Chairman Alberto Bombassei:
“We are very satisfied with the results we have achieved and confident about the closing months of the year. In terms of geographical distribution, it is important to highlight that a significant contribution to the results for the first nine months of the year came from non-European markets such as North America - where Brembo is constantly growing and the United States have now solidly become the largest market of reference for the Group - and Asia, where Brembo reported an ongoing rise in India, Japan and China. With regards to the following periods, we are consciously prudent, also in light of the recent events in the German car market.
I believe that the impact on the Italian components market of the events regarding the largest European automotive group can be significant yet not dramatic. For Brembo in particular, we can reasonably expect the possible consequences to be modest, considering that our products are targeted to a premium market.”
Brembo’s Board of Directors chaired by Alberto Bombassei met today and approved Brembo Group’s quarterly results at 30 September 2015.
Brembo Group’s net consolidated revenues for the third quarter of 2015 amounted to €510.2 million, up 16.3% compared to the same period of the previous year.
Car applications once again contributed the most to revenue growth with a 20.2% increase. A good performance was also reported in the motorbike and commercial vehicle sectors, which grew by 9.3% and 16.5%, respectively. The racing sector declined by 16.7% in the reporting quarter due to the exclusion of Sabelt from the consolidation area effective 1 June 2015. Comparing the two reporting periods like for like, the racing sector grew by 10.3%.
At geographical level, sales in Germany increased by 19.3%, in the UK by 10.2% and in France by 2.9% compared to the third quarter of 2014. The Italian market showed a slight decrease by 1.1% QoQ.
In Asia, the Indian market rose by 27.7% (+14.2% net of exchange differences). Japan and China also performed well, growing by 54.2% and 12.6%, respectively.
North America (the USA, Canada and Mexico) continued to grow, with a 31.1% increase in sales (12.7% on a like-for-like exchange rate basis), whereas South America (Argentina and Brazil) decreased by 29.7%, mirroring the ongoing difficulties on the automotive market (-14.5% on a likefor-like exchange rate basis).
In the third quarter of 2015, the cost of sales and other net operating expenses amounted to €337.7 million, up 13.3% compared to €298.0 million for the same period of the previous year. As a percentage of revenues, this item decreased to 66.2% from 68.0% for the third quarter of 2014. Personnel expenses amounted to €83.0 million, with a 16.3% ratio to revenues, down compared to 17.5% for the same period of the previous year.
At 30 September 2015, workforce numbered 7,809, increasing by 43 compared to 30 June 2015 and by 106 compared to 30 September 2014.
EBITDA for Q3 2015 amounted to €91.9 million (18.0% of revenues), up by 39.9% compared to the same period of 2014.
Amortisation, depreciation and impairment losses amounted to €28.8 million, increasing by 16.9% due to the sizeable investments of the previous periods.
EBIT amounted to €63.1 million (EBIT margin: 12.4%), up 53.7% compared to Q3 2014. In the reporting period, net interest expense totalled €2.3 million (€3.7 million in Q3 2014). This item includes interest expense amounting to €2.8 million (€3.6 million in Q3 2014) and net exchange gains of €0.5 million (exchange losses at €0.04 million in the same period of the
Pre-tax profit was €60.8 million (11.9% of revenues), compared to €37.3 million for the same period of 2014.
Based on the tax rates applicable under current tax regulations, estimated taxes amounted to €17.6 million (€6.9 million in Q3 2014), with a tax rate of 28.9% compared to 18.6% for the same period of 2014.
The period ended with a net profit of €43.2 million, up 42.0% compared to €30.4 million for the same period of the previous year.
Net financial debt at 30 September 2015 was €215.4 million, compared to €270.4 million as of 31 December 2014 and €319.8 million as of 30 September 2014.
Cumulative results year to 30 September 2015
In the nine month-period ended at 30 September 2015, net consolidated revenues of the Brembo Group amounted to €1,549.1 million, up 15.6%. On a like-for-like exchange rate basis, revenues increased by 9.3%.
EBITDA for the period amounted to €266.8 million (EBITDA margin: 17.2%), up by 28.4% compared to the same period of 2014.
EBIT amounted to €184.4 million (EBIT margin: 11.9%), up 37.1% compared to the first nine months of 2014.
The period ended with a net profit of €132.1 million, up 40.0% compared to €94.4 million for the same period of the previous year.