Total revenue of EUR 316 million (+0.3%) achieved in the first half of the year

The OHB Group’s (Prime Standard, ISIN: DE0005936124) total revenue for the first six months rose slightly to EUR 316.4 million, compared with EUR 315.3 million in the same period last year. We expect total revenue to increase in the second half of the year due to planned major project milestones.

Operating profit (EBITDA) increased by 8% to EUR 24.0 million (previous year: EUR 22.2 million). The operating EBITDA margin rose to 7.6% after six months of 2016, compared to 7.1% in the same period of the previous year. EBIT improved by 12% to EUR 18.3 million, compared to EUR 16.3 million in the previous year. The EBIT margin increased accordingly to 5.8%, compared to 5.2% in the previous year. The EBIT margin on the higher value added in this half-year thus reached 9.4%, up from 9.1% in the prior-year period. This resulted in a roughly 7% increase in profit from ordinary activities after the first six months of 2016, amounting to EUR 15.7 million (prior-year figure: EUR 14.7 million). After income and income taxes also rose to EUR 5.2 million (previous year: EUR 4.7 million) in the 2016 reporting period, the OHB Group generated a 5% improvement in consolidated net income for the period, amounting to EUR 10.5 million (previous year: EUR 10.0 million).

The Space Systemsdivision’s unconsolidated total revenue of EUR 236.6 millionwasnearly identical to the figure for the first six months of the previous year, which was EUR 235.8 million. Higher value added in this segment resulted in an increase in operating profit (EBITDA) to EUR 14.9 million, up from EUR 12.5 million in the prior year. The segment’s EBIT rose by EUR 2.4 million, or 27%, to EUR 11.3 million (previous year: EUR 8.9 million). The EBIT margin relative to total unconsolidated revenue, at 4.8%, also increased (previous year: 3.8%). The EBIT margin relative to value added rose accordingly, reaching 9.7% compared to 8.3% in the prior-year period.

The unconsolidated total revenue of theAerospace + Industrial Productsdivision reached EUR 81.8 million in the first six months of fiscal year 2016, matching the previous year’s figure. Expenses for materials and purchased services, which declined slightly during the reporting period, amounted to EUR 36.1 million, compared with EUR 37.7 million in the prior year. This resulted in a slightly higher operating profit (EBITDA) of EUR 9.5 million, compared to EUR 9.4 million in the prior year. The segment’s EBIT improved to EUR 7.4 million (prior year: EUR 7.1 million). The EBIT margin relative to total revenue rose to 9.0% (previous year: 8.7%). The EBIT margin relative to the Group’s own value added—which increased by approximately 9%—declined to 9.4% from 9.9% in the prior-year period.
The OHB Group’s firm order backlog stood at EUR 1,645 million after six months of fiscal year 2016, compared to EUR 1,684 million as of December 31, 2015. Of this amount, EUR 1,197 million, or just over 73%, is attributable to OHB System AG.

At the end of the reporting period, cash and cash equivalents (excluding securities) stood at EUR 40.8 million, which was below the high level recorded at the end of the prior-year period (EUR 46.9 million). As of June 30, 2016, the OHB Group’s total assets stood at EUR 688.4 million, up EUR 49.7 million—or just under 8%—from the level as of December 31, 2015 (EUR 638.7 million). Equity in the Group increased by EUR 8.6 million to EUR 177.4 million. The equity ratio thus stood at 26% as of June 30, 2016, unchanged from December 31, 2015.

The Executive Board expects the OHB Group’s consolidated total revenue for the 2016 fiscal year to amount to EUR 750 million. Key project milestones are scheduled for the second half of 2016 and are expected to contribute to the anticipated increase in total revenue. The operating profit metrics EBITDA and EBIT are expected to amount to EUR 54 million and EUR 42 million, respectively, in 2016. OHB SE thus reaffirms the forecast for the 2016 fiscal year issued in February. Given the high order backlog and the positive outlook for the current fiscal year, the Management Board expects the earnings, financial, and asset situation to continue to develop favorably.