Miba Sinter Group reports revenue up almost 6% in first three quarters
December 4, 2013
Miba AG, Laakirchen, Austria, has reported that consolidated revenue during the first three quarters of 2013-2014 amounted to €460.0 million, a slight reduction of 0.4% compared to the first three quarters of 2012–2013. Earnings before interest and tax (EBIT) amounted to €54.1 million, also just below the previous years figure (€54.2 million).
The Miba Sinter Group generated the largest proportion of consolidated revenue with 36.8%, followed by the Miba Bearing Group with 29.8%, the Miba Friction Group with 23.3% and the New Technologies Group with 8%.
“Given the market conditions, which have been more difficult than in the prior-year comparative period, we can be really proud of this result,” stated F Peter Mitterbauer, Chairman of the Management Board.
At €169.3 million, revenue for the Miba Sinter Group in the reporting period was 5.9% higher than the previous year (€159.9 million). In the first three quarters of 2013–2014, the Miba Sinter Group invested €17.1 million to further expand capacity. It is expected that the extension of the property at the North American Sinter site will be completed in February 2014. The manufacturing areas and office spaces which have been newly constructed in the past few months at the Chinese site in Suzhou, where Miba also manufactures sintered components as well as engine bearings, are being equipped and occupied in stages.
Miba Friction Group reported an increase in revenue of 1.4% at €107.1 million for the first three quarters, slightly above the previous year (€105.5 million). Sales markets for friction materials and brake linings showed differing trends in the third quarter of 2013–2014. While global demand for agricultural machinery components is performing well, the demand for components for mining and construction machinery continues to be weak. During the reporting period, Miba Friction Group invested €4.7 million in capacity expansion with major projects at Miba HydraMechanica in Sterling Heights in the USA.
Revenue for the Miba Bearing Group for the reporting period was €136.9 million, 9.5% below the previous year (€151.2 million). Reductions are being recorded in the markets for engine bearings which are used in power stations or mines. A slight easing was visible in the past few months in the truck bearings market (especially outside Europe) as well as with ship engines.
While developments in some sales markets over the next few months continue to be difficult to predict, other sectors are showing signs of stabilising as well as slight increases since the third quarter, which should also continue in the fourth quarter, stated Miba.
“In the medium and long term, most of our sales markets will continue to recover; in addition, we see enormous opportunities in the USA and China. This is where we will profit from the general development of markets and also where we will further strengthen our existing market share,” added Mitterbauer.