Thursday, 22 March 2012

Rheinmetall Confident After Record Earnings In 2011


Mar. 21, 2012 - 03:46PM |
By AGENCE FRANCE-PRESSE


FRANKFURT — Rheinmetall, a specialist maker of automotive components and defense equipment, expressed confidence for its business outlook this year after achieved its best-ever results last year.

“Following an excellent fiscal year in 2011, we have once again set ourselves ambitious targets this year,” said chief executive Klaus Eberhardt.

We are aiming for sales of 4.9 billion euros ($6.5 billion) in 2012 and want to maintain our result at the record level reached in 2011,” he said.

Rheinmetall’s net profit rose by 29 percent to 225 million euros ($298 million) in 2011. Underlying profit, as measured by earnings before interest and tax (EBIT), jumped by 19 percent to 354 million euros ($469 million) on a 12-percent increase in sales to 4.454 billion euros.

In its automotive division, sales this year were expected to expand by around 5.0 percent, depending on how the global car industry fared.

But with lower defense expenditure in some European countries and the United States in 2012, sales in the defense division would likely decline slightly.

Rheinmetall said it projected growth in sales and earnings in 2013.

But this was dependent on “the continued positive development of the global automotive industry and the implementation of large projects in the defense sector as planned,” it said

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