Duravit still on course for success – disproportionately high growth in profit and cash flow
The Duravit Group remains on course for success in the 2014 financial year. Profit and cash flow grow disproportionately high despite considerable levels of investment. Particularly in the last quarter, the strong performance of Duravit AG provides noticeable stimulus for growth, thus marking a very positive start to the year 2015.
In 2014, the Duravit Group exceeded 390 million Euros in sales for the first time and has thus grown by more than 10 million Euros compared with the previous year: exchange rate-adjusted, sales increased by 3.4 %, nominally by 2.7 %. Earnings before tax grew by more than 5 %, and cash flow from operating activities set a new record despite considerable levels of investment. The very robust balance sheet ratios have again improved. The equity ratio in the Group is now almost 52 %. For the first time in years, on balance, the Group does not have any net financial liabilities and reported surplus cash and cash equivalents instead. Orders in hand also reached a record high as at the end of December 2014, providing for double-digit sales growth in the first quarter of 2015.
The positive trend was based on the company's market successes, particularly in international business, such as in China and the United States, for instance. The new products introduced in recent years, such as the DuraStyle, Happy D.2 and Vero complete bathroom series, are becoming bestsellers. "We want to reinforce the positive development of the Duravit brand through continuous investment in modern production techniques," Frank Richter remarked. "To name just two examples: In 2014, a new solid-surface production facility was established at the Bischwiller location in France, and at the Meissen location in Germany we invested, amongst other things, in a state-of-the-art continuous dryer. Sustainability is a strategic component of the company's business. Through its participation in recognised testing and certification systems and membership of relevant associations it plays a pioneering role in the industry."