DGAP-News: MWB faces loss in 2001
2002-02-21 08:00
Preliminary results for 2001/Personnel and administrative expenses clearly reduced
Gräfelfing/Munich, February 21, 2002 - As expected, the Munich based securities house MWB made a clear loss in the 2001 financial year. The preliminary group result is minus EUR 12.5m compared to plus EUR 7.7m in the previous year. This figure includes the write-off of MWB"s sole significant investment, namely in a financial software firm , amounting to roundly EUR 4m. The write-off was conducted due to a conservative valuation of the company"s corporate planning and the last opportunity for obtaining tax credits for investment write-offs. When applying conservative valuation criteria, there seems to be no need for further write-offs in the investment field.
In 2001, MWB"s preliminary financial and commission result dropped to EUR 1.5m from EUR 29.3m in 2000. A dramatic slump in foreign stocks trading in Germany, the key influencing factor for the company"s core business, resulting from the persisting difficult stock exchange environment, is mainly responsible for the poor results. The financial and commission results include write-offs of the portfolio of own shares amounting to EUR 1.4m. Thanks to strict cost control, the company was able to cut personnel costs by 36% to EUR 3.6m and other operating expenses by 33% to EUR 7m compared with the previous year. With approximately EUR 14m, MWB"s liquidity situation remains safe and has not been diminished by the write-off. The group equity amounts to roundly EUR 24.7m.
Against the background of an increasing shift of turnover in foreign stocks towards XETRA, the company"s strategic readjustment agreed upon in autumn last year seems to be justified. Today, MWB is designated sponsor for the 100 most liquid US stocks and for 38 European Blue Chips on XETRA. The company acts as a market expert in the segments French and Dutch Stars.
MWB AG (www.mwb.de) has been listed on the SMAX since April 1999. It is a leading specialist and market maker for both domestic and foreign stocks. MWB has seats on the Munich, Berlin, Frankfurt, Düsseldorf and Stuttgart stock exchanges. It is also active in the IPO business, capital market management for small and mid caps and asset management with its 100% subsidiary MWB Wertpapierhandelsbank.
Gräfelfing/Munich, February 21, 2002 - As expected, the Munich based securities house MWB made a clear loss in the 2001 financial year. The preliminary group result is minus EUR 12.5m compared to plus EUR 7.7m in the previous year. This figure includes the write-off of MWB"s sole significant investment, namely in a financial software firm , amounting to roundly EUR 4m. The write-off was conducted due to a conservative valuation of the company"s corporate planning and the last opportunity for obtaining tax credits for investment write-offs. When applying conservative valuation criteria, there seems to be no need for further write-offs in the investment field.
In 2001, MWB"s preliminary financial and commission result dropped to EUR 1.5m from EUR 29.3m in 2000. A dramatic slump in foreign stocks trading in Germany, the key influencing factor for the company"s core business, resulting from the persisting difficult stock exchange environment, is mainly responsible for the poor results. The financial and commission results include write-offs of the portfolio of own shares amounting to EUR 1.4m. Thanks to strict cost control, the company was able to cut personnel costs by 36% to EUR 3.6m and other operating expenses by 33% to EUR 7m compared with the previous year. With approximately EUR 14m, MWB"s liquidity situation remains safe and has not been diminished by the write-off. The group equity amounts to roundly EUR 24.7m.
Against the background of an increasing shift of turnover in foreign stocks towards XETRA, the company"s strategic readjustment agreed upon in autumn last year seems to be justified. Today, MWB is designated sponsor for the 100 most liquid US stocks and for 38 European Blue Chips on XETRA. The company acts as a market expert in the segments French and Dutch Stars.
MWB AG (www.mwb.de) has been listed on the SMAX since April 1999. It is a leading specialist and market maker for both domestic and foreign stocks. MWB has seats on the Munich, Berlin, Frankfurt, Düsseldorf and Stuttgart stock exchanges. It is also active in the IPO business, capital market management for small and mid caps and asset management with its 100% subsidiary MWB Wertpapierhandelsbank.