EQS-News: GESCO SE
/ Key word(s): Quarter Results/Quarterly / Interim Statement
GESCO SE publishes 9-month report 2023
10.11.2023 / 07:30 CET/CEST
The issuer is solely responsible for the content of this announcement.
Weak economy puts pressure on business activity
Decline in demand and project postponements impact incoming orders
Solid yield level overall
Prime Standard-listed GESCO SE (ISIN DE000A1K0201), an industrial group of medium-sized market and technology leaders, today published its 9-month report 2023.
The weak economic situation in Germany has increasingly clouded GESCO Group's business environment in recent months, dashing hopes of an upturn in the second half of the year. Consumers' reluctance to spend is leading to a decline in demand in the German economy, which is now also being felt in part by our subsidiaries and is reflected in the 9-month figures: Group sales in the first 9 months of 2023 totalled € 430.7 million (9M 2022: € 435.4 million). Group operating EBIT totalled €31.2 million in the first nine months (9M 2022: €40.8 million) and Group earnings after minority interests amounted to €19.6 million (9M 2022: €26.3 million)
The main reasons for the decline in sales and, above all, earnings are the poor development in the construction industry and the significant fall in material prices. The fall in material prices for energy, paper and steel, among others, led to a decline in sales at individual subsidiaries due to price adjustments.
In light of this and other current information on the development, non-cash impairments of the investments are unavoidable. However, the impairments will not be recognised until the 4th quarter. These necessary impairments and the slowdown in business momentum prompted the Executive Board to adjust the forecast corridor for the current 2023 financial year on 3 November.
Accordingly, the Executive Board now expects Group sales of € 555 - 575 million for the 2023 financial year and Group earnings after minority interests in the range of € 19.5 - 21.5 million after non-cash impairments of € 5 - 6 million.
The full 9-month report 2023 is available at www.gesco.de/en/investor-relations/financial-reports
Key figures of the GESCO Group (IFRS)
in
01.01.2023 - 30.09.2023
01.01.2022 - 30.09.2022
Change in (in %)
Incoming orders
T€
417.322
459.306
- 9,1
Turnover
T€
430.729
435.422
- 1,1
EBITDA
T€
44.456
54.367
- 18,2
EBIT
T€
31.164
40.838
- 23,7
EBIT margin (in %)
%
7,2
9,4
- 214 bp
EBT
T€
28.815
41.114
- 29,9
Consolidated net income 1)
T€
19.564
26.323
- 25,7
Earnings per share (in €)
€
1,80
2,43
- 25,9
Closing price (in €) 2)
€
21,10
21,50
- 1,9
Employees3)
Quantity
1.904
1.841
3,4
1) After minority interests2) XETRA closing price on the balance sheet date3) Number on the balance sheet date
About GESCO:
GESCO SE is an industrial group ppe with market- and technology-leading companies in the capital goods industry specialising in process, resource, healthcare and infrastructure technology. As a Prime Standard-listed company, GESCO SE gives private and institutional investors access to a portfolio of hidden champions in the industrial SME sector.
10.11.2023 CET/CEST Dissemination of a Corporate News, transmitted by EQS News - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement.
The EQS Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.eqs-news.com
Language:
English
Company:
GESCO SE
Johannisberg 7
42103 Wuppertal
Germany
Phone:
+49 (0)202 24820 18
Fax:
+49 (0)202 2482049
E-mail:
ir@gesco.de
Internet:
www.gesco.de
ISIN:
DE000A1K0201
WKN:
A1K020
Listed:
Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange
Gesco AG is a Germany-based investment company that acquires industrial small and medium-sized enterprises (SMEs). The Company focuses on production process technology, resource technology, health, and infrastructure technology, as well as mobility technology, and operates as a long-term investor. It manages takeovers both through management buyouts (MBOs) and management buy-ins (MBI), and through group spin-offs. It offers machines, production facilities, tools, components, and services from steelmaking to 3Dimension (3D) printing, from medical technology to special purpose mechanical engineering. The Company operates in Germany and its subsidiaries include, among others, Astroplast Kunststofftechnick Gmbh & Co KG, Franz Funke Zerspanungstechnik GmbH & Co KG, Doemer GmbH & Co KG Stanz- und Umformtechnologie, Doerrenberg Edelstahl GmbH, MAE Group, SVT GmbH, Frank Group and Setter Group.