HORNBACH Baumarkt AG Group reported unaudited consolidated earnings results for the second quarter and first half ended August 31, 2018. For the quarter, the company reported sales of EUR 1,087.6 million against EUR 1,042.7 million for the same period a year ago. Earnings before interest and taxes were EUR 65.0 million against EUR 64.0 million for the same period a year ago. Consolidated earnings before taxes were EUR 62.3 million against EUR 58.2 million for the same period a year ago. Consolidated net income was EUR 46.0 million against EUR 43.2 million for the same period a year ago. Basic and diluted earnings per share were EUR 1.45 against EUR 1.36 for the same period a year ago. EBITDA was EUR 86.6 million against EUR 83.8 million for the same period a year ago. Adjusted EBIT was EUR 65.5 million against EUR 64.0 million for the same period a year ago. On a like-for-like basis and net of currency items, consolidated sales for the quarter under report grew by 3.4%, compared with 2.6% in the previous year's period.

For the first half year, the company reported sales of EUR 2,249.6 million against EUR 2,173.1 million for the same period a year ago. Earnings before interest and taxes were EUR 130.2 million against EUR 141.6 million for the same period a year ago. Consolidated earnings before taxes were EUR 122.8 million against EUR 131.3 million for the same period a year ago. Consolidated net income was EUR 91.0 million against EUR 98.0 million for the same period a year ago. Basic and diluted earnings per share were EUR 2.86 against EUR 3.08 for the same period a year ago. Cash flow from operating activities was EUR 129.7 million against EUR 136.8 million for the same period a year ago. Payments for investments in property, plant, and equipment were EUR 127.1 million against EUR 45.9 million for the same period a year ago. Payments for investments in intangible assets were EUR 2.1 million against EUR 3.6 million for the same period a year ago. EBITDA was EUR 172.1 million against EUR 181.0 million for the same period a year ago. Adjusted EBIT was EUR 130.4 million against EUR 141.5 million for the same period a year ago. On a like-for-like basis and net of currency items, consolidated sales grew by 2.8%, with this being driven above all by the company's retail activities outside Germany.

The Board of Management confirmed the earnings guidance for the fiscal 2019. The Board of Management expects the company to make up for the shortfall in earnings reported for the first quarter of fiscal 2019 in the second half of the year, with strict cost discipline being one factor facilitating achievement of the annual target. As a result, the Board of Management still expects consolidated operating earnings (EBIT) net of non-operating earnings items for the fiscal 2019 to roughly match the figure reported for the fiscal 2018 (EUR 110.0 million). Sales forecast for the fiscal 2019 as a whole, the sales forecast still provides for consolidated sales growth in a medium single-digit percentage range. After the notable slowdown in the rate of sales growth due to exceptional weather conditions in the first half of the financial year, the Board of Management expects to see stronger rates of growth in the second half. Sales are expected to benefit here from customers catching up with more extensive construction and renovation projects originally scheduled for July and August 2018 but in many cases postponed to a later date due to the extreme heat and aridity.