DGAP-News: Williams Grand Prix Holdings PLC / Key word(s): Final Results Williams Grand Prix Holdings PLC : Williams Reports 2014 Annual Results 27.04.2015 / 09:39
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27.04.15 Williams Reports 2014 Annual Results Williams Grand Prix Holdings PLC (WGPH, Ticker: WGF1) today announced the Group's financial results for the year ended 31 December 2014. WGPH is the holding company of the Williams group of companies, which includes Williams Grand Prix Engineering Limited. In 2013, following a number of years of deteriorating performance, Williams embarked on a turnaround strategy to reinvigorate the performance of the Formula One team and put in place the foundations for a profitable engineering business. Consequently, and as anticipated, 2014 was a year of transition and the financial results reflect a year of higher costs in a sport in which commercial rights revenue is earned a year in arrears. The Group has reported a revenue of £90.2m (2013: £130.4m), with an EBIT of (£34.3m) (2013: £11.9m). The loss was driven by lower revenue and higher costs in the Formula One operation. More than half the reduction in revenue is due to the recognition of a one-off sponsorship payment for 2014, which had to be recognized in the 2013 financial statements. It was also the result of lower commercial rights and partnership income due to our ninth place finish in the Constructors' Championship in 2013, and the impact of the sale of the Williams Hybrid Power business earlier last year. The higher costs were attributable to the introduction of the new hybrid power unit into Formula One, and investment in the Group's operation to turnaround its performance. The Formula One operation made a major step forward on the track in 2014, and that success will be reflected in increased commercial rights and sponsorship income this year. Therefore, the financial results for 2015 will be materially more favourable than 2014. Williams Advanced Engineering, the division of the Group that commercialises Formula One derived technology and knowhow, generated revenue in line with the previous year at £17.8m (2013: £17.3m). EBIT was £3.5m (2013: £5.5m), down on the prior year, primarily due to relocation costs into a new purpose-built facility, and investment to increase capability and enter new markets. Mike O'Driscoll, Group Chief Executive Officer, said; "The decision to invest in the team has been more than validated, with a third place finish in the 2014 Constructors' Championship, up from ninth in 2013. Mid-way through 2013 we set out on an ambitious turnaround strategy to reinvigorate the Formula One team, create a strong and profitable Advanced Engineering business, and divest non-core activities. In 2014 we made very good progress against those objectives, investing significantly in people, facilities, and technology which we believe will provide a solid foundation for the future. "The Formula One team's leadership and structure was thoroughly overhauled, with the singular objective of reversing a decade of deteriorating performance. As a consequence of our actions we made a significant improvement in our on-track performance in 2014, which has been sustained into 2015. Our Advanced Engineering activities were also consolidated as we relocated operations into a new facility at our Grove HQ. We have put a new and experienced leadership team in place across the organization, and are now well placed to grow in the years ahead. "The financial performance of the Group in 2014 reflected the poor on-track results of the prior three years, which resulted in a marked deterioration in commercial rights and sponsorship income. Last year was also adversely impacted by the costs of relocating our Advanced Engineering activities. Our much improved performance in the 2014 Championship will be seen in higher commercial rights and sponsorship income in 2015, coupled with improved performance from our Advanced Engineering division. Our ambition in 2015 is to consolidate the progress we made last year, continue building the necessary foundations for future sporting and commercial success, and consequently to materially improve our financial results for the coming years." Key Statistics
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27.04.2015 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de
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348803 27.04.2015
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27.04.15 Williams Reports 2014 Annual Results Williams Grand Prix Holdings PLC (WGPH, Ticker: WGF1) today announced the Group's financial results for the year ended 31 December 2014. WGPH is the holding company of the Williams group of companies, which includes Williams Grand Prix Engineering Limited. In 2013, following a number of years of deteriorating performance, Williams embarked on a turnaround strategy to reinvigorate the performance of the Formula One team and put in place the foundations for a profitable engineering business. Consequently, and as anticipated, 2014 was a year of transition and the financial results reflect a year of higher costs in a sport in which commercial rights revenue is earned a year in arrears. The Group has reported a revenue of £90.2m (2013: £130.4m), with an EBIT of (£34.3m) (2013: £11.9m). The loss was driven by lower revenue and higher costs in the Formula One operation. More than half the reduction in revenue is due to the recognition of a one-off sponsorship payment for 2014, which had to be recognized in the 2013 financial statements. It was also the result of lower commercial