Ralf Büttner (right), Sales Director at Hofmann Infocom, and Michael Pilz, Media Designer at hofmann medien, are impressed by the benefits of innovative, LED-based dryer technology. The sheetfed offset system can be used to produce premium quality and win new customers.

Faster, better performance, and lower energy consumption: LED technology delivers several benefits, but most important is its out-standing quality, depicted here in a high-finish furniture magazine.

Increased productivity and premium quality – Hofmann Druck sets new standards with Europe’s first eight-color Speedmaster XL 106 perfecting press with LED

Hofmann Druck Nürnberg GmbH & Co. KG is expan-ding its printing capacities and installing Europe’s first Speedmaster XL 106 with innovative DryStar LED dryer technology at the start of 2016. The eight-color perfec-ting press is from Heidelberger Druckmaschinen AG (Heidelberg) and will be used alongside an LED press from another manufacturer that is already being run in the pressroom. Hofmann Druck is a full-service print shop in the web and sheetfed sector that produces primarily high-end magazines and catalogs for customers. The company is part of the Hofmann Info-com GmbH group, which has a workforce of 150 and provides more than 400 customers with media services in the printing and electronic publications sectors. “Our experience with LED has been great in terms of quality, productivity, extremely short delivery times, and excel-lent energy efficiency. By installing the new Speedmas-ter XL 106 LED, we are pursuing our goal of switching over 100% of our sheetfed operations to this pio-neering technology,” says Ralf Büttner, Sales Director at Hofmann Infocom. The current LED press has already produced more than 30 million prints in just under one year. There is still a five-color Speedmaster XL 105 with coating unit in the pressroom, but this is to be removed when the new press is installed. “We have been im-pressed by the technical performance of XL tech-nology and think it is a great press, in terms of its over-all concept and its integration features,” says Büttner. “We want to continue building on our technology leadership in LED printing, which is why we have deliberately chosen two suppliers, so that we canbenefit from the developments of both.”

The benefits of LED are particularly striking on un-coated papers, ensuring that neither the brilliance and luminescence of the inks nor the feel are lost. That is why the company has launched a specialist brand “Hofmann LED Brilliance Technology”. “We are focusing on premium quality in sheetfed offset.

We can now offer products and services that we previous-ly would have had difficulty achieving, such as art prints,” says Büttner. “We have already won new customers and will continue to pursue this growth with the new Speed-master XL 106 LED.”

Heidelberg has been offering LED presses in Asia since 2013 and has already installed more than 20 presses in Japan. Japan was the first LED market for Heidelberg due to the country’s very stringent legal regulations that apply to energy savings. Using the expertise it has gained there, and the positive feedback from users, the company launched the technology onto the European market in fall 2015. The system will be introduced in the USA and Canada at the end of this year.

Target: Sheetfed offset with 100 percent LED technology • from the start of 2016Hofmann Druck creates new “LED Brilliance Technology” • brand – specifically for uncoated papersTop quality and rapid delivery times draw in new • customers

Heidelberg NewsBRIEF • November/December 2015

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NewsBRIEFHeidelberg Graphic Systems Southern Africa (Pty) LtdJohannesburg Tel 011 574 4000 • Cape Town Tel 021 534 0460 • Durban Tel 031 705 3366www.heidelberg.com/za/enNovember/December 2015September 2015

It is with mixed feelings of joy as well as sadness that we bid farewell to Eddie Schmidt, who has been with Heidelberg Southern Africa for 30 years. Eddie will be retiring at the end of December 2015.

Eddie joined Heidelberg Southern Africa in April 1986.Throughout the years he contributed greatly to the com-pany with his vast equipment knowledge entitling him to becoming Product Manager of Sheetfed Equipment and as such The Guru to some of us.

Heidelberg Southern Africa has really been fortunate of having someone like Eddie amongst the ranks. With his knowledge, skills and integrity he will be greatly missed by colleagues and customers alike. He is not only highly respected amongst peers but also highly regarded in the industry, local and global market. One can never replace a lifetime of experience, however Eddie has passed some of that experience to his successor, Warren Jones, who will be taking over from Eddie in January 2016.

