EQS-News: R. STAHL with substantial increases in profitability, sales and order intake in financial year 2023

R. STAHL with substantial increases in profitability, sales and order intake in financial year 2023

• Group sales up 20.5% to € 330.6 million
• Order intake jumps 9.3% to € 342.5 million
• Significant improvement in profitability: EBITDA pre exceptionals improves by 73.0% to € 38.6 million, EBITDA margin pre exceptionals increases from 8.1% to 11.7%
• Potential impairment of Russian investment ZAVOD Goreltex

Waldenburg, 15 February 2024 – According to preliminary figures, R. STAHL saw significant improvements in all key figures in financial year 2023.

The recovery of the procurement markets and forward-looking inventory build-up led to strong sales growth in 2023. This enabled R. STAHL to increase sales for full year 2023 by 20.5% to € 330.6 million (previous year: € 274.3 million). The forecast corridor was between € 305 million and € 320 million.

Order intake at the specialist for explosion protection solutions was up 9.3% to € 342.5 million in 2023 (previous year: € 313.5 million). Order activity lost momentum in the second half of the year due to a general economic slowdown and decline in demand from the German chemical industry. Since the beginning of 2024, order intake has shown an encouraging rebound. Because order volume once again exceeded sales in the past financial year, order backlog increased to € 115.1 million at the end of 2023 (previous year: € 109.4 million).

R. STAHL significantly improved its operational profitability in the past financial year. The company increased EBITDA pre exceptionals by 73.0% or € 16.3 million to € 38.6 million (previous year: € 22.3 million). The figure was thus within the forecast range of € 35 million to € 40 million (previously: € 30 million to € 36 million), which was adjusted upward in November 2023. The company increased its profitability as measured by the EBITDA margin from 8.1% in the previous year to 11.7%.

R. STAHL also improved its cash flow from operating activities in 2023, increasing this figure by € 8.2 million to € 14.2 million (previous year: € 6.0 million). Free cash flow improved by € 4.7 million to € +0.3 million (previous year: € -4.4 million). R. STAHL had most recently forecast a figure in the low single-digit negative million euro range.

In light of current developments, there is the potential for a full impairment of the 25% investment in the Russian company ZAVOD Goreltex Co. Ltd, St. Petersburg, in the 2023 annual financial statements. The carrying amount of the investment was € 10.3 million as at December 31, 2023. An impairment would have a negative impact on the financial result. It would not affect liquidity and would also have no impact on EBITDA pre exceptionals. The company already wrote down outstanding dividend receivables of € 1.9 million from ZAVOD Goreltex in the fourth quarter of 2023. This effect is included in EBITDA pre exceptionals as other operating expenses.

 “The very strong business development in 2023 underscores the effectiveness of the EXcellence 2030 corporate strategy. R. STAHL was able to further stabilize and consolidate its market position in 2023 despite a challenging environment. The company will take advantage of the opportunities that arise in our market, which is experiencing medium and long-term growth, so that we can continue to generate sustainable success”, says Dr. Mathias Hallmann, CEO at R. STAHL.

The figures and forward-looking statements in this press release relating to 2023 are preliminary. R. STAHL will provide an outlook for 2023 together with the release of its audited Annual Report 2023 on 17 April 2024.

Key figures of the R. STAHL Group pursuant to IFRS ¹⁾

¹⁾ Preliminary figures; the final and full figure set as well as the Annual Report 2023 will be released on 17 April 2024.
²⁾ Exceptionals: restructuring charges, non-scheduled depreciation and amortization, charges for design and  implementation of IT projects, M&A costs as well as profit and loss from the disposal of non-current assets no longer required for business operations.
³⁾ Cash and cash equivalents less interest-bearing loans, excl. pension provisions and without lease liabilities
⁴⁾ excl. apprentices

Percentages and figures in may include rounding differences. The signs used to indicate rates of changes are based on mathematical aspects. Rates of changes > +100% are shown as >+100%, rates of change <-100% as „n/a“ (not applicable)

Financial Calendar 2024
21 March    Solventis Aktienforum, Frankfurt/M.
17 April       Annual Report 2023
08 May       Interim Report Q1 2024
27 June      31^st Annual General Meeting
08 August   Interim Report H1 2024
06 Nov.       Interim Report Q3 2024

About R. STAHL – www.r-stahl.com
R. STAHL is the world's leading supplier of electrical and electronic products and systems for explosion protection. These products and systems prevent explosions in hazardous areas and contribute to the safety of people, machines and the environment. The portfolio ranges from products used in switching/distributing, installing, operating/monitoring, lighting and signalling/alarming up to automation.

Typical customers are the chemical and pharmaceutical industry, the oil & gas industry - including LNG applications - as well as the food and beverage industry. Most of the R. STAHL products are also approved for use with hydrogen. According to preliminary figures,in 2023 global sales amounting to around € 330,6 million were generated by 1,721 employees. The shares of R. STAHL AG are traded on the Regulated Market/Prime Standard of Deutsche Boerse (ISIN DE000A1PHBB5).

Forward-looking statements
This release contains forward-looking statements based on assumptions and estimates of R. STAHL’s management. Although we assume that the expectations of these forward-looking statements are realistic, we cannot guarantee that these expectations will prove to be correct. The assumptions may involve risks and uncertainties that could cause the actual results to differ materially from the forward-looking statements. Factors that may cause such discrepancies include: changes in the macroeconomic and business environment, exchange rate and interest rate fluctuations, the roll-out of competing products, a lack of acceptance of new products or services, and changes in business strategy. R. STAHL does not plan to update these forward-looking statements nor does it accept any obligation to do so.