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Hawesko’s six-month figures give every reason to be optimistic


- Sales increase by 8%, well above the overall market trend
- EBIT up by 54% from the previous year
- Targets for 2006 reaffirmed

Hamburg, 26 July 2006. The wine trading group Hawesko Holding AG (HAW GR, HAWG.DE, DE0006042708) published its report on the first six months of 2006 as well as its results for the second quarter today. In the period from 1 April to 30 June 2006, the Group increased its sales compared to the same quarter of the previous year by 5% to Euro 63.9 million before sales tax (previous year: Euro 60.8 million). The Group result from operations (EBIT) for the quarter was increased by 61 % to Euro 1.9 million (previous year: Euro 1.2 million). Consolidated earnings (after deductions for taxes and minority interests) was six times the previous year’s result for the same period (Euro 0.1 million), amounting to Euro 0.9 million. It must be noted that a financial expenditure from the same quarter of the previous year (resulting from the application of IAS 39) did not recur.

In the first half (1 January - 30 June) of fiscal year 2006, the Group posted sales of Euro 132.9 million, an increase of 8% over the first six months of the previous year (Euro 123.0 million). During the same period the overall wine market in Germany grew by 2%, according to a GfK survey. The operating result of the Hawesko Group for the first six months of 2006 amounted to Euro 4.9 million (same period of the previous year: Euro 3.2 million). Consolidated earnings after deductions for taxes and minority interests rose to Euro 2.8 million (Euro 0.9 million).

Hawesko’s management board confirmed that the targets for the full fiscal year of 2006 remain valid: an increase in sales (previous year’s sales: Euro 287 million) and an increase in the EBIT from existing operations. It is assumed that expenditures for the start-up of new activities - in particular for the first pilot stores with the new specialist retail concept multiwein, which will be opening in September - will place a charge of approximately Euro 0.7 million on the EBIT for 2006. In view of the positive development of the sales figures in 2006 up to now, the management board believes that there is a good chance that the EBIT will reach the previous year’s level despite these additional expenditures. This is based on the assumption that business in the second half of the year proceeds normally, particularly in the all-important fourth quarter. In fiscal year 2005 the Hawesko Group achieved an EBIT of Euro 18.9 million and earnings per share of Euro 2.44.

Chief executive officer Alexander Margaritoff stated: “After the first half of the year our mood is very positive. The current market trends indicate that after a difficult phase lasting several years, consumers are once again ready to enjoy the finer things in life - such as good wine. During this time we have done our homework and pursued our strategy unwaveringly. Today we have a robust structure, so that we look forward to the second half of the year with optimism.”

Hawesko Holding AG is the leading supplier of premium wines and champagnes. Its sales channels include specialist wine retail (Jacques’ Wein-Depot), wholesale (Wein Wolf and CWD Champagner- und Wein-Distributionsgesellschaft) and mail order (particularly Hanseatisches Wein- und Sekt-Kontor). The Group employed an average of 566 staff members during the past fiscal year. The shares of Hawesko Holding AG are listed on the Hanseatic Stock Exchange in Hamburg as well as in the GEX segment of the Frankfurt Stock Exchange.

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The complete six-month report for 2006 is available at, Investor Relations -- Financial Info -- Financial Reports.

Published by:
Hawesko Holding AG
P.O. Box 20 15 52
20205 Hamburg, Germany


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