The Board of Directors approves the draft of 2017 financial statement

Proposed dividend of € 0.035 per share

Net sales at € 422.2 million - € 391.9 million in 2016

EBITDA at € 43.9 million (€ 45.6 million adjusted) - € 39.5 million in 2016 (€ 40.5 million adjusted)

EBIT at € 30 million - € 21.9 million in 2016

Consolidated net result at € 16.4 million - € 17.7 million in 2016

Net negative financial position at € 125.3 million, of which € 23.9 million of discounted financial debts for the purchase of the remaining shares held by minority

Bagnolo in Piano (RE), 16 March 2018 - The Board of Directors of Emak S.p.A. (MTA, STAR), parent company of one of world major groups working in the sectors of outdoor power equipment, pumps and water jetting, and of the related components and accessories, has approved the results for 2017.

In 2017, the economic data for the second half and the balance sheet figures as at 31 December of the Lavorwash Group (Pumps and High Pressure Water Jetting segment acquired on 3 July) were consolidated for the first time.


Emak Group achieved consolidated revenues of € 422.2 million, compared to € 391.9 million of last year, an increase of 7.7%. The improvement is due to the contribution of the change in the consolidation for 7.5% (€ 29.6 million), to the negative effect of the exchange rate by 0.1% and to an organic growth of 0.3%.

L’EBITDA (*) for the period reached € 43.9 million (€ 45.6 million adjusted), which represented 10.4% of sales (10.8% adjusted) compared to € 39.5 million (€ 40.5 million adjusted) corresponding to 10.1% of sales (10.3% adjusted) in 2016, an increase of 11.3%.

EBIT amounted to € 30 million, compared to € 21.9 million of last year. The 2017 figure includes impairment losses for an amount of € 0.6 million (€ 4.8 million in 2016).

Net result for 2017 is € 16.4 million, compared to € 17.7 million in 2016. The result was influenced by negative exchange rate management, mainly due to end-of-period valuation, for € 4.2 million, compared to a positive value of € 3.4 million in 2016. Last year figure also included the income arising from the accounting of the estimate of the liability for the commitment to purchase the remaining stake in Lemasa for a total amount of € 5.1 million. The tax rate for the period is 29%, compared to 33.3% in 2016.

Free cash flow from operations (*) is € 30.4 million, compared to € 35.3 million in 2016.


Net negative financial position stood at € 125.3 million compared to € 80.1 million at December 31, 2016. The change in scope of consolidation accounted for € 51.8 million.

Investments in tangible and intangible assets made during 2017 amount to € 17.4 million, mostly concentrated in product and process innovation, in the works for the construction of the new R&D center of the parent company Emak S.p.A. and in the ERP transformation project.



Consolidated net equity at December 31, 2017 amounted to € 187.5 million against € 181.7 million at 31 December 2016.


Subsequent events

Acquisition of remaining 39% of Epicenter

On January 29, 2018, the parent company Emak S.p.A. it acquired the remaining 39%, still held by the founder, of the Ukrainian subsidiary Epicenter LLC, bringing its 100% stake. The price for the acquisition of this stake amounts to € 340 thousand.

Reorganization of commercial activities in U.S.A.

Starting from the beginning of 2018, the Group has implemented a reorganization of its commercial activities in the United States in the Pumpe and High Pressure Water Jetting segment. Specifically, the company Comet USA conferred in Valley the business of industrial pumps in order to maximize logistical, operational and management efficiencies. The new organization will also allow to focus the energies on the future developments of the activities on the US territory.

Sale of 100% of Raico S.r.l.

On March 6, 2018 the parent company Emak S.p.A. has signed a binding agreement for the sale of 100% of the share capital of Raico S.r.l. for a consideration of € 5,500 thousand. The closing of the transaction, with payment and transfer of shares, is expected by the end of March.

Personal reorganization plan Emak S.p.A.

In the last part of the year, the Parent Company, following an assessment aimed at improving the organization at the Bagnolo in Piano (RE) headquarters, due to the logic of efficiency and renewal, initiated a procedure relating to a plan to early retirement on voluntary basis. In February 2018, the first individual conciliation agreements were signed for 12 people and 20 more people are expected to be released by the end of 2018.


