Bobst Group nearly doubles net result to CHF 53.0 million

Bobst Group, the Swiss-based worldwide leading supplier of equipment and services to the packaging industry, achieved consolidated sales of CHF 1.3 billion in 2014, a marginal decrease of CHF 54 million, or 4.0%, compared to 2013. The operating result (EBIT) reached CHF 81.7 million (CHF 60.3 million in 2013) and the net result reached CHF 53.0 million (CHF 27.7 million in 2013). These significant improvements were achieved due to the first full-year impact of Group transformation measures, and to very good utilization of the Group’s industrial capacities, which have been adapted to demand.

The strong operating result (EBIT), together with a further reduction in net working capital, resulted in a significant cash inflow from operating activities of CHF 129.4 million (CHF 83.2 million in 2013). This enabled the Group to further reduce net debt from CHF 109.0 million in 2013 to CHF 17.7 million in 2014. The return on capital employed (ROCE) reached 12.6% compared to 8.6% in 2013.

The Board of Directors proposes to the Annual General Meeting of Shareholders the payment of a dividend of CHF 1.25 per share (CHF 0.75 in 2013).

After the announcement made by the Swiss National Bank on January 15, cost reduction measures have been initiated to mitigate significantly the impact of the rise of the Swiss franc.

The Group confirms its strategy and will dedicate core resources and energy to keeping its technological lead and enhancing customer satisfaction. In 2015 the Group expects to achieve an operating result (EBIT) margin higher than 5% and a net result margin higher than 3%, at current exchange rates.