Highlights
o Revenue +2.5% to EUR 1,274 million (organic +1.2%)
o Operating profit (EBITA) +12% to EUR 150.4 million; EBITA-margin 11.8%
o Net profit before amortisation +15% to EUR 105 million; earnings per share EUR 0.95 (+15%)
o Cash flow from operations +97% to EUR 93 million; ROCE improved to 14.0%
o Strengthened market positions with three acquisitions: Ushers, Schroeder, Tri-Went
o Divestment of one non-core activity

Key figures
in EUR million 1H2016 1H2015 DELTA
Revenue 1,274 1,244 2.5%
Added-value as a % of revenue 62.6 61.7
Operating profit (EBITA) 150.4 134.7 12%
EBITA as a % of revenue 11.8 10.8
Net profit before amortisation 104.9 91.5 15%
Earnings per share before amortisation (in EUR) 0.95 0.83 15%
Total equity as a % of total assets 45.1 44.3
Net debt 845 781 8%
Leverage ratio: Net debt / EBITDA (12-months-rolling) 2.1 2.1
Cash flow from operations 93.2 47.4 97%
Capital expenditure 57.0 41.2 38%
Net working capital 553 579 (4%)
Return on capital employed (ROCE 12-months-rolling) 14.0 13.3
Wim Pelsma - CEO
“WE HAVE MADE GOOD PROGRESS WITH THE IMPLEMENTATION OF OUR STRATEGY AND DELIVERED A GOOD
PERFORMANCE. EBITA MARGIN IMPROVED TO 11.8%, CASH FLOW FROM OPERATIONS DEVELOPED STRONGLY
AND NET PROFIT AND EARNINGS PER SHARE INCREASED BY 15%.
We achieved an organic revenue growth of 1.2% where
businesses and end markets showed a mixed picture.
Building Installations Europe, Climate Control and partly
Industrial Controls performed well. In activities related
to Industrial Installations North America and
Oil & Gas, we faced challenging circumstances.
We continued to focus on technologies with growth
potential, improved our market positions in North America
with three acquisitions, divested one activity and
consistently executed the many Operational Excellence
projects, using our group strengths”.

Financial results
The revenue increased by 2.5% (organic +1.2%) to
EUR 1,274 million (1H2015: EUR 1,244 million).
The added value margin improved to 62.6% (1H2015:
61.7%). Operating profit (EBITA) increased by 12% to
EUR 150.4 million (1H2015: EUR 134.7 million), 11.8%
of the revenue (1H2015: 10.8%). Net profit before
amortisation increased by 15% to EUR 104.9 million
(1H2015: EUR 91.5 million), per share by 15% to
EUR 0.95 (1H2015: EUR 0.83).
Cash flow from operations improved by EUR 45.8
million (+97%) to EUR 93.2 million (1H2015: EUR 47.4
million). Return on capital employed (ROCE) improved to
14.0% (1H2015: 13.3%). Total equity remained at a
good level of 45.1% of the balance sheet total (1H2015:
44.3%). Net debt was EUR 845 million (1H2015: EUR
781 million). The leverage ratio ended at 2.1 (1H2015:
2.1), well below the bank covenant < 3.5.
Operational developments
Building Installations realised organic growth and
good results in Europe. Higher revenues and operational
improvements in combination with a focused market
approach on technologies with growth potential are
becoming visible in the results. Also we further
optimised our product portfolio. In North America our
business for the residential and commercial end market
performed well, where the business for Industrial
Installations faced challenging circumstances. We
acquired TRI-WENT to strengthen our connection
technology activities for cooling applications. We
launched several new and upgraded valve product lines.
A global innovation roadmap is defined to drive further
organic growth.
Climate Control achieved a good growth of revenue
and results. The project activities in several markets
were improving, some markets still faced challenging
circumstances. We continued to integrate and optimise
the acquisitions and to improve the joint marketing and
system sales approach in combination with the
execution of the many Operational Excellence projects.
We started manufacturing and sales of several new
product lines in Eastern Europe and are investigating
further expansion plans in other regions. At several
positions we strengthened the Management Team.

Industrial Controls showed a mixed picture. Our
engineered valve business for the District Energy end
market performed on the same level as last year, in Russia
we realised growth. The activities related to the Oil & Gas
end market still faced difficult circumstances. Our high
pressure gas regulator and valve business for the
Automotive and Industrial end markets performed very
well. The growth plan for our combined business, after
acquiring VENTREX, looks promising for the coming years.
Our nano technology business for the Semicon & Science
end market showed lower revenues due to a different
product mix compared to last year. A better performance
is expected in the second half of the year. The precision
extrusion technology business made an excellent first half
year due to strong growth in the Aerospace end market.
Also our dispensing technology business for the Beverage
Dispense end market made a good start, including the
integration of SCHROEDER, acquired in February 2016.
We divested one non-core activity in the Netherlands.
In Industrial Services the heat and surface treatment
activities in Europe made a slower start than expected due
to lower volumes in the Machine Build and other
Industrial end markets. With strengthened management
and good action plans Impreglon improved its
performance compared to last year. In Eastern Europe and
North America our brazing and heat treatment activities
performed well, additional investments were made to
service the many business opportunities. We
strengthened our position in the Power Generation end
market with the acquisition of USHERS. The complex
precision stamping activities showed a good development,
especially in Eastern Europe and Asia.

Outlook
We will consistently execute our strategy and expect
to realise further progress during the year.

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Aalberts EUR 30,29 +1,26 vol. 202.772