Emak Group has initiated a process of technological innovation and unification of the information systems to the Microsoft Dynamics AX platform, with the aim of streamlining group’s processes in support of an increasingly international business development. At the same time, it will continue to pursue its value creation objectives by focusing on operating costs and working capital efficiency. Investments in support of innovation and new technologies applied to both products and production processes, but above all for the benefit of end customers, are expected to increase. Finally, on the short term, the Group will commit itself to achieving all the synergies deriving from the recent acquisition of Lavorwash, implementing the activities already launched during 2017


General Shareholders' Meeting

Dividend proposal

The Board of Directors resolved to propose to the General Meeting of Shareholders, convened to meet on 27 April 2018, the proposal for the distribution of a dividend (coupon no.21) of € 0.035 per share. The dividend, if approved, will be paid on 6 June 2018, with ex-dividend date 4 June 2018 and record date 5 June 2018.

Remuneration policy

The Shareholders Meeting will also be called to resolve on the policy of remuneration of directors.

Authorization for the purchase and disposal of treasury shares

The ordinary Shareholder Meeting will be called to resolve on the proposal for renewal of authorization for the purchase and disposal of treasury shares.

The documentation regarding the items on the agenda of the Shareholders' Meeting in ordinary session will be published within the time and in the manner prescribed by law.


Participation at Star Conference, Milan 2018

Top management will present the results in the course of meetings with the financial community at the Star Conference organized by the Italian Stock Exchange on 27 and 28 March 2018. The presentation that will be used will be available on the website of the company and the storage mechanism eMarket Storage before the event begins.

Attached are the highlights from the consolidated accounts of the Group and separate from that of Emak S.p.A. (the Parent Company).


(*) Alternative performance indicators


The following are the criteria used for the construction of key performance indicators that management considers necessary to the monitoring Group.


- EBITDA: calculated by adding the items "Operating result" plus "Amortization, depreciation and impairment losses".

- EBITDA adjusted (EBITDA before non-ordinary expenses): is obtained by deducting at EBITDA the impact of charges and income for litigation, expenses related to M&A transaction, headcount reorganization and restructuring charges.

- Free cash flow from operations: calculated by adding the items "Net profit" plus "Amortization, depreciation and impairment losses".


Aimone Burani, the executive responsible for the preparation of the corporate accounting documents, declares and certifies in accordance with article 154 bis, paragraph 2, of the Consolidated Finance Act, that the financial statements contained in the present press release correspond to the underlying accounting documents, records and accounting entries.



For additional information:

Mr. Andrea La Fata

Investor Relation Office

Phone (+39) 0522 956332; Fax (+39) 0522 959227;



Emak Group develops, produces and distributes a wide range of products in three business areas: (i) outdoor power equipment, which includes products for gardening, forestry and agriculture such as trimmers, lawn mowers, garden tractors, chain saws, tillers, rotary tiller;(ii) pumps and high pressure water jetting including products (a) for agriculture as centrifugal and diaphragm pumps for spraying and weeding; (b) for industry, including industrial pumps, high and high pressure systems and urban cleaning equipment; (c)for cleaning, as professional and semiprofessional high pressure washsers, floor scrubbers and vacuum cleaners; (iii) components and accessories for the abovementioned sectors, the most representative of which are line and heads for trimmers, accessories for chain saws (i.e. sharpeners), guns, nozzles and valves for high pressure washers and agricultural applications, precision farming (sensors and computers), seats and technical spare parts for tractors.



Highlights of the consolidated income statement by business sector


Emak Group– Consolidated income statement and comprehensive income statement

Emak Group – Consolidated statement of financial position


Emak Group – Consolidated cash flow statement


Emak Group – Consolidated net financial position


Emak S.p.A. –Income statement and comprehensive income statement


Emak S.p.A. –Statement of financial position

Emak S.p.A. – Cash flow statement

Downloadable Documents

Emak_press_results 2017