S.A.G. Plans to Boost Profit Margin to at Least 5%, Koch Says
2008-06-23 11:17 (New York)
By Jeremy van Loon
June 23 (Bloomberg) - - S.A.G. Solarstrom AG, the German solar-energy company
that reorganized its management board, will focus on increasing profitability in the
coming years, said Christoph Koch, the board member in charge of finance.
S.A.G. is aiming for a profit margin, measure by earnings before interest and taxes
as a percentage of sales, of 5 percent to 6 percent, Koch said today in an interview
at the company’s headquarters in Freiburg in southwestern Germany. He declined to give a timeframe.
“We weren’t functioning professionally regarding our operations,” Koch said. “Now
after changing the entire management board, we’re focusing exclusively on boosting our profitability. That’s our main focus.”
Earlier this month, S.A.G. named Chairman Karl Kuhlmann its chief executive officer, who will lead a three-person management board that also includes Koch and Oliver Guenther.
S.A.G. still forecasts 2008 sales of 70 million euros ($ 108 million) to 75 million euros, with Ebit reaching 1.5 million euros to 2 million euros, Koch said.
For related news:
S.A.G. earnings: SAG GY <Equity> TCNI ERN <GO>
Stories on European smallcap stocks: TNI SMALLCAP EUROPE <GO>
- - Editors: Kenneth Wong, Hellmuth Tromm
To contact the reporter on this story:
Jeremy van Loon in Berlin at +49-30-70010-6231 or
jvanloon@bloomberg.net
To contact the editor responsible for this story:
Kristen Hallam in London at +44-20-7673-2284 or
khallam@bloomberg.net
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-0- Jun/23/2008 15:17 GMT