The Interpane group of Germany, which is majority-owned by the Hesselbach family and claims to be the third largest German manufacturer of insulation glass, reported more than pleasing business develo…
The Interpane group of Germany, which is majority-owned by the Hesselbach family and claims to be the third largest German manufacturer of insulation glass, reported more than pleasing business development in 1995. By December 1995, sales had risen by 35% to 5.2 million sq. m. Sales of coated base glass had grown to 3.6 million sq. m. (2.2 million sq. m. in 1994). Sales of coated insulation glass had increased to 1.1 million sq. m. (1994: 0.72 million sq. m.), whereas sales of uncoated insulation glass had almost halved to 0.37 million sq. m. Sales of security glass had risen slightly to 0.19 million sq. m. (1994: 0.18 million sq. m.). Total group turnover for 1995 is expected to be only 25% higher at around DM 250 million in view of stiff price competition. Between DM 30 million and DM 40 million will have been generated internally. The export ratio remained unchanged at 10%. Capital investments rose in 1995 to DM 30 million from 1994“s DM 18.5 million on depreciation of almost DM 15 million. Cash flow for 1995 was up to DM 23 million (from DM 22 million), whereas the group year-end surplus is expected to amount to around DM 6.1 million. In September 1995, Interpane took a new coating plant into operation in Lauenfoerde, Germany. This plant required a total investment of DM 22 million and has raised capacity of coated base glass to 6 million sq. m. A new subsidiary firm has been set up to run the new plant, and has been equipped with equity capital of DM 5 million. Interpane chairman Bernd Kramer is expecting to see a massive reduction in demand for construction glass in 1996. At the same time, the group plans to outpace its rivals, and is targeting a two-figure increase in both sales and turnover. Earnings from ordinary business activities are also expected to improve. In the years 1996 to 1998 Interpane plans to cut its investment to around half the level of depreciation, which is between DM 15 million and DM 16 million. For 1995, the management board was planning to raise the dividend payments by two percentage points to 14% per ordinary share and 16% per preference share. The company has postponed, but not scrapped, its plans to go public.