) was offset by financial ex-penses of EUR -1.6 million (1Q 2015: EUR -1.6 million).
Profit before tax thus rose by 11.8 % to EUR 53.2 million (1Q 2015: EUR 47.6 million). Income tax expense totaled EUR 13.8 million (1Q 2015: EUR 12.1 million), resulting in an effective Group tax rate of 25.9 % (1Q 2015: 25.4 %).

Profit for the period went up by 11.0 % to EUR 39.4 million (1Q 2015: EUR 35.5 million). This corresponds to 6.8 % of sales (1Q 2015: 6.6 %).

OUTLOOK 

Looking ahead, the increasingly challenging overall conditions are apparent. The visibility of demand on the cartonboard and folding carton markets has currently become noticeably more short-term and thus, the situation ongoing competitive. Adherence to a consistent price policy ahead of capacity utilization remains as always our priority. Hence, the strong profit development in the first quarter will be a challenge for the subsequent quarters.

As in the past, aside from exploitation of organic growth possibilities, we will also lay a great emphasis on our course of expansion through acquisitions.

Please find the detailed Press Release and the Interim Report for the 1st Quarter of 2016 on our homepage http://www.mayr-melnhof.com.

Forthcoming Results:
August 18, 2016   Half-Year Results 2016


For further information, please contact:

Stephan Sweerts-Sporck
Investor Relations
Mayr-Melnhof Karton AG
Brahmsplatz 6
A-1040 Vienna
Tel.: +43 1 501 36-91180
Fax: +43 1 501 36-191195
E-Mail: investor.relations@mm-karton.com
Website: http://www.mayr-melnhof.com

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2016-05-19 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de

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Language: English Company: Mayr-Melnhof Karton AG Brahmsplatz 6 1040 Wien Austria Phone: 0043 1 501 36 91180 Fax: 0043 1 501 36 91391 E-mail: investor.relations@mm-karton.com Internet: www.mayr-melnhof.com ISIN: AT0000938204 WKN: 93820 Indices: ATX Listed: Regulated Unofficial Market in Berlin, Munich, Stuttgart; Open Market in Frankfurt ; Wien (Amtlicher Handel / Official Market)  
   
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