GfK Expects Improvement after Slower First Quarter

GfK has issued an ad hoc statement on preliminary figures for the first quarter, showing organic sales growth of only 0.6 percent, and adjusted operating income and margin down on Q1 2012. However the global group says order levels are good and it should meet annual forecasts of 3-4 percent sales growth.

In absolute terms, sales increased 0.8% to EUR 348m; adjusted operating income was c.EUR 23m and margin therefore 6.6% - equivalent figures a year earlier were EUR 33.5m and 9.7 percent respectively.

GfK says this slow start will be offset by 'considerably stronger growth in subsequent quarters' and notes that since March 'the level of incoming orders has developed well'. It continues to forecast an organic increase in sales of between 3 and 4% and a margin of around 13%. Total sales for 2012 were EUR 1.51 billion.

More detailed results will be published on Wednesday. Web site: www.gfk.com .