Invitation to the Annual Shareholders’ Meeting
Fiscal 2016 was another good year for WACKER. Sales grew by 2 percent to €5.40 billion. Earnings before interest, taxes, depreciation and amortization (EBITDA) rose to €1.10 billion, an even better figure than we had forecast. Substantially higher levels of depreciation – a result of our capital expenditures in recent years – did lower our net profit for the year at the Group level, though. The positive business trend was also evident in other key financial indicators. We reduced our net financial debt to below the one-billion-euro mark and, at around €400 million, our net cash flow grew significantly.
We want you, our shareholders, to share in this positive performance. The Supervisory Board and Executive Board will propose a dividend of €2.00 per share at the Annual Shareholders’ Meeting. Overall, we will be distributing more than half of the company’s profit for the year to you.
Commissioning of our new production site in Charleston, Tennessee (USA) was one the most important events for us in 2016. Ramping up such a technically complex greenfield plant was a formidable task – and everyone involved accomplished it with great success. All of the facilities are now in operation and we are producing polysilicon of exceptional quality at the site.
WACKER’s three chemical divisions again lifted their sales last year amid strong volume growth. WACKER SILICONES even surpassed the two-billion-euro sales mark for the first time and continued to consolidate its position as the world’s second-biggest manufacturer of silicones. EBITDA at our chemical divisions totaled around €660 million, climbing even faster than sales.
Our polysilicon business performed well amid continuing low prices and the remaining commissioning costs for our new production site in Charleston. Sales volumes continued to rise and our production capacities were fully utilized, enabling us to increase total sales.
Our semiconductor wafer business benefited from strong customer demand in the second half of the year. Higher sales volumes, further cost reductions and lower currency-hedging expenses all helped Siltronic grow EBITDA significantly.
Overall, we are very satisfied with the development of business. Of particular note is the good sales and earnings trend at our three chemical divisions.
We hereby invite WACKER’s shareholders to attend our Annual Shareholders’ Meeting at the ICM – International Congress Center Munich (Munich-Riem, Am Messesee 6, 81829 Munich, Germany) – on May 19, 2017, starting at 10:00 a.m.
Wacker Chemie AG
Dr. Peter-Alexander Wacker
Chairman of the Supervisory Board
Dr. Rudolf Staudigl
President & CEO