EQS-News: Semperit AG Holding with revenue growth and stable earnings despite economic slowdown
EQS-News: Semperit AG Holding / Key word(s): Quarter Results
Semperit AG Holding with revenue growth and stable earnings despite economic
slowdown
10.05.2023 / 07:31 CET/CEST
The issuer is solely responsible for the content of this announcement.
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Press Information
Semperit with revenue growth and stable earnings despite economic slowdown
• First quarter 2023 shows revenue increase by 2.0% to EUR 185.2 million
in continued operations
• Revenue in the Industrial Sector increased by 3.2% to EUR 176.4 million,
while revenue of continued operations in the Medical Sector fell to EUR
8.8 million
• EBITDA in continued operations increased slightly to EUR 20.8 million,
EBITDA margin remained unchanged at 11.2%
• At EUR 13.2 million, EBIT slightly above the comparable period of the
previous year, EBIT margin slightly improved to 7.1%
• Distribution of a basic dividend of EUR 1.50 per share and a conditional
additional dividend of EUR 3.00 per share following the sale of
Sempermed
Vienna/Austria, 10 May 2023 – The publicly listed Semperit Group recorded a
slight increase in revenue and higher earnings in continued operations in a
difficult market environment, which was impacted by high inflation and a
growing economic slowdown.
CEO Karl Haider commented on the quarterly results: “I am satisfied that we
delivered a good performance in the first quarter of 2023 under the given
global conditions. We look forward to the full year with optimism, although
we expect business development to be subdued.”
Sales prices raised in 2022 led to revenue increase in the first quarter
2023
The higher Group revenue in the first quarter 2023 compared to the previous
year’s period was boosted in particular by the increase in average selling
prices in the Industrial Sector – the price effect being in a range between
15.2% and 29.0% – in the course of the 2022 financial year, which means that
the price increases on the input factor side could be passed on. Sales
volumes declined in all industrial segments except Sempertrans, where a
positive market environment and rising demand led to volume growth of
+22.9%. The significant Sempertrans plus was largely responsible for the
positive revenue development of +3.2% to EUR 176.4 million in the Industrial
Sector. The part of the Medical Sector remaining in continued operations,
the production of surgical gloves in Wimpassing and Sopron, recorded a
decline in revenue of –16.9% to EUR 8.8 million; as a result, revenue of the
entire continued operations increased by only 2.0% to EUR 185.2 million.
Stable earnings in the Industrial Sector with adjustment of capacities
The revenue increase, but also the lower costs resulting from lower
production volumes in the Semperflex, Semperseal and Semperform segments and
the related reduction in material costs (–5.8% or EUR 5.9 million including
energy and purchased services) helped to offset the +5.7% or EUR 2.8 million
increase in personnel expenses and the +9.5% or EUR 2.1 million rise in
other operating expenses (higher maintenance expenses, travel expenses and
costs in connection with the planned acquisition of the RICO Group). As a
result, EBITDA in continued operations increased slightly to EUR 20.8
million. The EBITDA margin remained unchanged at 11.2%. At EUR 13.2 million,
EBIT from continued operations was also slightly higher than in the same
period of the previous year (1-3 2022: EUR 12.7 million). The EBIT margin
was 7.1% (1-3 2022: 7.0%).
Earnings after tax from continued operations amounted to EUR 8.3 million in
the first quarter 2023. The net result after tax (continued and discontinued
operations combined) amounted to EUR 0.4 million (1-3 2022: EUR 15.5
million). The balance is attributable to the adverse business development of
the discontinued operations (examination gloves) with earnings after tax of
EUR –7.9 million (1-3 2022: EUR 8.2 million). Earnings per share
attributable to the shareholders of Semperit AG Holding amounted to EUR 0.02
(1-3 2022: EUR 0.75).
In first quarter 2023, cash expenditures in intangible assets and property,
plant and equipment were below the level of the previous year at EUR 14.5
million (1-3 2022: EUR 17.2 million). Free cash flow amounted to EUR 7.1
million (1-3 2022: EUR –0.1 million).
Outlook
The management of the Semperit Group expects a decline in earnings from
continued operations in the 2023 financial year. The overall economic
slowdown is expected to have a noticeable impact on the Industrial Sector in
the second and third quarter 2023. Customers’ inventory optimisation
programmes are already leading to restrained ordering behaviour as expected.
As a result, lower sales volumes and increased pressure on margins are to be
expected. The option to pass on potential further cost increases to
customers will depend on the price sensitivity of the respective customers
and the dynamics in the segment-specific product markets.
Against this backdrop, the Executive Board confirms the outlook for the 2023
financial year with EBITDA from continued operations of between EUR 70 and
90 million, but from today’s perspective expects the result to be at the
lower end of the range.
With regard to the sale of the medical business, a first closing is expected
in mid-2023 or in the following months, depending on the regulatory approval
procedures currently underway. The Medical Sector is still expected to have
a negative impact on earnings after taxes.
