Although capital expenditures were up 76 percent year on year, WACKER’s 2006
net cash flow increased 16 percent to €185 million (2005: €159 m). WACKER expects the
market upswing to carry forward in 2007. The company’s sales and earnings are
estimated to show further growth in the current fiscal year thanks to
substantial capacity expansions, which will start contributing to results
during 2007.
Success in 2006 was the result of several factors. The Group generated
strong volume gains in many business sectors, fueled by a substantial increase
in capacity coupled with high utilization levels. At Siltronic, the robust
price situation and strong customer demand boosted semiconductor sales and
earnings. Additionally, the usual seasonal Q4 downturn in chemical business was
less marked in 2006 than in previous years. Thanks to the mild winter,
construction-industry demand for WACKER products remained high. In Q4 2006, the
Group generated total sales of €851
million (2005: €731 m), with EBITDA at
€189 million (2005: €157 m).