KHD Humboldt Wedag International AG reported group audited earnings results for the year ended December 31, 2017. For the year, the company reported revenue of EUR 100.1 million against EUR 135.4 million a year ago. Adjusted gross profit was EUR 12.4 million against EUR 7.6 million a year ago. Adjusted LBIT was EUR 19.5 million against EUR 27.3 million a year ago. LBT was EUR 16.9 million against EUR 25.1 million a year ago. Group net loss for the year was EUR 19.4 million against EUR 29.2 million a year ago. Loss per share was EUR 0.39 per share against EUR 0.59 per share a year ago. Operating cash flow was EUR 5.3 million against negative operating cash flow of EUR 39.4 million a year ago. Net loss attributable to Parent company shareholders was EUR 19,292,000 against net loss attributable to shareholders was EUR 29,196,000 a year ago. Cash flow from operating activities was EUR 5,280,000 against cash outflow from operating activities was EUR 39,374,000 a year ago. Cash outflow for intangible assets EUR 629,000 against EUR 171,000 a year ago. Cash outflow for property, plant and equipment was EUR 1,834,000 against EUR 1,058,000 a year ago.

For the year 2018, the company expects that the turnaround initiated in 2017 will continue in the 2018 financial year and that positive results can be achieved again in the medium term. The KHD Group will continue to expand its sales activities and utilize its resources to target business opportunities in growth markets. In turn, they are expecting an order intake for the 2018 financial year that should be significantly higher as compared to 2017 and exceed EUR 200 million. Following the solid increase in order intake, particularly in the second half of 2017, the turnover in the 2018 financial year will be considerably higher than the previous year's level. However, due to the highly significant increase in business volume, the expected adjusted gross profit will be considerably higher than the previous year's figure. However, taken together with the unsatisfactory gross profit margins of projects the expected sales volume in the 2018 financial year will not yet be sufficient to cover all of the costs of the KHD Group. For this reason, KHD still expects a considerably negative figure for the adjusted EBIT and, accordingly, a considerably negative EBIT margin in the current 2018 financial year. Both figures, however, will improve significantly in comparison with the 2017 financial year. Due to a distinctly positive financial result, somewhat below the level of the 2017 financial year, KHD is also expecting considerable improvements in earnings before tax (EBT) in comparison with the 2017 financial year. The company expects a balanced figure for operating cash flow in 2018. Overall, KHD again expects an unsatisfactory earnings situation for the 2018 financial year. KHD AG expects a slightly positive result for earnings before tax (excluding the effect of income from investments) in the 2018 financial year as well.