We wish Eddie Schmidt all the very best in his retire-ment and thank him heartly for everything that he has done for our customers and our Heidelberg Family over the years! We will keep in touch with you Eddie! Happy Retirement!

Heidelberger Druckmaschinen AG (Heidelberg) systematically implemented the Group’s strategic reorientation in the first half of financial year 2015/2016 (April 1 to September 30, 2015) and made further progress during this period. The growth areas – services and digital – have undergone considerable expansion, while structures and processes have been made even leaner in the sheetfed business.

The takeover of the Printing Systems Group (PSG) increased service and consumables sales as planned. The five subsidiar-ies have been fully integrated into the Heidelberg sales orga-nization and the management structure adapted accordingly. Half of the planned additional sales of some €100 million from the takeover have been generated after six months. Heidelberg is planning further acquisitions in this growth segment in the future and is expecting services and consumables to account for around 50 percent of Group sales in the medium term.

Heidelberg on course after first half of financial year 2015/2016 with sales and result up on previous year

Further progress with strategic reorientation• Sales after six months climb to €1.162 billion• EBITDA excluding special items increase to €79 million• Proceeds from sale of headquarters in Heidelberg posted as income in second • half-yearOutlook for year as a whole: Sights firmly set on achieving targets for year•

The greater focus of the research and development budget on digital printing is also becoming increasingly apparent. One example is the successful sales launch of the company’s new digital label press for the packaging market. Heidelberg has also succeeded in winning over a German start-up company from the food industry for its latest development in the field of 4D printing. Unveiling the first industrial sheetfed digital press at the drupa trade show next year will mark the next milestone in the digital strategy.

As for its sheetfed business, the company continued the planned efficiency measures with the aim of increasing flexibility and boosting future profitability. Full implementation by the end of the financial year will further improve the profita-bility of the sheetfed business, above all in the second half year. The relocation of company headquarters and the Print Media Center Commercial from Heidelberg to Wiesloch-Walldorf marks the completion of a key structural measure. This will speed up

Happy Retirement Eddie SchmidtHeidelberg NewsBRIEF • November/December 2015

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processes in the future and further reduce annual operating costs for the sites. Together with the Print Media Center Packaging, Wiesloch-Walldorf now boasts the indus-try’s largest demonstration center for commercial and packaging printing anywhere in the world. The sale of the vacant administrative premises in Heidelberg has been con-tractually agreed and is expected to be recognized in profit or loss in the course of the financial year.

“We are systematically implementing our growth strategy. New business models and a dynamic portfolio have led to a significant increase in sales,” said Dirk Kaliebe, CFO and Deputy CEO of the company. “The reorientation of Heidelberg has also made us more flexible, which means we are bet-ter able to respond to market fluctuations and can further improve profitability,” he added.

Heidelberg on course after first half of financial year 2015/2016 with sales and result up on previous yearAfter the first six months of financial year 2015/2016, busi-ness results at Heidelberg are in line with the company’s own planning. As expected, sales and the operating result for the half-year exceeded the previous year’s figures. The acquisi-tion of the European Printing Systems Group (PSG) and exchange rate movements had a particularly positive impact on sales. The further increase in the order backlog at the end of the second quarter and positive effects resulting from the portfolio measures lay the foundation for further improving sales and, above all, the profitability of Heidelberg Equip-ment in the second half-year period.

Group sales after six months increased to €1.162 billion (previous year: €996 million). This includes €68 million from positive exchange rate effects. Sales were up in all regions except Eastern Europe, where they remained stable. Incoming orders in the period under review improved to €1.323 billion (previous year: €1.167 billion).

“After the first half of the current financial year, we are on course to achieve our targets for the year. As in previous years, we are expecting a further increase in sales and in the result in the second half of the financial year,” continued Kaliebe.

