U.S. News

Hagemeyer Reiterates Full-Year Goal, Announces Dividend


Industrial supplier Hagemeyer reiterated its full-year goal of improved profitability and a 9% return on invested capital for its PPS division, while announcing an interim dividend of 0.04 euros per share as it posted half-year results that showed increased sales and net profits that were in-line with analysts' expectations.

The group reported 3.117 billion euros in sales compared to 2.987 billion in the same period a year earlier and a forecasted range of 2.980-3.119 billion.

Hagemeyer's operating result was 78 million euros compared to 65 million and net profit was 57 million euros, versus 26 million year-on-year and forecasts of 53.4-68.4 million.

Earnings-per-share came to 0.10 euros compared to 0.05 euros and were in-line with expectations.

In addition to the results and its announcement of a 0.04 euros interim dividend that will be payable on Sept 10, the company said it expects to further improve operating profit for the full year.

The company also reiterated its long-term outlook for 11-15% return on invested capital for its PPS business in 2009 and said that operating profits at its U.K. operation will exceed last year's level of 4 million pounds.