29.03.2011

Zehnder Group 2010: Strong sales increase – double-digit operating margin – strategic profitability initiative demonstrably successful

Gränichen, Switzerland, 29 March 2011 – Zehnder Group, with international operations in the indoor climate sector (radiators and ventilation systems), increased total sales by 9% to EUR 476 million. Organically and foreign exchange adjusted, sales rose by 6%. As the ventilation segment (+19%) again grew more strongly than the radiator segment (+5%) its share of total Group sales reached almost 30% (2009: 27%).

Operating EBIT before onetime effects rose by 17% to EUR 50.4 million, which corresponds to a margin of 10.6%. Consolidated income improved by 15% to EUR 38.2 million or 8 sales percentage points. Apart from the more favourable market environment, profitability improved further because of an overall efficiency initiative across the entire value added chain.

The board will propose a par value repayment of CHF 50 to the shareholders, together with a dividend of CHF 25 per bearer share and a 1:40 share split. For 2011, management anticipates a slight increase in sales for radiators, further noticeable growth of the ventilation business and a stable overall operating margin.