EANS-News: SHW AG reports record figures for financial year 2011

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Financial Figures/Balance Sheet

Aalen (euro adhoc) - * Group revenues grow by 24.2 percent to EUR
360.6 million between January and December 2011 * Consolidated net
income for the year climbed 25.8 percent to EUR 17.0 million *
Net bank debt reduced to EUR 8.6 million

Aalen, 15 February 2012. SHW AG, one of the leading suppliers of
CO2-relevant pumps and engine components as well as brake discs,
today presented the preliminary, unaudited key financial figures
for the year 2011. After a strong Q4 2011, both Group revenues and
consolidated net income for the year reached new record levels.

Group revenues rose by 24.2 percent to EUR 360.6 million (previous
year: EUR 290.3 million). This increase is attributable to a
multitude of production start-ups and the high capacity utilisation
of the existing production facilities. Consolidated net income for
the year climbed to EUR 17.0 million (previous year: EUR 13.5
million). Earnings per share amounted to EUR 2.93 (previous year: EUR
2.46). Between January and December 2011, Group operating result
before interest and taxes (adjusted EBIT) increased by EUR 3.4
million to EUR 26.2 million. At 7.3 percent, the EBIT margin was
below the previous year´s 7.8 percent. This was mainly due to
additional expenses incurred in conjunction with the start-up of a
large number of new production lines.

"This first fiscal year of SHW AG after the IPO was very successful,"
said CEO Dr. Wolfgang Krause, who is in charge of the Pumps and
Engine Components business segment.

Further reduction in net liabilities to banks in spite of increased
investments

Due to the large number of start-ups in the financial year 2011,
investments in property, plant and equipment increased from EUR 7.5
million to EUR 18.8 million. At the same time, research and
development costs rose by 38.4 percent to EUR 5.2 million (previous
year: EUR 3.8 million).

"Despite those significant investments we have been able to
generate positive free cash flow. This allowed us to reduce net bank
debt from EUR 13.4 million to a low EUR 8.6 million," said Oliver
Albrecht, CFO of SHW. "The equity ratio improved from 22.6
percent to 31.7 percent."

Strong growth in both business segments

Revenues in the Pumps and Engine Components business segment were up
by 26.8 percent on the previous year to EUR 268.3 million
(previous year: EUR 211.6 million). Reporting a 25.6 percent
increase in revenues, the Passenger Car division benefited from
the high demand for variable oil pumps and start-stop pumps as well
as numerous production start-ups. The Truck & Off-Highway
division continued the strong growth of the previous quarters and
boosted its revenues by 36.6 percent to EUR 31.7 million. Operating
result before interest and taxes (adjusted EBIT) for the Pumps and
Engine Components business segment climbed by EUR 3.6 million
between January and December 2011 and reached a new record level of
EUR 26.7 million. The EBIT margin declined from 10.9 percent to 10.0
percent due to increased start-up costs.

Revenues in the Brake Discs business segment rose by 17.2 percent
to EUR 92.2 million (previous year: EUR 78.7 million). This
increase is primarily attributable to increased demand by one third
for processed brake discs. The business segment´s operating result
before interest and taxes (adjusted EBIT) climbed EUR 0.2 million
to EUR 0.8 million. "Indeed, we were able to improve on the previous
year. Due to the higher coke prices and additional expenses for
the start-up of a new production line, operating margin was still
unsatisfying", said Andreas Rydzewski, member of the Management Board
and in charge of the Brake Discs business segment. "With
continued good capacity utilization, however, we expect a further
increase in earnings in 2012."

Good start into the current fiscal year

The signs for the current financial year are promising. "The high
level of incoming orders in the fourth quarter of 2011 will support
the continued growth of SHW in the first quarter of the current
fiscal year," said Dr. Wolfgang Krause. "We are well positioned
for the future as our products as our products essentially
contribute to the necessary reduction of CO2 emissions of motor
vehicles."

The entire financial statements for the year 2011 and the outlook on
the year 2012 will be published together with SHW´s annual report on
27 March 2012.

About SHW The enterprise was established in 1365, making it one of
the oldest industrial enterprises in Germany. Today, the SHW Group
is a leading supplier for the automotive industry with products
that contribute to a reduction of fuel consumption and
consequently CO2 emissions. In its Pumps and Engine Components
business segment, the SHW Group develops and produces pumps for
passenger vehicles and truck and off-highway applications, e.g.
trucks, farm and construction vehicles, stationary motors and
wind power stations. The Brake Discs business segment develops
and produces monobloc ventilated brake discs made of cast iron
and lightweight brake discs made from a combination of an iron
friction ring and an aluminium pot. Customers of the SHW Group
include leading producers of passenger cars and commercial vehicles
with manufacturing facilities in Europe and North America. The SHW
Group has four manufacturing sites in Germany, located in Bad
Schussenried, Aalen-Wasseralfingen, Tuttlingen- Ludwigstal and
Neuhausen ob Eck. Via its 50 percent interest in the Canadian
company STT Technologies Inc., the company also has production sites
in Canada and Mexico. With more than 1,000 employees, the SHW Group
generated approx. EUR 360 million in revenues in 2011. Further
information is available at: www.shw.de

Contact person
Michael Schickling
Head of Investor Relations & Corporate Communications
SHW AG
Telephone: +49 (0) 7361 502 462
Email: michael.schickling@shw.de

Future-oriented statements This press release contains certain
future-oriented statements that are based upon current assumptions
and forecasts made by the management of SHW AG. Various known
and unknown risks, uncertainties and other factors may lead to
the actual results, financial position, development or
performance of the company deviating considerably from the
appraisals specified here. The company assumes no obligation to
update future-oriented statements of this nature or adapt them to
future events or developments.

Note This announcement does not constitute an offer to sell
securities in the United States of America, Canada, Australia,
Japan or any other jurisdictional territory where offers are
subject to statutory restrictions. The securities named in this
announcement may only be sold or offered for sale in the United
States of America following their prior registration in accordance
with the provisions of the version of the US Securities Act of 1933
currently in force (the "Securities Act") or, without prior
registration, only on the basis of an exemption. Unless provided
for by certain exceptions within the Securities Act, the securities
named within this announcement may not be sold or offered for
sale in Australia, Canada or Japan, nor may they be sold or offered
for sale to or for account of residents of Australia, Canada or
Japan. No registration of the offer or sale of the securities
named in this announcement will take place, as stipulated by the
relevant statutory provisions in Canada, Australia and Japan.
There is no public solicitation to buy securities in the United
States of America.

Further inquiry note:
Michael Schickling
Head of Investor Relations & Corporate Communications
SHW AG
Telephone: +49 (0) 7361 502 462
Email: michael.schickling@shw.de

end of announcement euro adhoc
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company: SHW AG
Wilhelmstrasse 67
D-73433 Aalen
phone: +49 7361 502-1
FAX: +49 7361 502-674
mail: ir@shw.de
WWW: http://www.shw.de
sector: Automotive Equipment
ISIN: DE000A1JBPV9
indexes:
stockmarkets: free trade: Düsseldorf, Stuttgart, regulated dealing/prime
standard: Frankfurt
language: English