GERMANY - Surteco Group SE, holding company for leading brands in surface technology (Döllken, BauschLinnemann, Surteco Decor, among others) achieved the sales and earnings forecast for the business year 2019 following submission of provisional, unaudited figures.

Consolidated sales amounting to € 675.3 million were situated within the target corridor of € 670 - 700 million. A key factor in the decline of sales compared with the previous year (2018: € 699.0 million) was the sale of the impregnating business in North America.

The operating result (adjusted EBIT) at € 40.5 million was slightly above the forecast. Owing to restructuring provisions and further one-off effects amounting to a total of € 19.4 million, EBIT recognized in the reporting year at € 21.1 million was below the year-earlier value of € 32.2 million.

In 2019, the segments showed varying development. While the biggest division by far is Decoratives and it posted sales slightly below the year-earlier level, as forecast, sales in the Profiles division went up more significantly than projected. The Technicals Segment suffered on the one hand owing to the weak demand for laminate flooring, and on the other hand experienced a negative impact from the sale of the impregnating business in North America and was therefore below the forecast.

"Surteco achieved the forecast for operating sales and earnings in 2019. The sale of the impregnating business in North America and the initiation of the restructuring measures will continue to improve competitiveness over the medium term. We are on a very good financial footing and our balance sheet is very robust, enabling us to battle the negative impacts anticipated from the very dynamic development of the Corona Crisis," commented Wolfgang Moyses, Chairman of the Management Board of Surteco Group, on the development.