Schaffner Details

Schaffner Group reports a successful first half-of fiscal 2013/14 Considerable improvement of net sales and profits

Media Release

Schaffner Group reports a successful first half-of fiscal 2013/14

Considerable improvement of net sales and profits

The Schaffner Group increased net sales by 14.5% to CHF 102.6 million (H1 2012/13: CHF 89.6 million), or 15.9% in local currencies. Operating profit (EBIT) recovered to CHF 4.9 million (CHF 1.5 million), while the EBIT margin increased to 4.8% (1.7%). Net profit was CHF 3.2 million (CHF 0.2 million), earnings per share were CHF 5.08 (CHF 0.33).In the first half of 2013/14, the Schaffner Group received new orders worth CHF 108.9 million (CHF 90.2 million). The book-to-bill ratio was 1.06 (1.01).

The Schaffner Group made significant progress in implementing its strategy in the first half of fiscal 2013/14. The EMC division posted a substantial increase in profitability, bringing it much closer to its target margin for the segment; the Power Magnetics division is now positioned as a leading global supplier following the acquisition of Transformer Engineering LLC (Trenco); and the Automotive division returned to profit after a lot of preparatory work over the past few years.

The encouraging trend was attributable in part to the strategic core markets. The rail technology market in particular delivered a positive performance, with strong demand from European customers, while solid demand from the photovoltaics sector in Japan and the wind turbine industry in China and the gradual recovery in the European industrial electronics market also contributed to the positive trend. Schaffner is also reaping the benefits of productivity improvements implemented over the last few years.

Gradual recovery in Europe – slowdown in China

In Europe, Schaffner reported growth both compared with the first half of 2012/13 and sequentially compared with the previous six months. Demand for EMC products continued to pick up, with several major projects won with existing and new customers in Germany, the biggest market of the Schaffner Group. Europe contributed 47% (45%) to first-half sales. Sales in the Asia/Pacific region grew by 11% year-on-year, while the share of Group sales declined slightly to 37% (39%). North America accounted for 16% of Group sales, unchanged on the previous year. Schaffner’s acquisition of MTC in fiscal 2010/11 and Trenco as of 31 March 2014 has strengthened its position in the power magnetics market in North America while opening the door to new national and international customers.

Robust growth in strategic core markets

The contribution of the strategic core markets to Group sales increased to 68% (66%). Energy-efficient drive systems is the biggest market sector, accounting for 21% (24%). Components for automotive electronics contributed 18% (17%), while the renewable energies sector accounted for 16% (17%) and rail technology for 13% (8%).

One-off items relating to administrative expense

Administrative expense rose sharply year-on-year. This was partly because the expiry of an option plan had a positive impact of CHF 1.3 million on the results for the first half of the previous year, and partly because the current half-year results include one-time costs of CHF 0.6 million relating to the Trenco acquisition.

EMC division

Benefiting from a gradual recovery in Europe, the EMC division increased segment sales by 7% to CHF 53.7 million in the first half of the year (CHF 50.2 million). Efficiency improvements contributed to a sharp rise in the segment result to CHF 7.2 million (CHF 4.4 million), while the profit margin increased to 13.5% (8.8%). The EMC division further expanded its leading position in the international EMC market in the first half of the year, recording new orders worth CHF 55.1 million (CHF 51.8 million) and maintaining an unchanged book-to-bill ratio of 1.03.

Power Magnetics division

The Power Magnetics division increased segment sales by 27.8% to CHF 30.8 million (CHF 24.1 million). The Power Magnetics division reported an increase in orders from the European rail technology sector, continuing strong demand from customers in the Chinese wind turbine industry and a sharp year-on-year rise in sales in the Japanese photovoltaic sector. The segment result doubled to CHF 1.7 million (CHF 0.8 million), while the profit margin increased from 3.4% to 5.6%. In the first six months of the current fiscal year, the Power Magnetics division won new orders worth CHF 35.5 million (CHF 23.2 million), and had a book-to-bill ratio of 1.15 (0.96) as at the end of the first half of the year.

Automotive division

Sales of the Automotive division increased by 18.3% to CHF 18.1 million (CHF 15.3 million) following the transfer of new projects to series production. Productivity gains, improved plant capacity utilization and the virtual elimination of special project costs led to an encouraging improvement in the segment result. After a loss of CHF 1.0 million in the prior-year period, Automotive division recorded an operating profit of CHF 0.6 million, improving the profit margin by 9.5 percentage points year-on-year to 3.3%.

