Cicor grows double-digit again and creates strong foundation for further expansion

Ad hoc announcement pursuant to Art. 53 LR

Bronschhofen, 23 July 2025 - In the first half of 2025, Cicor Group (SIX Swiss Exchange: CICN) took a significant step towards its ambition of becoming the pan-European leader in its chosen markets as announced in the strategy 2028, expanding market presence into France and Spain. Net sales reached CHF 280.7 million, an increase of 21.4% to the previous year (CHF 231.3 million). With increased momentum in the second quarter, Cicor achieved a positive book-to-bill rate of 1.02 in the reporting period, compared to 0.87 in H1 2024. Underlying profitability developed positively with an EBITDA margin of 11.2% (H1 2024: 10.7%) when excluding the effects from the Éolane France integration. Cicor generated a strong underlying Free Cash Flow of CHF 18.5 million – excluding acquisitions and before integration of Éolane France.

Sales growth of 21.4% was primarily driven by acquisitions, which contributed 24.8% to growth. The further appreciation of the Swiss Franc had a negative impact of -1.4%. Organic growth was positive in Q2; however, for the full first half year, organic growth was -2.1% mainly due to the Advanced Substrates (AS) division. The shift to positive organic growth and a positive book-to-bill rate in Q2 represent a notable development, especially against the backdrop of a persistently weak economic environment.

It is important to note that the distribution of sales across Cicor markets is significantly influenced by the timing of acquisitions: Profectus contributed for the entire 6 month period and is primarily active in industrial applications. Éolane France and Mercury, both with a high share of aerospace & defence (A&D) business, contributed with only 2 months and around 1 month, respectively, to the H1 results. MADES, with its strong A&D exposure, will contribute only for a few months during the second half of 2025. Closing is subject to regulatory approvals. On a pro-forma basis, including all transactions and assuming full 2025 sales from acquisitions, Cicor expects 36% of sales to the industrial sector, 28% to A&D and 19% to healthcare technology. In H1, due to M&A timing, reported sales were 42% to industrial, 22% to A&D and 21% to healthcare technology.

Effective 22 April 2025, Cicor acquired seven Éolane France sites out of bankruptcy (5 in France and 2 in Morocco) adding 890 employees and CHF 125 million in annualised sales to Cicor's strategic markets and establishing a strong footprint in France and Morocco. This acquisition represents a unique opportunity to create value. Despite the complexity of the transaction, all sites remained operational and maintained positive labour relations from day one. Supplier shortages were largely resolved by the end of June, and fiscal and social overdue debts were fully paid by early June. Cicor has achieved full transparency by implementing financial and operational reporting to Cicor standards, providing a solid baseline for performance improvement.

Due to the nature of acquiring Éolane France out of bankruptcy, Cicor's investment is only partially reported as purchase price, with other elements reflected in Free Cash Flow and operating profits. Cicor paid a purchase price of CHF 7.3 million and recorded transaction costs of CHF 2.5 million, while the business included CHF 3.7 million in cash, resulting in a net cash outflow of CHF 6.2 million at closing. Rebuilding net working capital, settling open claims, and managing the transition led to a negative Free Cash Flow of CHF -9.1 million and a negative EBITDA of CHF -2.5 million. In total, Cicor has invested CHF 15.3 million to acquire and integrate the business. As Cicor acquired CHF 23.2 million of assets from Éolane France, a negative goodwill of CHF 12.9 million was recorded and offset against equity. Integration is progressing well according to Cicor’s M&A playbook, with the focus now on progressively improving profitability to Cicor levels.

Reconciliation of the impact of the Eolane acquisition
To make reported financial results more easily comparable with previous year and to identify the effects from the Éolane transaction, an illustrative table is shown below:

The Cicor Group is a globally active provider of full-cycle electronic solutions from research and development to manufacturing and supply chain management. Cicor’s approximately 4,300 employees in 12 countries are serving leaders from the medical, industrial and aerospace & defence industries. Cicor creates value to its customers through the combination of customer-specific development solutions, high-tech components, as well as electronic device manufacturing. The shares of Cicor Technologies Ltd. are traded at the SIX Swiss Exchange (CICN). For further information, please visit the website www.cicor.com.