(11.) Segment reporting

The Wilo Group’s segment reporting is prepared, in line with IFRS 8 Operating Segments, according to the internal organisation and management structure as well as the monthly reports to the Executive Board and Supervisory Board of WILO SE. On the basis of a matrix-like organisation within the Wilo Group, regional managers work together with the managers of the product divisions and market segments. The reports to the Executive Board and the Supervisory Board are also organised accordingly. Management decisions and measures by the WILO SE Executive Board are made and implemented mainly on the basis of the regional financial performance indicators of revenue and EBIT. Thus, the regions represent the operating segments within segment reporting.

The four reportable segments comprise the following countries or groups of countries:

  • Europe: All European states except Russia, Belarus and Ukraine
  • Asia Pacific: India, China, South Korea, Southeast Asian nations, Australia and Oceania
  • EMEA: Russia, Belarus, Ukraine, Caucasus nations, Gulf nations, African nations
  • Others: Nations of the American continent

Segment information is prepared in accordance with the accounting policies used for the underlying consolidated financial statements. Segment figures are stated after consolidation of intra-segment and inter-segment transactions as they are not a component of internal monthly reporting within the Wilo Group.

Net sales by segment show transactions with third parties and with companies not included in the consolidated financial statements in which the Wilo Group has an interest, and are allocated by customer domicile. In Germany, net sales of EUR 238,810 thousand (previous year: EUR 233,004 thousand) were generated with external customers in the 2016 financial year.

Segment EBIT shows earnings before interest and taxes including any amounts attributable to non-controlling interests. 

Segment assets and sales between reportable operating segments are not shown as they are not a component of internal monthly reporting within the Wilo Group.

Segment information according to the sales structure for the 2016 and 2015 financial years is as follows:


Segment information


2016
         
EUR thousand Europe Asia
Pacific
EMEA Others Total
Net sales by segment 743,981 359,556 187,821 35,732 1,327,090
Segment EBIT 80,755 15,843 14,927 -4,437 107,088
   of which depreciation,
   amortisation and
   impairment on intangible
   assets and property,
   plant and equipment




29,241




13,272




6,731




1,757




51,001
   of which non-cash
   expenses

22,141

7,994

1,791

1,062

32,988


2015
         
EUR thousand Europe Asia
Pacific
EMEA Others Total
Net sales by segment 744,672 344,557 190,165 37,732 1,317,126
Segment EBIT 95,056 15,615 15,198 -4,682 121,187
   of which depreciation,
   amortisation and
   impairment on intangible
   assets and property,
   plant and equipment




29,864




12,502




6,136




1,800




50,302
   of which non-cash
   expenses

26,425

7,149

872

523

34,969

 

EBIT in the Group is reconciled to net income as follows:


Earnings before interest and taxes (EBIT)

EUR thousand 2016 2015
Earnings before interest
and taxes (EBIT)
107,088 121,187
Net income from investments
carried at equity
-616 -154
Net finance costs -3,514 -7,992
Consolidated net income before taxes

Income taxes

102,958

-26,982

113,041

-32,560
Consolidated net income 75,976 80,481

Net sales breaks down as follows among the market segments:


Net sales by market segment

EUR thousand 2016 2015
Building Services 1,044,717 1,014,594
Water Management & Industry 282,373 302,532
Total 1,327,090 1,317,126

Order report

WILO SE
Corporate Communications
Nortkirchenstraße 100
44263 Dortmund
T +49 231 4102-0
F +49 231 4102-7363

Contact

WILO SE
Corporate Communications
Nortkirchenstraße 100
44263 Dortmund
T +49 231 4102-0
F +49 231 4102-7363