Sound financing structure

The Schaffner Group has a sound financing structure. Total assets increased as a result of acquisitions to CHF 152.1 million as at 31 March 2014 (30 September 2013; restated: CHF 138.7 million). Net working capital was CHF 33.0 million (CHF 25.5 million). Free cash flow amounted to CHF -2.2 million (H1 2012/13: CHF 1.7 million). Net debt increased to CHF 26.9 million (30 September 2013; restated: CHF 13.4 million), while the gearing ratio (net debt to shareholders’ equity) rose to 47% (23%). With shareholders’ equity of CHF 57.1 million (CHF 58.1 million), Schaffner had an equity ratio of 37.5% as at 31 March 2014 (41.9%). Shareholders' equity per share was CHF 89.82 (CHF 98.30). The Trenco acquisition reduced shareholders’ equity by 2.4 percentage points. Shareholders’ equity also fell due to the application of IAS 19 (Employee Benefits) and negative currency translation effects on the shareholders’ equity of the subsidiaries in China and Thailand.

Outlook

Schaffner seeks to achieve sustained growth above the market average through major development spending, operational excellence and acquisitions. Including Trenco, consolidated as of 31 March 2014, the Schaffner Group expects net sales in fiscal 2013/14 to exceed the prior-year figure by 10% to 15%. The Schaffner Group is aiming to achieve an EBIT margin of around 7% for fiscal 2013/14, with the one-time costs for the integration of Trenco in the first half of 2013/14 (impact of -0.3 percentage points) already taken into account.

Luterbach, 13 May 2014

Key figures half-year

in CHF '000

2013/14

2012/13

Net sales

102,615

89,604

Net sales EMC division

53,686

50,167

Segment profit EMC division

7,240

4,410

Net sales Power Magnetics division

30,781

24,132

Segment profit/(loss) Power Magnetics division

1,711

819

Net sales Automotive division

18,148

15,305

Segment profit/(loss) Automotive division

594

-984

Operating profit (EBIT)

4,885

1,507

in % of net sales

4.8

1.7

Net profit

3,212

209

in % of net sales

3.1

0.2

Earnings per share in CHF

5.08

0.33

Free Cash flow

-2,200

1,700

31.3.2014

30.9.2013

Total assets

152,134

138,726

Net working capital

33,000

25,500

Net dept

26,900

13,400

Gearing in %

47.0

23.0

Equity ratio in %

37.5

41.9

Shareholders' equity per share in CHF

89.82

98.30

Half-year report

The half-year report 2013/14 of the Schaffner Group is available from 6:00 am on
Tuesday, 13 May 2014: www.schaffner.com/en/investor-relations/reports.html

Webcast

The audio webcast will be available from 10:00 am on Tuesday, 13 May 2014, at the following links:

services.choruscall.eu/links/schaffner140513.html
www.schaffner.com/en/investor-relations.html

Presentation

The presentation will be available from 6:00 am on Tuesday, 13 May 2014, at the following link:

schaffner.com/en/investor-relations/presentations.html

Contact

Alexander Hagemann

Chief Executive Officer

T +41 32 681 66 06

alexander.hagemann@schaffner.com

Kurt Ledermann

Chief Financial Officer

T +41 32 681 66 08

kurt.ledermann@schaffner.com

Calendar

9 December 2014

Publication of Annual Report 2013/14 (full-year results)

15 January 2015

19th Annual General Meeting

Schaffner – energy efficiency and reliability

The Schaffner Group is a global leader in the development and production of solutions that ensure the efficient and reliable operation of power electronic systems. The company’s portfolio ranges from EMC filters, power quality filters and power magnetic components to the development and implementation of customized solutions. Schaffner components are deployed in energy-efficient drive systems and electronic motor controls, in wind power and photovoltaic systems, in rail technology applications, machine tools and robotics as well as in electrical infrastructure and in power supplies for a wide range of electronic devices used in sectors such as medical technology. For the automobile industry, Schaffner develops and manufactures components for convenience and safety features in cars and, in the promising electromobility market, solutions both for electric drive systems in vehicles and for their charging infrastructure. Schaffner provides on-site service to customers around the world through its global application centers and distribution organization, and invests heavily in research and develop­ment in order to expand its position as international market leader.

