News

28.09.2016

HWA AG publishes half-year figures and appoints Michael Wilson as Chief Technology Officer

Affalterbach, 28 September 2016 – The business performance of HWA AG exceeded sales forecasts in the first half of 2016. Sales improved by more than 32% year-on-year to EUR 49.0 million. This is the highest sales figure for a half-year in the history of HWA AG. The dynamic sales development is due essentially to the Vehicles/Vehicle Components area. The first half of 2016 was defined largely by the delivery of the Mercedes AMG GT3. The follow-up project to the Mercedes-Benz SLS AMG GT3 marks the continuing cooperation with Mercedes-AMG GmbH in customer sport. The Motor Racing area (DTM and Formula 3 engines) generated a slight increase in sales in the first half of 2016, though this was due largely to one-time effects.

 

Meanwhile, the development in earnings fell slightly short of planning in the first half of the year. In the Vehicles/Vehicle Components segment, the strong sales growth led to a significant increase in cost structures that initially had a negative impact on earnings. Earnings therefore failed to match the previous year’s figures. EBIT amounted to EUR 0.9 million in the first six months of 2016 with net earnings of EUR 0.5 million.

 

However, the Management Board is anticipating a significant improvement in earnings in the second half of 2016. HWA AG’s sales will be up as against the previous year for 2016 as a whole. The Management Board is forecasting an EBIT margin in a range of between 4% and 6%. Despite declining earnings in the first half of the year, HWA AG is standing by the forecast for its EBIT margin. Nonetheless, this is currently considered to be quite an ambitious target.

 

HWA AG has set itself the goal of enhancing the diversity of its project structure. The company has been awarded further development projects in the third quarter. These projects will run until at least 2018. The company is also engaged in highly promising talks regarding other projects. Overall, the pipeline in the Vehicles/Vehicle Components segment is very well filled.

 

Michael Wilson appointed Chief Technology Officer

 

The Supervisory Board of HWA AG has appointed Michael Wilson (53) as an additional member of the company’s Management Board. Wilson will take up his duties as Chief Technology Officer (CTO) as at 1 October 2016. In this role he will guide the technical fate of HWA AG. The previous sole director Ulrich Fritz is being made Chief Executive Officer.

 

Michael Wilson has already worked for HWA AG as its “Head of Race Operations DTM” since August 2014. “Michael’s technical expertise and experience in worldwide motor racing are highly valuable to us. We have been working together closely for almost two years. During this time we have made considerable progress in DTM and have become very strong in the customer sport area. We intend to continue this fruitful collaboration in the Management Board,” said CEO Fritz.

 

Wilson has been active in worldwide motor racing for more than 25 years – more than 10 of which were spent in various positions in Formula 1. He has dedicated his entire career to motorsports. Before joining HWA AG, Wilson worked at Mercedes AMG High Performance Powertrains in Brixworth, UK. “I would like to thank the Supervisory Board of HWA AG for their trust in me. The company has a great passion for motor racing and comprehensive technological expertise that we intend to further leverage – and expand – for our current and new projects. I am delighted to have now been given this opportunity to serve as a member of the Management Board for such a dynamic company,” said Wilson.

 

 

Contact:

 

Investor Relations/Press

HWA AG

Benzstrasse 8

71563 Affalterbach, Germany

Tel.: + 49/ (0) 7144/ 8717- 279

Fax: + 49/ (0) 7144/ 8718- 111

ir@hwaag.com

www.hwaag.com

 

 

HWA AG profile:

 

Top performance and determination to win – that is the philosophy of HWA AG. The team has been active in international motorsport for nearly five decades and is one of the most successful teams of all time. As a sought-after development partner, HWA AG bundles its expertise for more victories on the racetrack.

 

HWA AG has existed in its current form since 1998. Hans Werner Aufrecht founded AMG, the customisation specialist for the Mercedes-Benz brand, in 1967. At the end of 1998, Aufrecht sold the original AMG Motorenbau- und Entwicklungsgesellschaft mbH to Daimler AG. As part of this sale, the motor racing business units, today’s Mercedes-AMG DTM team and parts of the vehicles/vehicle components unit were spun off and transferred to HWA AG. At the end of 2006, the company was converted from a limited liability company to a stock corporation; HWA AG was floated on the stock market in April 2007.

 

Today, HWA AG’s motor racing segment is responsible for the popular DTM touring car racing series. On behalf of Mercedes-Benz Motorsport, HWA AG takes on all activities as a full-service provider, including the development and construction of Mercedes-Benz DTM racing cars and the operation of the racing team. The vehicles/vehicle components business unit includes the development and production of vehicles and components for automotive manufacturers in the premium segment. HWA AG has further expertise in the development, manufacture and servicing of Formula 3 racing engines. The GT3 racing version of the Mercedes-Benz SLS AMG was developed and produced by HWA AG in close cooperation with Mercedes-AMG. The follow-up project, the new Mercedes-AMG GT3, has been delivered to customer teams all over the world since December 2015 and is set to be a successful continuation of the programme. HWA AG is based in Affalterbach, Germany, where 304 employees are currently working with great passion for precision and enthusiasm for motor racing.