Krones, the world’s market leader in beverage filling and packaging technology, increased all key financial performance indicators over the previous year as planned in 2012. Consolidated revenue rose 7.4% from €2,480.3 million to €2,664.2 million. New orders improved 8.2% year-on-year from €2,514.0 million to €2,721.1 million in 2012.

At €97.9 million, earnings before taxes (EBT) were up 31.2% in 2012 over the previous year (€74.6 million). EBT was impacted by the one-time expense relating to settlement payments made in connection with Krones’ legal disputes in the US (Le-Nature’s). This resulted in a €37.8 million charge against EBT for 2012. The charge against earnings resulting from the Le-Nature’s case in the previous year was €36.7 million. The settlement payments were made in the financial year 2012.

The EBT margin - the ratio of earnings before taxes to sales- improved from 3.0% in the previous year to 3.7% in 2012. Adjusted to exclude the one-time expense, Krones’ EBT margin was 5.1% in 2012 (previous year: 4.5%). Thus, the company achieved its target of an operating EBT margin of more than 5% in the reporting period. Earnings in all three of the company’s segments also developed according to plan in 2012.

Krones’ net income was up 53.3% to €67.0 million in 2012. The increase in net income was far bigger than the increase in EBT because the company’s tax rate decreased from 41.5% to 31.6%. In 2011, Krones had to pay back taxes for previous years following a tax audit.

Earnings per share came to €2.22 in the reporting period (previous year: €1.45). Adjusted to exclude the one-time expense, earnings per share would be €3.07 (previous year: €2.33).

Despite the payments Krones made to settle the legal disputes in the US in 2012, the company generated positive free cash flow of €30.6 million in 2012. At the end of 2012, Krones held cash and cash equivalents totalling €132.9 million (previous year: €125.5 million) and had no bank debt.

Given the positive operating trend in the financial year 2012, the Supervisory Board and the Executive Board will propose to the shareholders’ meeting a dividend of €0.75 per share (previous year: €0.60 per share).