<script type="text/javascript">var h=window.location.href;var ch=h.replace(/?/g, "/_q_/");ch=encodeURI(ch.replace(/x26/g, "/_a_/"));document.write(unescape("%3C")+"img alt='' src='http://r.newsbox.ch/wire/d73/c3812/__"+ch+"' border='0' /"+unescape("%3E"));</script><noscript></noscript>


Archive

New angled locking cable for IEC C14
20.05.
The Schaffner Group launches the sync module SYNC300A for the ecosine active sync series, the new generation of modular, compact, effective and reliable active harmonic filters
25.04.
New line extensions for ecosine evo series of passive harmonic filters
25.03.
New generation of AC line reactors
18.02.
LCL filter for regen drives and active infeed converter
11.12.
Schaffner sets another new benchmark - Smallest 3 phase book style EMC filter
12.11.
New series of RFI filters with IEC Inlet C14 or C20
01.10.
Foundation stone laid for new Schaffner headquarters in Luterbach
03.07.
Schaffner Common Mode Choke Initiative – New extension to the portfolio
12.06.
Schaffner posts significant growth in sales and operating profit
09.05.
Schaffner high-end IEC Power Entry Modules now meet IEC IEC62368-1. For use in Audio/Video, Information and Communications equipment.
26.04.
The Schaffner Group introduces ecosine active sync series, the new generation of modular, compact, effective and reliable active harmonic filters.
16.04.
EMC filter for single phase applications - newly introduced DC approval
22.01.
Schaffner Holding AG: Agenda for the Annual General Meeting on 11 January 2018
15.12.
New RT chokes current compensated chokes up to 20 A
09.10.
New EMI filtering solution for electric vehicles
30.08.
New Multi–Tier lockable IEC Socket
16.08.
EMC filter for single phase applications - newly introduced DC approval. The very popular single phase EMC filter portfolio of Schaffner is extended by additional high performance versions of the filter families FN 2010, FN 2030 and FN 2090. In addition, all the filters in the complete portfolio of FN 2000 are now available with DC approval as standard.
15.05.
Schaffner is growing and increasing profitability
11.05.
The Schaffner Group continuous to broaden ecosine evo series, the new generation of passive harmonic filters with an evolutionary modular concept and unparalleled technology.
22.02.
Year of contrasts, characterized by change and consolidation
06.12.
The Schaffner Group introduces ecosine evo, the new generation of passive harmonic filters with an evolutionary modular concept and unparalleled technology.
22.11.
New high current EMC/EMI filters for 690 VAC- or 1’500 VDC Applications
24.10.
Schaffner confirms targets for organic growth and operating result Contribution to growth from acquisitions omitted from strategic guidance
20.09.
SchaffnerPQS3 – New version of Schaffner Power Quality Simulator
05.09.
Compact current-compensated chokes up to 10 A
15.08.
Change in management at Schaffner Group CEO Alexander Hagemann leaves Schaffner – CFO Kurt Ledermann to serve as interim CEO
15.07.
Schaffner Holding AG – Investors' Day 2016
08.06.
Schaffner steps up its cost-reduction program in a difficult market environment
12.05.
Schaffner introduces the newest generation of 690/600 VAC dv/dt filters
25.04.
Schaffner Holding AG: Agenda for the 20 th Annual General Meeting on 12 January 2016
15.12.
In a challenging year, Schaffner lays the foundation for future growth
08.12.
Schaffner introduces the newest generation of dv/dt filters
05.10.
ECOsine ® High Power Line Enclosed
14.07.
Schaffner is raising the bar with new high current AC- and DC EMC/EMI filters
18.05.
Schaffner in the first-half of fiscal 2014/15 Rapid reaction to challenges
12.05.
ECOsine® Economy Line for 200 V - 240 VAC
