Egger delivered significant growth in its earnings

Egger Holzwerkstoffe delivered significant growth in its earnings during its 2011/12 financial year, which ended on 30 April. The company erased a weaker start in the first six months as the year progressed. EBITDA had risen by just 5% between May and November, with pre-tax and post-tax earnings even declining. However, EBITDA ultimately ended up 15% higher in the year as a whole at €262m. Egger primarily attributed this upswing to its take-over of the Russian particleboard producer OOO Gagarinskiy Fanerniy Zavod, which closed on 1 July 2011. This firm is now known as OOO Egger Drevprodukt Gagarin. EBIT surged 27% to €122m after a 5% upturn in the first half of the year. Financial results fell to -€49.8m after surging in the first six months. Higher interest expenses due to debts were offset by a better currency result and stronger results from financial derivatives. Pre-tax profits were 71% higher than the prior year at €72m after falling 6% in the first six months of the financial year.