The company recorded net sales of EUR1.37bn, up from sales of EUR1.26bn in the first half of the previous year. In the second quarter alone, sales totalled EUR769m, an increase of EUR167m or 28 per cent on the first quarter. Incoming orders during the first half year were EUR1.9bn, up from EUR1.55bn in the previous.

Bernhard Schreier, Heidelberg CEO, says, “After the difficult last three years, the print media industry is gradually picking up. The high order levels, boosted by drupa, will start to show up in the Company’s sales figures over the next few quarters.”

The operating result of the Heidelberg Group was EUR27m in the second quarter, an improvement on the EUR11m posted in the second quarter of the previous year. In the first half year overall, the Group achieved a positive operating profit of EUR6m.

Herbert Meyer, Heidelberg CFO, says, “Despite high non-recurring trade-show costs, we already achieved a positive operating result after six months. Our efficiency-enhancing measures are taking hold, while increasing sales are delivering profit contributions and putting us on course to meet our targets for the year as a whole.”

Including the losses of EUR62m for the discontinued Digital and Web Systems divisions, the loss after taxes for the Heidelberg Group was EUR59m for the period under review, yet was still an improvement on first half of last year, with a loss of EUR129m.

In the Press Division, sales rose by 10 per cent in the first six months to around EUR1.2bn. In the second quarter, sales stood at EUR674m, an increase of EUR161m or more than 30 per cent on first quarter sales. At EUR1.7bn, incoming orders for the first half year saw an increase of around 27 per cent. Despite the burden of trade-show costs, the operating result for the second quarter was EUR22m, compared to the same period last year with EUR14m.

In the Postpress Division, sales increased in the first six months to EUR150m, up from EUR143m in the previous year. Incoming orders rose to EUR179m from EUR166m. The operating result improved to a loss of EUR12m, up from a loss of EUR-22m.

In the current financial year 2004/2005, Heidelberg is aiming for an increase in sales of at least five per cent over the previous year on a comparable basis. The company is projecting an improvement in earnings over the previous year. Its target is to achieve an operating return on sales including all special effects of about five per cent. Overall, Heidelberg is projecting net profit in at least the mid-double-digit range.

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