- Payout ratio of approx. 45 percent of consolidated net income
- Annual General Meeting approves actions of Executive Board and Supervisory Board by large majority
- Good start to 2019 underscores company’s future opportunities
At today’s Annual General Meeting of Knorr-Bremse AG, shareholders approved the proposal by the Executive Board and Supervisory Board to pay a dividend of EUR 1.75 per dividend-bearing share (161,200,000 shares) for the 2018 financial year. The total dividend payout thus amounts to EUR 282 million or 45 percent of consolidated net income.
The 250 or so shareholders present at the AGM approved the actions of the members of the Management Board and Supervisory Board for the 2018 financial year by a large majority. In total, some 93.31 percent of Knorr-Bremse’s share capital was represented at the AGM.
The company started the year with revenue growth of almost nine percent (rising to EUR 1.7 billion) and EBITDA growth of 13 percent in the first quarter of 2019. Thanks to these good figures, the company can look to the future with optimism. In their report, the members of Knorr-Bremse AG’s Executive Board highlighted the company’s outstanding growth and the resultant opportunities to play a major role in shaping key social megatrends such as urbanization, eco-efficiency, digitization and automated driving.
Ralph Heuwing, CFO of Knorr-Bremse AG, emphasized how important it is for the company to invest in research and development: “Last year, our investments amounted to over EUR 300 million. This is almost a third more than in the previous year. This means we are having a formative impact on the future of mobility. We are making rail and commercial vehicle transportation safer, more reliable, cleaner and more efficient. Around one billion people rely on our products every day – which obliges us to provide the very highest quality.”
Dr. Jürgen Wilder, member of the Executive Board responsible for Knorr-Bremse AG’s Rail Vehicle Systems division, highlighted the growth opportunities in the low-emission drive sector: “Many railroad lines in Germany have not yet been electrified. Diesel-powered trains still run on these lines, but they are becoming less and less popular. However, electrifying a railroad is an expensive infrastructure project that costs money and time. One highly feasible alternative could be to retrofit these trains with hybrid drives. Our subsidiary Kiepe Electric has suitable hybrid systems in its product portfolio.”
Dr. Peter Laier, member of the Executive Board responsible for Knorr-Bremse AG’s Commercial Vehicle Systems division, described the growth prospects for the company’s automated driving technologies: “Automated driving for commercial vehicles will come, because it makes sense for the transportation industry – thanks to longer operating times, fewer accidents and lower personnel costs. Studies show that by 2030, autonomous driving will increase trucks’ productive operating time by up to 50 percent. And we are playing a key role in guiding and shaping this megatrend.”
The speeches of the Executive Board members and the detailed voting results for each item on the AGM agenda have been published on Knorr-Bremse’s corporate website at www.knorr-bremse.com.
DISCLAIMER OF LIABILITY
This publication has been independently prepared by Knorr-Bremse AG (“Knorr-Bremse”). It may contain forward-looking statements which address key issues such as strategy, future financial results, events, competitive positions and product developments. Such forward-looking statements are subject to a number of risks, uncertainties and other factors, including, but not limited to, those described in Knorr-Bremse’s disclosures. Should one or more of these risks, uncertainties or other factors materialize, or should underlying expectations not occur or shall assumptions prove incorrect, the actual results, performances or achievements of Knorr-Bremse may vary materially from those described in the relevant forward-looking statements. Such forward-looking statements may be identified by words such as “expect,” “want,” “anticipate,” “intend,” “plan,” “believe,” “seek,” “estimate,” “will,” “project” or words of similar meaning. Knorr-Bremse does not intend, nor does it assume any obligation, to update or revise its forward-looking statements regularly in light of developments which differ from those anticipated.
This publication may include – in the applicable financial reporting framework not clearly defined – supplemental financial measures that are or may be alternative performance measures (non-GAAP measures). Knorr-Bremse’s net assets, financial position and results of operations should not be assessed solely on the basis of these alternative supplemental financial measures. Under no circumstances do they replace the performance indicators presented in the consolidated financial statements and calculated in accordance with the applicable financial reporting framework. The calculation by other companies that report or describe similarly titled alternative performance measures may vary despite the use of the same or similar terminology.
Knorr-Bremse (ISIN: DE000KBX1006, ticker symbol: KBX) is the global market leader for braking systems and a leading supplier of other safety-critical rail and commercial vehicle subsystems. Knorr-Bremse’s products make a decisive contribution to improving safety and energy efficiency on rail tracks and roads around the world. Approximately 28,500 employees at over 100 sites in more than 30 countries use their competence and motivation to satisfy customers worldwide with products and services. In 2018, Knorr-Bremse’s two divisions together generated revenues of EUR 6.6 billion. For more than 114 years the company has been the industry innovator, driving innovation in mobility and transportation technologies with an edge in connected system solutions. Knorr-Bremse is one of Germany’s most successful industrial companies and profits from the key global megatrends: urbanization, eco-efficiency, digitization and automated driving.
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