30. June 2015 - General

HMS Bergbau AG very satisfied with financial year 2014

 

  • Group revenues rose by 8.4% to EUR 128.2 million
  • Consolidated net earnings reached EUR 0.6 million (previous year: EUR -5.1 million)
  • HMS Bergbau to mine coal reserves in Poland
  • International coal supplier anticipates slight growth in 2015

 

Berlin, 30 June 2015: HMS Bergbau AG, an international coal supplier with operating know-how of coal mining, transport and trade, declared itself very satisfied with its development in the past year at the presentation of its 2014 annual report. Consolidated revenues increased by 8.4% to EUR 128.2 million in 2014, in spite of the decline in market prices and challenging circumstances in the energy sector. After reporting a net loss in the previous year, HMS Bergbau AG returned to the black in 2014. Earnings from ordinary activities (EBIT) stood at EUR 0.8 million (previous year: EUR -4.8 million), and consolidated revenues were also back to being positive in 2014 at EUR 0.6 million (previous year: EUR -5.1 million). Total assets almost doubled to EUR 30.4 million (previous year: EUR 15.5 million), partly due to a rise in trade receivables (goods in transit). Cash and cash equivalents came to EUR 2.6 million at the end of 2014 (previous year: EUR 3.5 million).

 

In February 2014, HMS Bergbau AG acquired a Polish company and has since then licences to explore coal reserves in Silesia. The coal supplier assumes that it will receive a mining licence for these reserves still within this year. Once the licence is granted, the Polish subsidiary Silesian Coal sp. Z o.o. can begin the long-term mining of some 672 million tonnes of coking coal and steam coal.

By commencing its own coal mining operations, HMS Bergbau is increasing the vertical integration of its value chain with the addition of the mining of its own resources. The internationally oriented HMS Group offers a high security of supply, from mining and logistics to delivery to customers. Customers of HMS Bergbau, formed in 1995 and based in Berlin, include a number of internationally recognised electricity suppliers, cement manufacturers and industrial consumers.

 

HMS Bergbau AG intends to continue its growth into the current financial year and anticipates a slight rise in turnover for 2015. Progress was sluggish in the first few months of 2015, particularly due to development in China and poor order intake in Europe, but the coal specialist sees opportunities in the increased marketing of coking coal, coking coal products and other speciality coals. In Asia, consumer markets remain cautious due to continously low price levels, however HMS Bergbau still believes that overseas trade to this region offers potential. In the wake of successful development in Africa in 2014, the coal supplier sees potential to generate significant turnover and margins in this region in 2015, also thanks to the conclusion of a coal marketing agreement in February 2015.

The price of shares in the company, which are listed on the Entry Standard Index of the Deutsche Börse, has risen considerably by some 180% since January 2014 to EUR 8.90 (31 May 2015). Market capitalisation increased from EUR 13.9 million to EUR 38.9 million as at 30 May 2015.

The Annual Report 2014 of HMS Bergbau AG is available for download on the company website at www.hms-ag.com in the Financials section.

 

The Management Board

 

About HMS Bergbau AG:

Berlin based HMS Bergbau AG is one of the leading independent coal marketing and trading houses in Germany, specialising in international purchase and sale of coal products to power plants and other industrial consumers worldwide. HMS is actively expanding its activities primarily to Asia, Africa and Europe and develops first class raw material resources. HMS also provides its customers with complex transport solutions. HMS was established in 1995 and has been listed on Germany’s Frankfurt Stock Exchange (Entry Standard) since December 2008.