Aug 03, 2011. /Lesprom Network/. Homag Group AG did not reach its results targets in the 2Q 2011 and is therefore adjusting its projected results for the whole of 2011 downward. This is a consequence of unplanned, high personnel costs in connection with customer projects and foreseeable repercussions from increases in the cost of materials. In addition, the ongoing restructuring at three subsidiaries is expected to cause a greater expense than initially anticipated, placing a burden on the effective tax rate, as the company said in a press release received by Lesprom Network. As talks are still ongoing with employee representatives concerning the continuation of restructuring at the three subsidiaries BÜTFERING, FRIZ and TORWEGGE, it is still not possible to put an exact figure on the restructuring cost going forward. For 2011 as a whole, the management board anticipates EBITDA before extraordinary restructuring expenses and before employee participation expenses at roughly the same level as the prior year (Euro 65.1 million) and a net profit below the prior-year level owing to the higher tax rate that is anticipated. For 2011, the Homag Group had until now forecast an increase in EBITDA and intended to significantly raise its net profit. According to the preliminary figures, EBITDA before extraordinary restructuring expenses and before employee participation expenses came to Euro 14 million in the 2Q 2011 (prior year: Euro 15 million). Particularly the special effects of the restructuring of the subsidiary BÜTFERING increased the effective tax rate in the 2Q 2011 to 96%, placing an additional burden on the preliminary quarterly result, which stands at Euro 0.0 million after non-controlling interests. The Group’s sales revenue and order intake continue to show the same positive trends as before. Here, the Homag Group was able to hit its targets and, based on preliminary figures, increase its sales revenue by some 10% to Euro 198.7 million in the 2Q 2011. Order intake rose by about 12%, reaching Euro 151.3 million. The current sales revenue and order intake projections for 2011 are confirmed. This would still result in a mid-single-digit percentage increase in sales revenue on the 2010 level and slight growth in order intake. Homag Group AG is a global manufacturer of plant and machinery for the woodworking industry.