rights and partnership income due to our ninth place finish in the Constructors' Championship in 2013, and the impact of the sale of the Williams Hybrid Power business earlier last year. The higher costs were attributable to the introduction of the new hybrid power unit into Formula One, and investment in the Group's operation to turnaround its performance. The Formula One operation made a major step forward on the track in 2014, and that success will be reflected in increased commercial rights and sponsorship income this year. Therefore, the financial results for 2015 will be materially more favourable than 2014. Williams Advanced Engineering, the division of the Group that commercialises Formula One derived technology and knowhow, generated revenue in line with the previous year at £17.8m (2013: £17.3m). EBIT was £3.5m (2013: £5.5m), down on the prior year, primarily due to relocation costs into a new purpose-built facility, and investment to increase capability and enter new markets. Mike O'Driscoll, Group Chief Executive Officer, said; "The decision to invest in the team has been more than validated, with a third place finish in the 2014 Constructors' Championship, up from ninth in 2013. Mid-way through 2013 we set out on an ambitious turnaround strategy to reinvigorate the Formula One team, create a strong and profitable Advanced Engineering business, and divest non-core activities. In 2014 we made very good progress against those objectives, investing significantly in people, facilities, and technology which we believe will provide a solid foundation for the future. "The Formula One team's leadership and structure was thoroughly overhauled, with the singular objective of reversing a decade of deteriorating performance. As a consequence of our actions we made a significant improvement in our on-track performance in 2014, which has been sustained into 2015. Our Advanced Engineering activities were also consolidated as we relocated operations into a new facility at our Grove HQ. We have put a new and experienced leadership team in place across the organization, and are now well placed to grow in the years ahead. "The financial performance of the Group in 2014 reflected the poor on-track results of the prior three years, which resulted in a marked deterioration in commercial rights and sponsorship income. Last year was also adversely impacted by the costs of relocating our Advanced Engineering activities. Our much improved performance in the 2014 Championship will be seen in higher commercial rights and sponsorship income in 2015, coupled with improved performance from our Advanced Engineering division. Our ambition in 2015 is to consolidate the progress we made last year, continue building the necessary foundations for future sporting and commercial success, and consequently to materially improve our financial results for the coming years." Key Statistics
F1 WAE Qatar (discontinued) WHP (discontinued) Group
2014
Turnover (£m) 71.2 17.8 0.2 1.0 90.2
EBIT (£m) (42.5) 3.5 (1.0) 5.7 (34.3)
EPS (391.2)p
2013
Turnover (£m) 106.0 17.3 0.7 6.4 130.4
EBIT (£m) 11.9 5.5 (4.4) (1.1) 11.9
EPS 123.9p
-Ends- Notes to Editors Williams Grand Prix Holdings PLC Williams Grand Prix Holdings PLC is the holding company of the Williams group of companies which includes Williams Grand Prix Engineering Limited. The Group employs over 600 people, and generates its revenues from its long standing Formula One business and its more recently developed Advanced Engineering operation. The Group's aim is to be a championship-winning Formula One team and a world-class engineering and technology business generating consistent and satisfactory returns for its shareholders. Williams Grand Prix Engineering Limited Williams Grand Prix Engineering Limited's core competencies are the design and development of racing cars to compete in the Formula One World Championship. As one of the world's leading Formula One teams, the company has secured 16 FIA Formula One World Championship titles since its foundation in 1977. Nine of these titles have been won in the Constructors' Championship in association with Cosworth, Honda and Renault. The remaining seven titles were won in the Drivers' Championship with Alan Jones, Keke Rosberg, Nelson Piquet, Nigel Mansell, Alain Prost, Damon Hill and Jacques Villeneuve. Williams Grand Prix Engineering Limited continues to develop by adapting its intellectual property and rapid development skills in projects outside Formula One under the trading name Williams Advanced Engineering. Williams Advanced Engineering Williams Advanced Engineering is the brand that is used for all Group activity outside of the Formula One team, with projects focused on the exploitation of Williams' brand, intellectual property and know how. Williams Advanced Engineering harnesses Formula One derived technology, development pace and knowledge to deliver highly innovative products and services to the motorsport, automotive, transport, aerospace, defence and energy sectors. Working in close collaboration with its customers, Williams Advanced Engineering helps them meet the sustainability challenges of the 21st century and improve their performance, market position and brand image. Media Contact James Francis Senior Communications Manager M +44 (0) 7788 317 639 james.francis@williamsf1.com Sophie Ogg Head of Communications M +44 (0) 7977 275762 sophie.ogg@williamsf1.com---------------------------------------------------------------------
27.04.2015 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de
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348803 27.04.2015