The operating result in the period under review was up on the previous year. EBITDA excluding special items totaled €79 million (previous year: €53 million) and EBIT excluding special items €43 million (previous year: €19 million). Both these figures benefited from income from the takeover of PSG amounting to some €19 million in the current financial year, compared with income of €18 million from the Gallus transaction in the previous year. In the Heidelberg Services segment, improvements achieved through the portfolio measures led to a better result, which at the end of the half-year was already well on track to achieve the target EBITDA margin of 9 to 11 percent. The typical seasonal increase in sales volume that is expected in the second half of the finan-cial year and the positive effects of the efficiency measures should, as planned, increasingly lead to improvements in the result of the Heidelberg Equipment segment in the second half of the financial year so as to achieve the target EBITDA margin of 4 to 6 percent.

Following the completed refinancing of the credit facility,

the financial result for the half-year improved to €–30 million (previous year: €–33 million). The net result before taxes also improved, from €–32 million in the previous year to €–8 mil-lion. The net result after taxes was much better at €–14 million following a figure of €–42 million in the corresponding period of the previous year.

At €–30 million, the free cash flow in the period under review remained at the same level as in the previous year (€–30 mil-lion). Excluding the price paid to acquire PSG, and non-recur-ring payments associated with the early redemption of a bond and the reorientation, it would have been positive.

The net financial debt at September 30 increased slightly to €284 million (March 31, 2015: €256 million) and thus remains at a low level. With a factor of 1.3, the leverage (net financial debt divided by EBITDA excluding special items for the last four quarters) was maintained significantly below the target value of 2.

As at September 30, 2015, the Heidelberg Group had a global workforce of 11,753 plus 473 trainees (previous year: 12,393 plus 550 trainees). This includes around 380 new employees from the acquisition of PSG.

Outlook for year as a whole: Sights firmly set on achieving targets for year Based on solid order books, Heidelberg is aiming for sales growth of 2 to 4 percent after adjustment for exchange rate effects in the current financial year 2015/2016. As in the previous year, the company is assuming that the share of sales will be higher in the second half of the financial year than in the first.

Assuming that the initiatives to increase margins in the Equip-ment area in particular and to optimize the portfolio take effect in the current financial year, the company continues to anticipate an operating margin on EBITDA of at least 8 percent of sales, adjusted for exchange rate effects, in financial year 2015/2016. The Heidelberg Equipment segment is expected to contribute within a range of 4 to 6 percent to this result and the Heidelberg Services segment 9 to 11 percent. In the Heidelberg Financial Services segment, the company will con-tinue to primarily externalize customer financing. The segment should continue to provide a positive EBITDA contribution in the future.

Heidelberg NewsBRIEF • November/December 2015

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Speedmaster XL 162-4. The print quality of the large-format press from Heidelberg is simply incredible.

Livonia Print - A perfectly coordinated team“I would never have imagined we could achieve such high-quality results in this large format. But that’s exactly what we do now – every single day! The only thing I’d do differently today is invest right away in an eight-color XL 162 perfec-tor,” says Erik Isaksen. “To take just one example – thanks to RFOC*, we no longer have to worry about the direction of paper feed, and we always achieve perfect register accuracy. But it isn’t just the large-format press from Heidelberg we’ve been so impressed by,” adds Isaksen. “We also use several Speedmaster presses in the 70×100 format. Altogether, we use three Speedmaster XL 106 perfectors and one Speed-master CD 102. Our experience with Heidelberg presses has always been highly positive in terms of both productivity and quality. The XL 162 is now part of this positive experience. We work with our Speedmaster presses as a perfectly coordinated team.”

Livonia Print was founded in Riga, Latvia, in 2007 and pro-duces high-quality, four-color books for publishing houses across Scandinavia and western Europe on a 24/7 basis. The company has a workforce of 470 and offers a comprehensive service, from prepress right through to finishing. Livonia Print is also leading the way in the trend for ever faster delivery times, shorter runs, and higher print quality in book printing. This is why the company continues to invest in the latest technology and training opportunities for staff.

