We make our customers successful. - Oerlikon Barmag

Management’s discussion of results
Key Figures and Ratios
(EUR 000) 2003 2002
Net Debt –32 377 –105 787
Liquid assets 109 786 100 687
Short-term debt –16 793 –44 728
Convertible bond –84 818 –104 481
Other long-term debt –40 552 –57 265
Net Tangible Worth (equity minus goodwill) 351 066 305 543
Shareholders’ equity 467 871 430 595
Goodwill –116 805 –125 052
EBITDA 166 195 148 697
Operating profit 88 006 69 353
Depreciation and amortization 78 189 79 344
Ratios
Debt-Equity-Ratio 6.9% 24.6%
Net Debt/Tangible Worth 9.2% 34.6%
Equity in % of Total Assets 37.4% 33.1%
Net Tangible Worth in % of Total Assets 28.1% 23.5%
Net Debt/EBITDA 19.5% 71.1%
In 2003 the group again showed its ability to generate a strong
operating and free cash flow. This was used mainly to reduce
short-term debt and for repurchases of the convertible bond which
matures in 2005. In total, Net Debt was reduced by EUR 73m, with
Cash Flow
(EUR 000) 2003 2002
Cash flow from operating activities 125 025 144 999
Capital expenditure (net of capital grants) –49 893 –49 571
Free cash flow 75 132 95 428
Proceeds from sale of fixed assets 12 795 15 417
Acquisition of investments and intangible assets –10 983 –3 876
As in the previous year the free cash flow derives mainly from operating
activities. Mainly the reduction of current liabilities reduced
it below the record level of the previous year. Additions and di-
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the effect of improving significantly the Debt-Equity-Ratio and the
Equity as % of Total Assets. This reduced debt burden and higher
equity level equate to increased financial security and independence
for Saurer.
sposals of property, plant and equipment were slightly above those
of the prior year. The acquisition of the New Castle Industries
Group resulted in an increased use of funds for investments.