DELACHAUX 
By Press Release Paris, 4 April 2011
2010 Annual Results: Strong growth in earnings
| (? millions) | 2010 | 2009 | % change |
| Consolidated sales (excl. VAT) | 718.9 | 636.0 | 13.0% |
| Profit from recurring operations | 99.4 | 76.4 | 30.0% |
| as % of sales | 13.8% | 12.0% | |
| Net profit | 69.1 | 53.4 | 29.5% |
| as % of sales | 9.6% | 8.4% | |
| Net profit - Group share | 68.3 | 53.3 | 28.2% |
Increases of 13% in sales and 34.9% in orders
-for the Railway division: sales were ? 428.9 million (up 7.9%). Business remained buoyant in spite of plans to reduce public deficits in several countries, which led to postponing the realisation of major projects
-for the Conduction division: sales were ? 199.0 million (up 11.5%), with substantial growth in the Americas and Asia and stagnating sales in Europe
-for the Metal division: sales were ? 82.1 million (up 86.6%) with considerable business growth in 2010 following the 2009 slump in demand
Increase in profitability and completion of debt reduction process
Profit from recurring operations was ? 99.4 million and represented 13.8% of sales, a rise of 30.0% compared to 2009, despite the raw material price increases suffered in 2010 which affected profitability over the second half of 2010. The Group share of net profit grew by 28.2% to ? 68.3 million.
With net cash holdings of ? 16 million, compared to a net financial debt of ? 36 million at 31 December 2009, and shareholders' equity of ? 523 million, the Group further strengthened its financial position at 31 December 2010.
Dividend: up 25%
The Board of Directors will propose to the General Meeting of 24 May 2010 the payment of a ?1.00 cash dividend per share, an increase of 25% compared to the previous year.
Outlook
The Group has set itself the target of achieving sales close to ?785 million for the ongoing financial year, with profitability that should remain stable compared to the second half of 2010, despite the continued increase in raw material prices at the start of 2011.
Delachaux operates in buoyant markets in the short to medium term, in particular in countries with significant growth potential. Therefore, the Group remains confident in its development prospects.
About Delachaux:
§ Railway, global leader in aluminothermic and flash-butt welding and track-laying systems
§ Conduction, global leader in energy supply and data transmission systems to traction motors
§ Metals, global leader in high grade chrome and standard chrome
With some 2,800 employees in 80 countries, the Group generates close to 90% of its sales internationally.
Contact: PHI ECONEO - Tel: + 33 (0)1.47.61.89.65
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Source: Delachaux via Thomson Reuters ONE