The management is consistently pursuing the implementation of the strategy
and is focusing on organic and inorganic growth projects. In this context,
the next successful step was taken: on 17 April 2023, the Semperit Group
announced that it would acquire 100% of the Austrian RICO Group GmbH (RICO),
a leading global supplier of silicone injection moulding tools and producer
of liquid silicone components. Closing is expected in the third quarter of
2023. The long-term potential of the transaction for the Semperit Group lies
primarily in high-quality tooling for high-precision and complex solutions
and the automation of production steps for the manufacture of large volumes.
Furthermore, the acquisition will strengthen market access to North America,
where RICO has had its own production facilities for many years.
Overview of the main financial figures of the first quarter of 2023
Key performance figures of the 1-3 2023 Change 1-3 2022
Semperit Group, in EUR million
Revenue 185.2 +2.0 % 181.5
EBITDA 20.8 +2.7 % 20.3
EBITDA margin 11.2 % +0.1 PP 11.2 %
EBIT 13.2 +4.2 % 12.7
EBIT margin 7.1 % +0.1 PP 7.0 %
Earnings after tax 0.4 – 97.4 % 15.5
Earnings per share, in EUR 0.02 – 96.7 % 0.75
Gross cash flow 10.1 – 65.8 % 29.6
Free cash flow 7.1 +20.0 % – 0.1
Balance sheet key figures, in EUR 31.03.2023 Change 31.12.2022
million (at balance sheet date)
Balance sheet total 847.6 +0.6 % 842.9
Equity 518.0 – 0.0 % 518.2
Net debt (+) / Net cash (-) – 66.1 +22.0 % – 54.2
Net debt/EBITDA ratio n/a n/a n/a
Additions to intangible assets and 5.4 – 89.3 % 50.1
property, plant and equipment
ESG 1-3 2023 Change 1-3 2022
6,51 – 7.1 % 7,007
Sector and segment key figures, in 1-3 2023 Change 1-3 2022
EUR million
Industrial Sector Revenue 176.4 +3.2 % 171.0
EBITDA 30.6 +15.7 % 26.4
EBIT 23.7 +20.6 % 19.6
Semperflex Revenue 72.6 – 9.0 % 79.8
EBITDA 16.7 – 14.6 % 19.6
EBIT 13.6 – 18.1 % 16.6
Semperseal Revenue 32.0 – 12.7 % 36.6
EBITDA 1.6 – 33.1 % 2.4
EBIT 0.0 – 98.9 % 0.5
Sempertrans Revenue 43.0 +52.0 % 28.3
EBITDA 7.3 n/a 1.3
EBIT 6.2 n/a 0.3
Semperform Revenue 28.8 +9.8 % 26.2
EBITDA 5.0 +54.3 % 3.2
EBIT 3.9 +79.7 % 2.1
Medical Sector (Sempermed) Revenue 39.6 – 62.7 % 106.1
EBITDA – 11.6 n/a 13.3
EBIT – 13.5 n/a 7.6
For further details please see the Semperit Group’s Report on the first
quarter of 2023.
Contact:
Alexander Kleedorfer Judit Helenyi
Director Group Brand Management Director Investor Relations
(Interim),
Corporate Spokesperson +43 676 8715 8310
+43 676 8715 8464 [2]judit.helenyi@semperitgroup.com
[1]alexander.kleedorfer@semperitgroup.com
[3] www.semperitgroup.com
[4] www.linkedin.com/company/semperit-ag
About Semperit
The publicly listed company Semperit AG Holding is an internationally
oriented group that develops and produces polymer products for the
industrial and medical sectors, selling them in over 100 countries around
the world: hydraulic and industrial hoses, conveyor belts, escalator
handrails, construction profiles, cable car rings, products for railway
superstructures, and examination and surgical gloves. Founded in 1824, this
long-standing Austrian company has its headquarters in Vienna, Austria. The
Semperit Group employs around 6,500 people worldwide in its continued and
discontinued operations, including some 3,100 in Asia and approximately 900
in Austria (Vienna and production site Wimpassing, Lower Austria). The Group
has 16 manufacturing facilities worldwide and numerous sales offices in
Europe, Asia, Australia, and America. In the 2022 financial year, the Group
generated revenue of EUR 779.8 million and an EBITDA of EUR 100.5 million in
continued operations.
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10.05.2023 CET/CEST This Corporate News was distributed by EQS Group AG.
www.eqs.com
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Language: English
Company: Semperit AG Holding
Am Belvedere 10
1100 Wien
Austria
Phone: +43 1 79 777-310
Fax: +43 1 79 777-602
E-mail: judit.helenyi@semperitgroup.com
Internet: www.semperitgroup.com
ISIN: AT0000785555
Listed: Vienna Stock Exchange (Official Market)
EQS News ID: 1628613
End of News EQS News Service
1628613 10.05.2023 CET/CEST
References
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1. alexander.kleedorfer@semperitgroup.com
2. judit.helenyi@semperitgroup.com
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