MCH Group

MCH Group AG / MCH Group processed and transmitted by Hugin AS. The issuer is solely responsible for the content of this announcement. Gratifying first-half result for the MCH Group §  Operating income of CHF 242.1 million and CHF 38.6 million group profit for the first half of 2010 §  Strong first six months for exhibitions, positive impact of Beaulieu Exploitation SA §  Expectations for 2010 clearly above the previous year The MCH Group can look back on a very good first half for 2010. The group's consolidated operating income from 1 January to 30 June 2010 totalled CHF 242.1 million (same period previous year: CHF 200.3 million, up 21%). Consolidated first-half profits are CHF 38.6 million (CHF 15.5 million, up 149%). The balance-sheet structure as per 30 June 2010 shows a balance sheet total of CHF 591.2 million (30 June 2009 CHF 448.7 million), with current assets of CHF 209.0 million (CHF  73.1 million) and fixed assets of CHF 382.2 million (CHF 375.6 million) on the assets side. The liabilities side accordingly shows outside capital of CHF 337.7 million (CHF 236.5 million) and group equity of CHF 253.5 million (CHF 212.2 million). Different positive influences The result for the first half of 2010 is in the region of the exceptional record year of 2007.  There are various reasons for the increase compared with the previous year: with Swissbau, there was a more tightly-packed exhibition schedule in the first half of 2010 than a year earlier, on account of the individual exhibition rotas. Despite the difficult framework conditions that are still persisting, the exhibitions were able to hold their ground. They provided evidence of their strong market position and are benefiting to some extent from the signs of recovery in the economy. This also applies to the Event Services business field, which has now passed through the lowest point of the crisis year of 2009. A further contribution to the good first-half results came from the initial consolidation of Beaulieu Exploitation SA, following the acquisition of a majority shareholding by MCH Group Ltd. The 100% acquisition of Exhibit & More AG will only be reflected in the results for the second half year, however, since this company's exhibitions are all held in the last six months of the year.  §  MCH Exhibitions: The operating income from MCH's own exhibitions increased by some CHF 40 million or 25% by comparison to the previous year and accounted for 76% of the group's overall operating income. This gratifying development is due, among other things, to a successful Swissbau and to the expansion of the exhibition portfolio with the Beaulieu Exploitation SA events.  §  MCH Infrastructure: An income drop of some 10% compared with the previous year was recorded in the infrastructure rental business - third party events - in the period under review. A reduction in the number of events and the associated expenditure was seen here, as a result of the economic crisis. This business field accounted for 4% of consolidated operating income during the first half of 2010.  §  MCH Event Services: Fewer events, smaller budgets and a marked pressure on prices - the consequences of the economic crisis continue to be clearly felt in the fields of event management, stand construction and furnishings, and event technology. Despite this, it proved possible to increase operating income in this field by some CHF 4 million or 8 % over the previous year. This business field had a 20% share in the group's operating income. Market position further consolidated "We have further consolidated our market position", says René Kamm, CEO of the MCH Group. "Our investments in the development of the group and, in particular, in our products are paying off. We have achieved the highest operating income in the group's history during the period under review, and the group profit is one of the best in our sector. This clearly shows once again that we adopted the right approach with our live-marketing strategy." Operating income in 2010 at a record level In view of the major seasonal fluctuations in the exhibition business, it is impossible to extrapolate the half-year results on a linear basis and draw conclusions regarding the expected annual result. The biggest exhibitions in the 2010 schedule took place in the first half already. In addition, the summer months, when no exhibitions are held, fall in the second half of the year. The second six months will thus be considerably weaker than the first half. Despite this, the MCH Group is expecting record income at the end of the year and profits in the order of magnitude of the half-year result. Media contact MCH Group Ltd. Corporate Communications Christian Jecker +41 58 206 22 52 [HUG#1442844] --- End of Message --- MCH Group AG null Basel null ISIN: CH0039542854; Download pdf: This announcement is distributed by Thomson Reuters on behalf of Thomson Reuters clients. The owner of this announcement warrants that: (i) the releases contained herein are protected by copyright and other applicable laws; and (ii) they are solely responsible for the content, accuracy and originality of the information contained therein. Source: MCH Group AG via Thomson Reuters ONE