FLSmidth completes the acquisition of TK Mining and releases preliminary financial figures for TK Mining
COMPANY ANNOUNCEMENT NO. 15-2022
1 September 2022, Copenhagen, Denmark
Today FLSmidth releases high-level, preliminary and unaudited financial figures for thyssenkrupp’s Mining business (TK Mining) and provides an update on TK Mining’s Russian activities. As previously announced (refer Company Announcement No. 13-2022), final closing of the acquisition took place on 31 August 2022.
| (EURm) | 9M 2021/22 | 9M 2020/21 | Change 9M 2021/22 vs. 9M 2020/21 | FY 2020/21 |
| The fiscal year of TK Mining runs from 1 October to 30 September | ||||
| Order intake | 433 | 309 | 40% | 493 |
| – Service order intake | 250 | 213 | 18% | 282 |
| – New Build order intake | 183 | 97 | 89% | 210 |
| Revenue | 356 | 423 | -16% | 619 |
| – Service revenue | 195 | 186 | 5% | 262 |
| – New Build revenue | 161 | 238 | -32% | 357 |
| EBIT margin | Low single-digit negative* | -7.9% | n/a | -3.0% |
* Impact from Russian activities and the project portfolio is under review and subject to change
TK Mining’s total outstanding order backlog amounted to EUR 698m at end July 2022.
TK Mining has suspended new business in Russia, while contracts with non-sanctioned customers are being finalised to the extent possible. TK Mining’s outstanding order backlog from Russian activities amounted to around EUR 43m by end July 2022. Other potential exposure and risks related to Russia remain subject to audit.
All preliminary figures and information have been provided by TK Mining and are subject to change pending review and audit by FLSmidth.
Further impact of the transaction, including updated financial guidance for 2022, will be communicated no later than in connection with the release of FLSmidth’s financial results for the first nine months of 2022 on 8 November 2022.
Conference call
Group CEO Mikko Keto and Group CFO Roland M. Andersen will host a conference call to provide a Day 1 update on the TK Mining acquisition on 1 September 2022 at 8.00 CET.
The presentation will be made available just before the call at www.flsmidth.com/investors/reports-and-presentations and can be followed live or as replay at www.flsmidth.com/investors/webcasts
If you wish to ask questions or just listen to the presentation via telephone, please call one of the following numbers:
DK: +45 78 77 41 97
SE: + 46 107 502 346
DE: 0 800 186 2030
UK: 0 808 101 1183
US: 785 424 1226
Please use the PIN code: 46 02 3
Contacts:
Investor Relations
Jannick Lindegaard Denholt, +45 21 69 66 57, jli@flsmidth.com
Therese Möllevinge, +45 41 37 16 38, tmo@flsmidth.com
Mikkel Johansen, +45 23 30 29 50, mjoh@flsmidth.com
Media Relations
Rasmus Windfeld, +45 40 44 60 60, rwin@flsmidth.com
About FLSmidth
FLSmidth provides sustainable productivity to the global mining and cement industries. We deliver market-leading technology, products and service solutions that enable our customers to improve performance, drive down costs and reduce environmental impact. MissionZero is our sustainability ambition towards zero emissions in mining and cement by 2030. FLSmidth works within fully validated Science-Based Targets, our commitment to keep global warming below 1.5°C and to becoming carbon neutral in our own operations by 2030. www.flsmidth.com
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