Ekotechnika AG continues to grow in the first half of 2018/2019
6 June 2019 Corporate News
- Group sales revenues of approx. EUR 51 million (+15%)
- Gross profit at approx. EUR 10 million (+14%)
- Operating result (EBIT) increases to EUR 1.8 million (+163%)
- New machinery sales at good level, spare parts trade and service business with continued growth
Walldorf, 6 June 2019 – Ekotechnika AG (Primary Market; ISIN: DE000A161234), the German holding company of the EkoNiva-Technika Group, the largest dealer of international agricultural machinery in Russia, continued to develop positively in the first half of the financial year 2018/2019 (30 September). Based on preliminary figures, the company recorded an increase in sales revenues of about 15% to approx. EUR 51 million compared to the first half of 2017/2018 (EUR 45.2 million). Gross profit also rose from EUR 8.8 million to approx. EUR 10 million (+14%). The operating result (EBIT) increased significantly by 163% to EUR 1.8 million, which is clearly above the previous year’s level (EUR 0.7 million).
In the seasonally weaker first half of the year, sales of new machinery continued to develop well. While sales of tractors and combines declined slightly to 65 (previous year: 72) and 6 (previous year: 9), respectively, the company’s sales of other machinery grew significantly. Sales of telescopic handlers increased, for example, noticeably to 113 (previous year: 62). After-sales services, including sales of spare parts, lubricants, tires and rendering of services, which are very important for the Group’s stability, also continued to develop positively in the first six months of the year, with sales revenues on ruble basis up by approx. 15%.
Bjoerne Drechsler, member of the Executive Board of Ekotechnika AG: “We are very satisfied with the development in the current financial year to date. Especially in the area of smart farming, our Precision AG Lead Farm project made significant progress, which we will report in greater detail shortly.”
The interim report on the first six months of the financial year 2018/2019 of Ekotechnika AG (31 March) will be published on Friday, 28 June 2019.
Walldorf-based Ekotechnika AG is the German holding company of the EkoNiva-Technika Group, the largest distributor of agriculture equipment in Russia. The company’s most important supplier is John Deere, the world’s leading manufacturer in this field. Ekotechnika’s main business lies in selling new equipment such as tractors and combines but also soil tillage machines and precision farming technology. In addition, the company sells spare parts, provides service and maintenance and entered the forestry machinery market at the end of 2018. Ekotechnika’s founder and chairman of the Executive Board is Stefan Dürr, who has been active in the Russian farming sector since the late eighties and has been instrumental in its modernization over the past two decades. In 2011, the equipment business was separated from the farming business, which now operates independently under the name Ekosem-Agrar. Operating 12 locations in attractive Russian farming regions, Ekotechnika today employs around 550 people and generated sales of around EUR 164 million in 2017/2018. The Ekotechnika stock has been listed on the Primary Market of the Düsseldorf Stock Exchange since December 2015 (ISIN:DE000A161234) and, since September 2018, also on the Open Market of the Frankfurt Stock Exchange.
Press / Investor Relations
Fabian Kirchmann, Anna-Lena Mayer // IR.on AG // T: +49 (0) 221 9140 970 // E: email@example.com