TTI Reports Record Sales And Profit, And Free Cash Flow For 2013
TTI Delivered Another Exceptional Year as Sales Grew 11.6% and Profit
HONG KONG, March 19, 2014
HONG KONG, March 19, 2014 /PRNewswire-FirstCall/ -- Hong Kong based global
power equipment and floor care company, Techtronic Industries Co. Ltd. ("TTI"
/ The Group) (stock code: 669, ADR symbol: TTNDY) today announced its results
for the financial year ended December 31, 2013, delivering record sales, gross
margin and profit. Solid operational performance drove shareholders' profits
to rise by 24.5% to USD250 million, with earnings per share increasing by
19.8% over 2012 to US13.68 cents. The higher sales and operational efficiency
drove positive free cash flow to a record USD332 million.
Sales increased 11.6% over 2012 to USD4.3 billion due to continued investment
in new products delivering double digit sales growth in all geographic
regions. Sales of TTI's largest business segment, Power Equipment, rose by
9.8% to USD3.1 billion, accounting for 73.1% of total sales, against 74.4% in
2012. Gross profit margin improved for the fifth consecutive year to 34.2%
from 33.5% last year on further productivity gains in our operations and
sourcing, the introduction of new products, cost improvement programs, and
continued investment in automation and lean manufacturing initiatives. 2013
earnings before interest and tax increased by 16.9% to USD304 million, with
the margin improving by 30 basis points to 7.1%. The Board is recommending a
final dividend of HK13.75 cents (approximately US1.77 cents) per share, which
will result in a full-year dividend 35.7% higher than last year.
Mr. Horst Pudwill, Chairman of TTI, said, "I am pleased to announce that TTI
delivered another record year for sales, gross margin and profit in 2013. We
are excited about our positive momentum and are well positioned to build on
our record financial performance through our continued commitment to
innovation and superior products."
"2013 was an outstanding year for TTI that validates our relentless focus on
innovative product development and global market expansion, supported by
disciplined cash management, continuous process improvements, and a deeply
committed customer-oriented global team. We are just getting started," said
Mr. Joseph Galli, CEO of TTI.
USD' USD' Changes
Turnover 4,300 3,852 +11.6%
Gross profit margin 34.2% 33.5% +70 bpt
EBIT 304 260 +16.9%
Profit attributable to Owners of the Company 250 201 +24.5%
Basic earnings per share (US cents) 13.68 11.42 +19.8%
Dividend per share (approx. US cents) 3.06 2.25 +35.7%
oSales grew 11.6% to record USD4.3 billion
oAll business segments and geographic regions delivered strong growth
oGross profit expanded 14.2% with a record margin of 34.2%
oNet profit increased to USD250 million, growing 24.5%
oWorking capital improved to 13.9% of sales
oAnother strong year delivering free cash flow of USD332 million
Founded in 1985 and listed on the Stock Exchange of Hong Kong Limited in 1990,
TTI is a world-class leader in quality consumer, professional and industrial
products marketed to the home improvement, hardware, and construction
industries. An unrelenting strategic focus on Powerful Brands, Innovative
Products, Exceptional People, and Operational Excellence drives our success.
TTI's powerful brand portfolio includes MILWAUKEE^®, AEG^® and RYOBI^® power
tools, accessories and hand tools, RYOBI^® and HOMELITE^® outdoor products,
and HOOVER^®, DIRT DEVIL^®, VAX^® and ORECK^® Floor Care and Appliances.
TTI is one of the constituent stocks of MSCI AC Asia Pacific Small Cap index
under the MSCI Global Small Cap index. The Company is also one of the
constituents on the Hang Seng Consumer Goods Index under the Hang Seng
Composite Industry Index, the FTSE Multinational Hong Kong Index and the FTSE
Hong Kong Mid Cap Index. For more information, please visit www.ttigroup.com.
All trademarks are intellectual property of their respective owners and are
protected under trademark law. AEG^® is a registered trademark and its use is
pursuant to a License granted by AB Electrolux (publ). RYOBI^® is a registered
trademark and its use is pursuant to a License granted by Ryobi Limited.
Techtronic Industries Co. Ltd.
Tel: +(852) 2402 6495
Strategic Financial Relations Limited
Veron Ng +(852) 2864 4831 firstname.lastname@example.org
Ming Chan +(852) 2864 4892 email@example.com
Sadie Lam +(852) 2864 4861 firstname.lastname@example.org
Fax +(852) 2527 1196
SOURCE Techtronic Industries Co. Ltd.
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