Pfleiderer Reports Growing North America Sales

Neumarkt, Germany, Nov. 24, 2009--Pfleiderer AG said third quarter revenue  increased by 3.8 percent to 347.3 million euros over a year ago.

Pfleiderer said the increase is stronger than usual at this time of year and indicates a general revival of demand.

Pfleiderer AG said it remains cautious about the recovery and believes the first quarter of next year will indicate how lasting it is.

In the reporting period of the first nine months of 2009, Pfleiderer's revenue fell by 23.2 percent compared with the prior-year period to 1,039.7 million euros.

The strongest regional drop in revenue was of 37.3 percent in Eastern Europe, whereas North America grew by 1.2 percent, the company said.

At 72.1 percent, the proportion of revenue generated outside Germany was at the same level as in the prior-year period.

EBITDA fell to 105.5 million euros from 179.7 million euros in the prior-year period.

“Our nine-month figures are also still significantly affected by the economic and financial crisis," said CEO Hans Overdiek.

"It is true that we now see a business revival, which became apparent in the middle of the third quarter and which exceeds the expected seasonal development. But at present, we cannot yet say with certainty how sustained this positive development of demand will be."

In North America Pfleiderer said its growth was due to flooring sales. The firm estimates it has increased its share of a shrinking market to more than 30 percent. However, panel sales contracted.

"The first signs of a recovery of the real estate market have recently been apparent in the region," the firm said in a news release.