"Currency effects and the weakness in most of the emerging markets had a strong negative impact on our first quarter revenue, in particular for our traditional businesses which are more exposed to these markets. Despite the negative effects of the strike at our Belgian manufacturing sites, we succeeded in improving our gross profit margin. Benefiting from our efficiency programs and our previously announced restructuring efforts, we achieved a positive net result. Being a major focus point, cash flow generation was strong due to our working capital management program. As a result, we further reduced our net financial debt. We believe the first half of the year 2014 will continue to show a soft business environment, but we will continue to improve our gross profit margin and we will continue to focus on cash flow generation. We stick to our medium term target of delivering a double digit recurring EBITDA percentage, said
In spite of the strike, the Group s gross profit margin improved from 28.8 percent in the first quarter of 2013 to 29.3 percent. The main drivers behind the improvement were the targeted efficiency programs and positive raw material effects.
As a percentage of revenue,
R&D expenses were lower than in the first quarter of 2013 as a result of efficiency improvements and product portfolio rationalization actions.
Recurring EBITDA (the sum of Graphics, HealthCare, Specialty Products and the unallocated portion) and recurring EBIT remained almost stable at 5.5 percent and 2.6 percent of revenue respectively.
Restructuring and non-recurring items resulted in an expense of
The net finance costs amounted to
Overall, the tax expense was nil.
The Group posted a net profit of
Most Popular Stories
- Pandora Tumbles in Late Trading
- Stop-Start Engines Save Gas, Reduce Emissions
- Sporty Ford Fiesta Fires on All 3 Cylinders
- World Tensions Don't Curb Enthusiasm for Stocks
- Visa, Amazon Results Drag Down the Street
- Ohio State Band Chief Fired After Probe
- Shia LaBeouf Plea Deal, Alcoholism Treatment
- U.K. Economy Surpasses Pre-Crisis Peak
- Russia Fears Lasting Damage From Ukraine Crisis
- Hispanic Leader Goes the Extra Mile