Fokker Technologies continues double-digit revenue growth

In 2012 Fokker Technologies achieved  a 12% growth in net turnover compared to the previous year, reporting revenues of EUR 769 million.  This is the second consecutive year with a double digit revenue development, resulting in a 25% growth over the past two years. Operational EBIT before exceptional items amounted to EUR 44 million (EUR 46 million in 2011). This represents a return on sales margin of 5.8%. Growth flowing from  ramp up of new programs, learning curve effects and cost control are to step up the return on sales towards the companies’ mid-term objective of 8-10%.

Fokker succeeds well in winning contracts for new aircraft production programs that are still in ramp-up, such as Gulfstream G650, Airbus A350,  F-35 and Bombardier Cseries. Most notably by the three ‘design & build’ businesses of Fokker Technologies, consisting of Aerostructures, Landing Gear and Electrical Systems, successfully position itself as Tier 1 super specialist supplier  to the large aircraft manufacturers featuring distinctive technologies.  Despite the economic uncertainty, the outlook for new- build commercial aircraft remains very healthy, as demonstrated by record order books at both Airbus and Boeing. The defense budgets face more uncertainty, but high technology programs, such as the F35 Joint Strike Fighter, continue to have government support.

Fokker Services continued to make progress with sophisticated availability and redelivery services  for several aircraft families. Bombardier Dash-8 component support revenue continues to grow steadily. A significant new win represents the contract for the NH90 standard parts component support, contributing to building a position for rotorcrafts at Fokker Services.  Fokker Technologies is a partner in the development of the F-35 program and as such well positioned to win maintenance contracts related to this aircraft.

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Sjoerd Vollebregt, Fokker Technologies CEO comments: “The company clearly shifted  gears in the past two years , with 2012  being  a milestone year. Revenues are well up and this also translates into more jobs. In the Netherlands alone we’ve created about 500 new jobs these two years.” He continues: ” Our newly acquired financial independence paves the way to make the necessary investments in key innovations that will underpin our market position as a leading high-end aerospace technology provider.  During the past year we’ve seen that our distinctive, proprietary technologies have great commercial potential, through the acquisition of new supplier contracts in some of the leading aircraft manufacturing and services programs. Last Friday’s maiden flight of the A350 XWB for example, is a great testimony to the added value we can provide, in this case by designing and manufacturing the lightweight composite outboard flaps.”

As part of the Stork Group refinancing, the company arranged stand-alone financing. Together with the establishment of a Supervisory Board at Fokker Technologies level,  this is an important step for the further  development of Fokker Technologies outside the Stork Group. Next to the important board members representing the shareholders, the Supervisory Board exist out of  three independent board members,  being Mr.  J. Schraven, Mr. P.H. Hartman and recently Mr.  H.P. Ring joined, the former CFO of EADS.  As per August 2012, Fokker Technologies is independently financed through a EUR 150 million senior debt facility and a EUR 50 million Revolver.

Source: Fokker Aerostructures
Date: Jun 17, 2013