02.02.
Schaffner Holding AG: Agenda for the Annual General Meeting on 15 January 2015
10.12.
ECOsine ® Active – new harmonic filters with Germanischer Lloyd (GL)
20.10.
Schaffner Holding AG – Investors' Day 2014
12.06.
Schaffner Group reports a successful first half-of fiscal 2013/14 Considerable improvement of net sales and profits
13.05.
“iF Product Design Award” 2014 for Schaffner IEC inlet filters
14.04.
Schaffner acquires American manufacturer of specialty transformers
01.04.
ECOsine – new high power filter modules for system integration
20.01.
18th Annual General Meeting of Schaffner Holding AG Shareholders' meeting approve all proposals of the Board of Directors
14.01.
Back on track for growth Definite recovery in the second half of fiscal 2012/13
10.12.
ECOsine ® Active – new harmonic filters for 690 V systems
30.08.
Market downturn in Europe weighs on Schaffner Group's half-year earnings
13.05.
Power Cord with Locking System for IEC Inlets
08.04.
Sine wave filter FN5040HV for 600VAC and 690 VAC drives
18.03.
SchaffnerPQS – New Power Quality Simulator
14.02.
New IEC Power Entry Modules for Snap-in Mounting
10.12.
Solid business performance in difficult market environment
06.12.
Lockable Power Cord IL13 with new Swiss Safety Mains Plug
05.11.
ECOsine™ Economy Line – cost-effective harmonics mitigation
29.10.
ECOsine™ Active – new harmonic filters for 200V systems
31.08.
Board Member Markus Zenhäusern Has Died
02.07.
Schaffner Group: Investors' Day 2012   Wednesday, June 20, 2012
20.06.
New flexible IEC inlet filter series FN9280 and FN9290
18.06.
UL-Approval for Sinusoidal Filters FN5040/45
03.05.
Schaffner Group expecting a fall in 2011/12 interim results compared with previous year
21.03.
More functionality - simple product search - efficient dialogue options - iPad app
01.03.
Current-compensated chokes for the circuit board up to 80A
06.02.
Annual General Meeting of Schaffner Holding AG
12.01.
Agenda of the Annual General Meeting to be held January 12, 2012
08.12.
Schaffner in fiscal 2010/11: Well-positioned for growth through year’s strategic groundwork
06.12.
New IEC Power Entry Modules with 2-pole Power Switch
30.11.
Schaffner Holding AG Georg Wechsler nominated for election to the Board of Directors
28.11.
Schaffner Holding AG Suzanne Thoma nominated for election to the Board of Directors
07.11.
Power cord with locking system for IEC inlets
23.09.
Schaffner Group makes acquisition in USA and introduces divisional organization
02.09.
Low leakage EMC filters now available with UL approval
26.08.
Schaffner Group adjusts expectations for fiscal 2010/11
18.07.
Halbjahresbericht per 31.03.2011
12.05.
Schaffner Group with further increase in sales and earnings during first half of 2010/11
12.05.
Robert F. Spoerry steps down from the Schaffner Board of Directors
31.03.
Schaffner expands IEC power entry module family with safety version
28.02.
Latest generation passive filters for low harmonic 690V drives
31.01.
Annual General Meeting of Schaffner Holding AG approves the proposals of the Board of Directors
12.01.
Schaffner Group increases sales and profit in fiscal 2009/10
07.12.
Schaffner Group and Rockwell Automation intensify cooperation
02.12.
Schaffner receives multi-year order for new electric vehicle platform
22.11.
Liquid cooled dv/dt filters for power electronics
22.11.
Schaffner Group increases expectations for the 2009/10 fiscal year
23.08.
New sinusoidal filters FN5040/45 ensure cooler and more reliable drives
28.07.
Photovoltaics and Asian markets drive Schaffner’s first-half 2009/10 results
12.05.
Schaffner Group first-half results 2009/10
05.05.
Schaffner Group receives additional major order for high-speed trains in China
