Plastic Omnium: First Quarter 2015 Revenue up 12%

LEVALLOIS, France--(BUSINESS WIRE)--

Regulatory News:

Compagnie Plastic Omnium's (Paris: POM) economic revenue(1) for the first quarter of 2015 was €1,462 million, up 12%.

In the Automotive Division, revenue grew by 14.1%, including 4.6% in volume compared to a global automobile manufacturing up by 1.9%. This out-performance was driven by the saturation of existing capacities, new plants in China and the growing popularity of the new product lines.

In the Environment Division, the drop in revenue was attributed both to the sale of the road signage activity in Switzerland at end-2014 as well as to the low activity level during the first quarter, which is now showing signs of recovery. Productivity initiatives and cost-control measures are still being pursued.

By region, revenue growth was as follows:

In Europe, automotive business was strong particularly in France, England and Poland. The new product lines proved to be successful with composite tailgates delivered in France and in England and the ramp up of the NOx-reduction SCR systems. In March 2015, Plastic Omnium was honored at the JEC Composites show for two innovations in composite structural parts. Construction for the plant in Warrington (England) has begun and the plant will be commissioned in 2016 to supply bumpers to the Jaguar Land Rover group.

In Asia, growth remained steady both in China and outside of China (South Korea, Japan and India). In 2014, four plants were commissioned in China and another plant in Wuhan in early 2015 to supply bumpers to SGM. Production at the Changsha plant (bumpers) and Beijing plant (front-end modules) will begin in 2015. New light-weight products (tailgates) and lower emissions products (TSBM) have also begun to break into the Chinese market. In Japan, the Group received the "Superior Quality Performance" Award from Toyota and launched the production of the first SCR systems for this carmaker.

In North America, Plastic Omnium will benefit from the Chattanooga plant (Tennessee, USA), manufacturing of bumpers for Volkswagen to begin this summer, as well as from the Fairfax plant (Kansas, USA), delivering fuel systems to General Motors at year-end.

In South America, Plastic Omnium held up well in a market that shrunk by 18% and its operations remained profitable.

Worldwide automobile manufacturing is expected to increase by 2% over full year 2015. Within this context, the Group confirms that its H1 and full-year 2015 performances will continue to improve.

The Group is reaffirming its goal of growing twice as fast as the automotive market over 2014-2018 to attain economic revenue of €7 billion in 2018. This out-performance will be bolstered by the increased market share in bumpers and fuel systems as well as by the development of innovative products (tailgates, light-weight parts, NOx-reduction SCR systems). The high new order intake in early 2015 has already confirmed such goal: bumpers for General Motors in Mexico which will be manufactured at a new plant in 2017; fuel systems for a global platform at Mercedes; NOx-reduction SCR systems for Renault and Nissan and hybrid fuel tanks for Volvo.

The H1 2015 financial results will be published on July 23, 2015.As from this date, the Group will use the IFRS consolidated financial statements for its financial reporting. It will continue to break down its revenue on an economic basis reflecting its market share by region and by customer. The share of net profit of companies accounted for by the equity method will be presented at the operating margin level as recommended by the Autorité des Marchés financiers (AMF).

Plastic Omnium is the world leader in automotive body components and modules, automotive fuel systems, and waste container solutions for local authorities and companies. The Group has 22,000 employees across 111 plants, 21 R&D centers and 30 countries worldwide. Plastic Omnium is listed on Euronext Paris, compartment A. It is eligible for the Deferred Settlement Service (SRD) and is part of the SBF 120 and CAC Mid 60 indices (ISIN code: FR0000124570).

Glossary

(1) Economic revenue corresponds to revenue including the share from joint ventures in proportion to the Group's degree of control (BPO, HBPO and YFPO for Plastic Omnium Automotive and Signal AG for Plastic Omnium Environment only for 2014 as it was sold at end-2014). It reflects the Group's operational and managerial position.

(2) In accordance with IFRS 10, 11 and 12, consolidated revenue does not include the share of revenue from jointly-controlled entities accounted for under the equity method.

Plastic Omnium
Financial information
Tel.: +33 (0)1 40 87 64 49
Fax: +33 (0)1 40 87 96 62
[email protected]

Source: Plastic Omnium

You May Also Be Interested In

• Growth isn't weak enough to truly undercut inflation pressures - BMO
• Wells Fargo on Super Micro Computer (SMCI): 'No Positive Preannouncement
• PayPal (PYPL) stock: Risk-reward 'finally looks favorable' says Deutsche Bank