Remote fan-out control (RFOC) is a unique technology development from Heidelberg for large-format printing that is an attractive solution for print shops processing thinner materials. These materials are prone to stretching during prin-ting. The printer often has to stop the press and manually adjust the clamping bars at the rear edge of the printing plate, particularly for high-quality jobs. With RFOC, by contrast, corrections can be performed by the operator remotely from the Prinect Press Center – and on-the-fly, too! The adjustments can be applied in both circumferential and lateral directions to correct non-uniform fan-out.

*Remote fan-out controlwww.livoniaprint.lv

Linoprint CV gives digital boost to Bromley printer

T&C Printers is outputting about 15 jobs a day, ranging from 100 to 1,000 runs, on its debut digi-tal press, the Heidelberg Linoprint CV.

“We had always been against digital and thought it was not for us but it was becoming more common and when our Heidelberg rep came in and showed us samples of its output we were persuaded to give it a try,” says David Spragg, joint owner with his brother Mark.

“In just the first month we can see it’s the right move with digital opening up new channels, about five new jobs a week.”

As a B3 printer it found that plenty of work could be converted to digital and some jobs even look better on the digital press, for instance on wove stocks. Some new digital work is from existing customers but it is also bringing in more work, primarily B2B including companies of all sizes. The company is working on software for a web to print service which could also boost B2C business.

“The 6pp A4 format has been used from the start and the ability to coat is relevant for some jobs. We are even handling three or four brochures a week on it, some of 40 pages,” says David Spragg.

The Bromley company was set up in 1970 by David and Mark’s father Terry and his brother Colin. Print has been in their blood since childhood.

Heidelberg NewsBRIEF • November/December 2015

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My Speedmaster and I photocontest - Vote now!

The Top Five photos have been published and you can now vote for them. Take part and choose your favourite by December 9, 2015, 12 noon CET!

Please select your favourites and then click on “Submit Voting”. To ensure that your vote counts, it is necessary, that you enter your e-mail address to avoid multiple voting.

Click here to vote!

Heidelberg NewsBRIEF • November/December 2015

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Like everything else in life, the print media industry is constantly changing and with that, so istechnology. drupa, still at the helm of printing equipment exhibitions in the world, promises once again a platform that will consist of the latest technologies that should not be missed.

For Heidelberg in Hall 1, the focus will be on innovations categorised into six themes. These being PRINT, FUNCTIONAL PRINTING, PACKAGING PRODUCTION, MULTICHANNEL, 3D PRINTING and GREEN PRINTING.

In one of the categories, namely packaging production, Heidelberg will be unveiling the next generation within its flagship XL range, namely the Speedmaster XL 106.

The 750x1060mm-format XL106 is targeted at commercial and packaging applications and Heidelberg already has orders for more than 30 of the new presses.

The XL 106 features a number of enhancements over the 105 model it replaces, including the ability to perfect at 18,000 sph and handle substrates up to 1mm straight or 0.8mm in perfecting mode. Two of the new XL106s will be running live each day at the Heidelberg stand in Hall 1, Messe Düsseldorf.

Heidelberg Southern Africa will be there and hope to personally show you the latest developments that our company has to offer. Please let us know of your plans to attend. We look forward to hearing from you so that we may offer the best possible support. We will be able to assist you with visa application support letters, entrance information, travel advice, personalised appointments in Hall 1, visits to the Heidelberg factory in Wiesloch (where bookings are limited).

Kindly click here to send us an email with brief details on when you intend to attend and whether there will be delegates joining you.

drupa 2016

Heidelberg Southern Africa would like to thank you all, our valued customers, for your continuous support throughout 2015 and wish you and your loved ones a safe, joyous festive season and all the very best for 2016!Please take note that our company will have key staff available to assist you with spare parts, systemservice and consumable orders during the festive season!

Season’s Greetings from Heidelberg Southern Africa

Heidelberg NewsBRIEF • November/December 2015

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