Annual Press Conference: tesa AG once again records double-digit performance

tesa AG, Hamburg, closed fiscal year 2006 with a very good result

Sales rose by 8.0 % (adjusted for currency translation effects 8.2 %) to € 805 million. Growth thus clearly outperformed the 4 % market trend.

2006 war erneut ein erfolgreiches Jahr für die tesa Gruppe

On an EBIT basis, earnings were 18.9% higher than the previous year and rose over-proportionately to € 73 million. The return on sales increased to 9.1% (previous year: 8.2 %).

Profit after tax showed a similar trend, increasing by 27.7% to € 45.2 million. “Technological strength, top performance in innovation and our favorable global presence are the key factors in our success", said Dieter Steinmeyer, CEO of tesa AG, at the press conference in Frankfurt.

He elaborated on these points: “Our technological strength in the development and manufacturing of adhesives, as well as in coating processes, has enabled us to be the competent solutions partner for our industrial customers. We increase their processing speed and improve the efficiency of their processes. At the same time, we have attained higher-quality product segments and achieved better margins.”

This technological strength is also evidenced in the renewed increase in the innovation rate. The share of new products as a part of the sales, measured over a five-year period, rose by 2 percentage points against previous year. Thus, the innovation rate is now at 47 %.

A further crucial factor is the global presence. "We are able to provide our globally operating customers with fully networked services in every country worldwide", Mr. Steinmeyer told the press. He gave the example of the joint design development of a cell phone in the manufacturer’s home country and its realization in several eastern European countries, in China, India as well as at suppliers in the USA and the manufacturer’s production sites.

The first months of fiscal year 2007 saw a continuation of the positive trend in the previous year. Growth was thus on the same level as for the entire year 2006. Earnings improved and were once again double-digit. Further details on the first quarter 2007 will be presented in the Beiersdorf Group on May, 3rd 2007 and will be available in the internet at www.tesa.com/investors.

You can download the complete press release (13 pages, RTF, 170 KB) here.