RHI, the world market leader in refractories, raised its EBIT margin to 11.8% in the first quarter of 2008 despite the weak US dollar and ongoing high raw material and energy costs. This is primarily attributable to the exceptionally good business development in the Industrial Division.
| 1st Quarter | |||
| in € million | 2008 | 2007 | Change |
| Revenue | 394,6 | 361,2 | 9.2% |
| EBITDA | 58,9 | 54,3 | 8.5% |
| EBIT | 46,6 | 42,1 | 10.7% |
| EBIT margin | 11.8% | 11.7% | 0.9% |
| Diluted earnings per share in € | 0,85 | 0,73 | 16.4% |
Outlook Due to the good level of incoming orders after the first quarter, RHI expects the positive development to continue in 2008. This applies in particular to Europe and Asia, whereas the development in North and South America will be characterised by the further development of the US dollar, especially in the Steel Division.
Further increases in energy and transport costs are expected due to the high oil price. In addition, the company sees no relaxation in terms of the quality and quantity of raw materials, which will also lead to further price increases. These expectations on the cost side and RHI’s excellent market position will demand continued price increases worldwide in all customer segments.
The Management Board of RHI will propose to the Annual General Meeting on 29 May 2008 the adoption of a resolution on authorised capital in the maximum amount of 10% of share capital to enable further growth.