ZODIAC AEROSPACE : confirms its growth targets - Revenue for Quarter 3 and 9 months 2011/2012

06/12/2012| 12:05pm US/Eastern

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Zodiac Aerospace confirms its growth targets
Revenue for Quarter 3 and 9 months 2011/2012

• Continued growth: 9 months revenue growth of 22.3% to €2475.7 million compared with the same period of 2010/2011 

• Organic growth of 17.3% in aerospace segments 

• Confirmation of the Group's target of double-figure organic revenue growth for the year and a current operating margin of at least 14% 

Cabin Interiors

Revenue for Cabin Interiors continues to grow significantly, with organic growth of 14.8% over the first 9 months of 2011/2012. Excluding Rail, which continues to lose ground significantly, the segment reported organic growth of 18.9%. In terms of published data, the segment's revenue increased by 26.8% to €1520 million, incorporating firstly an exchange rate impact of 2.6 points and secondly the consolidation of Heath Tecna on September 1 and Contour Aerospace on February 29. In addition to external growth, the segment is particularly benefiting from sustained business levels in the Seats and Cabin Systems.

AeroSafety & Technology

The AeroSafety & Technology segment recorded revenue growth of 10.9% in the first 9 months of the financial year, to €454.3 million. Excluding the exchange rate impact, revenue from organic growth increased by 9.3% compared to the 9 months of 2010/2011. Emergency Evacuation Systems, Interconnect Systems and Elastomer Systems continue to deliver double-figure organic growth, while Arresting Systems, which were stable at the end of the first half-year, made up lost ground in the third quarter with double digit organic growth.

Aircraft Systems

Aircraft Systems continues to experience significant revenue growth - up 20.4% to €501.3 million. At like-for-like consolidation scope and exchange rate, the segment's growth was 19.7%. All segments are benefiting from the increased activity of the OEM segment as well as growth in after-sales business.

Highlights of the quarter

• Zodiac Aerospace and Embraer announce Cabin Interior Joint Venture 

On May 30th, Zodiac Aerospace and Embraer S.A., the Brazilian leader for regional aircraft, reached an agreement to set up a joint venture to manufacture cabin interiors parts for the ERJ170/190 Regional jets. This jointly operated manufacturing facility will be located in Mexico. This new joint venture is reinforcing a long-time successfull partnership between Zodiac Aerospace and Embraer.

Outlook  

In light of the continued growth in air traffic being experienced in the aerospace industry, revenue for the first 9 months of the financial year are in line with Zodiac Aerospace's target of double-figure organic revenue growth for the year and a current operating margin of at least 14%, despite the negative impact of non-aerospace segments.

Zodiac Aerospace is a world leader in aerospace equipment and systems for commercial, regional and business aircraft, as well as helicopters and space applications. Zodiac Aerospace employs 25,000 people worldwide, and generated revenue of €2.75 billion in 2010/2011 from its three business segments of Aerosafety & Technology, Aircraft Systems and Cabin Interiors.

Appendices

Consolidated sales revenue per quarter

VARIANCES
(Quarter versus the same quarter of the previous year)

Variances in organic growth versus 2010/2011

*Excluding Rail and Airbags

Cumulative Consolidated Sales

VARIANCES
(Period-end total versus the same period of the previous year)

*Excluding Rail and Airbags

[1]:
#body_ftn1 The changes in consolidation scope relate to: a) acquisitions: Heath Tecna was consolidated for 9 months from Sept. 1, 2011, one additional month of Sell ; and b), the disposal of Driessen Services (at Nov 8, 2011, deconsolidated as of Sept 1^st, 2011).

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