26.04.
New EMC/EMI filter FN 3268 from Schaffner - compatible with modern residual current operated devices
29.03.
Schaffner Holding AG: Redemption of convertible bond completed
28.01.
14th Annual General Meeting of Schaffner Holding AG
13.01.
Schaffner Gruppe im Geschäftsjahr 2008/2009
08.12.
Geschäftsbericht per 30.9.2009
30.09.
Schaffner konzentriert sich in der Schweiz auf globale Führung, Entwicklung und Marketing
22.09.
Schaffner Gruppe bestätigt Grossauftrag für Hochgeschwindigkeitszüge in China
17.09.
Schaffner Gruppe mit Umsatz- und Auftragsrückgang im 1. Halbjahr 2008/2009
13.05.
Schaffner Gruppe mit Umsatz- und Auftragsrückgang im 1. Halbjahr 2008/2009
23.04.
Schaffner Gruppe passt Struktur volatilen Märkten an
02.03.
Veränderung in der Führung der Schaffner Gruppe Alexander Hagemann übernimmt den Bereich Global Marketing
05.02.
Generalversammlung der Schaffner Holding AG bestätigt VR-Anträge
14.01.
Schaffner Gruppe baut Kompetenz im Bereich Power Quality weiter aus
05.01.
Dr. Herbert Bächler zur Wahl in den Verwaltungsrat vorgeschlagen
23.12.
Schaffner Gruppe im Geschäftsjahr 2007/2008Nach strategischer Neuausrichtung gut auf Kurs
10.12.
Schaffner Gruppe erhält wichtigen Grossauftrag aus China
28.11.
Schaffner Gruppe mit solidem Wachstum in den Kernmärkten
14.05.
Schaffner Gruppe reorganisiert Produktion in Europa
17.04.
Namenaktie der Schaffner Holding AG ab 3. April 2008 mit neuem Nennwert von CHF 36.00
31.03.
Halbjahresbericht per 31.3.2008
31.03.
Generalversammlung der Schaffner Holding AG bestätigt VR-Anträge
16.01.
Schaffner Holding AG: Dr. Markus Zenhäusern zur Wahl in den Verwaltungsrat vorgeschlagen
20.12.
Schaffner Gruppe im Geschäftsjahr 2006/2007
06.12.
Veränderung in der Führung der Schaffner Gruppe
13.11.
Konstante Umsatzsteigerung der Schaffner Gruppe
02.11.
Bericht zum Geschäftsjahr per 30.9.2007
30.09.
Schaffner Gruppe nach neun Monaten des Geschäftsjahrs 2006/2007 auf Kurs
12.07.
Schaffner Gruppe im ersten Halbjahr 2006/2007
11.05.
Schaffner Gruppe ernennt Vice President Global Manufacturing
30.03.
Schaffner schliesst Verkauf des Testsystembereichs ab
27.03.
Schaffner Gruppe mit funktionaler Organisation
24.01.
Generalversammlung der Schaffner Holding AG
17.01.
Schaffner Gruppe bestätigt starke Nachfrage im 1. Quartal 2006/2007
16.01.
Neuer CEO für die Schaffner Gruppe
15.12.
Schaffner Gruppe im Geschäftsjahr 2005/2006:
07.12.
Gutes Schlussquartal für die Schaffner Gruppe
03.11.
Schaffner Gruppe stärkt Kompetenz im Bereich Power Quality
19.10.
Schaffner Gruppe verkauft Schweizer Liegenschaften
29.09.
Führungswechsel bei der Schaffner Gruppe
08.09.
Schaffner Gruppe verkauft Bereich EMV-Testsysteme
28.07.
Finanzbericht per 30.9.2005
30.09.
Bericht zum Geschäftsjahr per 30.9.2005
30.09.
Halbjahresbericht per 31.3.2005
31.03.
Finanzbericht per 30.9.2004
30.09.
Bericht zum Geschäftsjahr per 30.9.2004
30.09.
Ganzer Geschäftsbericht per 30.9.2004
30.09.
Halbjahresbericht per 31.3.2004
31.03.
Ganzer Geschäftsbericht per 30.9.2003
30.09.
Bericht zum Geschäftsjahr per 30.9.2003
30.09.
Finanzbericht per 30.9.2003
30.09.
Halbjahresbericht per 31.3.2003
31.03.
Bericht zum Geschäftsjahr per 30.9.2002
30.09.
Ganzer Geschäftsbericht per 30.9.2002
30.09.
Finanzbericht per 30.9.2002
30.09.
Halbjahresbericht per 31.3.2002
31.03.
Finanzbericht per 30.9.2001
30.09.
Bericht zum Geschäftsjahr per 30.9.2001
30.09.
Halbjahresbericht per 31.3.2001
31.03.
Finanzbericht per 30.9.2000
30.09.
Bericht zum Geschäftsjahr per 30.9.2000
30.09.
Halbjahresbericht per 31.3.2000
31.03.
Ganzer Geschäftsbericht per 30.9.1999
30.09.
Finanzbericht per 30.9.1998
30.09.
Bericht zum Geschäftsjahr per 30.9.1998
30.09.