Semperit with challenging first quarter of 2025 – recovery expected in the second half of the year

Semperit with challenging first quarter of 2025 – recovery expected in the second half of the year

• Revenue reaches EUR 151.7 million and EBITDA EUR 11.1 million
• Recovery of the order situation in March and April
• Robust balance sheet with equity ratio of 46% and EUR 128 million in liquidity
• Outlook for operating EBITDA in the range of EUR 65 million to EUR 85 million confirmed

Wien, 14 May 2025 – The Semperit Group’s business performance in the first quarter of 2025 was characterized by a persistently difficult market environment. Order activities remained subdued in most areas, with customers postponing projects due to increased uncertainty. This had a negative impact particularly on the conveyor belt business (Belting). Revenue amounted to EUR 151.7 million (–13.8%) and EBITDA to EUR 11.1 million (–51.6%). Operating EBITDA (before project costs) was EUR 11.9 million.

“The first few months of 2025 were not only marked by a persistently difficult market environment, as expected, but also brought greater uncertainty with the tariff conflict initiated by the US. This led to further delays in our customers’ investment decisions and cautious ordering activity,” says Semperit CEO Manfred Stanek. “However, we are cautiously optimistic and expect a recovery in the second half of the year. After a weaker start, the order situation improved in March and April and exceeded the previous year’s figures. We are also continuing our cost-cutting measures. The infrastructure program in Germany, rising defense expenditures in the European Union, and efforts to rebuild Ukraine are also clear positive drivers for our business in the medium term,” Stanek continued.

Free cash flow – net cash flow adjusted for interest payments and available for strategic investments, dividends and debt repayment – increased to EUR 8.7 million (previous year: EUR 3.5 million) due to reduced investments.

The Semperit Group has a robust balance sheet and financing base with an equity ratio of 46.1% (31 December 2024: 47.2%) and a conservative debt ratio of 1.4x (31 December 2024: 1.2x) based on net financial debt in relation to EBITDA. Liquidity reserves amounted to EUR 128.4 million, and undrawn credit lines of EUR 100 million are also available.

Outlook

The outlook for the 2025 financial year has been confirmed, with operating EBITDA expected to range between EUR 65 million and EUR 85 million. The costs for the digitalization project that will affect earnings will amount to around EUR 5 million.

Earnings development in Q1 2025 in detail:

The Semperit Group, which focuses exclusively on industrial customers with its two divisions Semperit Industrial Applications (SIA) and Semperit Engineered Applications (SEA), generated revenue of EUR 151.7 million (–13.8%). The Semperit Industrial Applications (SIA) division, which comprises hoses and profiles, generated revenue of EUR 65.5 million (–4.7%) and EBITDA of EUR 11.3 million (–17.4%). This resulted in a margin decline of –2.6 PP to 17.2%. The SEA division (Form, Belting, and Liquid Silicone) generated revenue of EUR 86.2 million (–19.7%), while EBITDA was EUR 4.0 million (–74.5%) and the EBITDA margin 4.6% (–9.9 PP).*

In the Group, inventories of own products increased by EUR 11.0 million in the first three months, mainly due to seasonal factors (previous year: EUR 1.2 million).

Total expenses fell by 1.0% to EUR 154.6 million. Cost of materials (including energy and purchased services) amounted to EUR 76.0 million (previous year: EUR 74.8 million), of which EUR 1.6 million was passed on to the buyer of the medical business as part of the joint use agreement for premises. Personnel expenses decreased by 2.0% to EUR 56.7 million (previous year: EUR 57.8 million). At EUR 21.9 million, other operating expenses were 6.8% below the previous year’s figure (EUR 23.5 million), which was mainly attributable to lower outbound freight charges and commissions for sales agents due to demand, as well as savings in legal, consulting, and auditing expenses.

EBITDA thus amounted to EUR 11.1 million (previous year: EUR 23.0 million) and the EBITDA margin to 7.3% (previous year: 13.0%). Operating EBITDA amounted to EUR 11.9 million (previous year: EUR 23.1 million) and the margin to 7.9% (previous year: 13.1%). EBITDA was adjusted for the effects of the lead project for the Group’s digital transformation of EUR 0.8 million recognized in profit or loss.

Regular depreciation and amortization slightly increased to EUR 12.4 million (previous year: EUR 11.4 million). EBIT was significantly below the previous year’s figure of EUR 11.6 million at EUR –1.3 million.

The financial result amounted to EUR –5.0 million (previous year: EUR –3.6 million), with the deviation primarily due to negative currency effects resulting from the weaker US dollar. Tax expense decreased to EUR 0.9 million (previous year: EUR 2.9 million).

Earnings after taxes amounted to EUR –7.2 million (previous year: EUR 3.6 million), which corresponds to earnings per share of EUR –0.35 (previous year: EUR 0.18).

Overview of the main financial figures of the first quarter 2025:

¹Operating EBITDA: excluding items that affect comparability

*As part of the optimization of the industrial strategy, the mandrel hose product group was transferred from the Semperit Industrial Applications division (Hoses business unit) to the Semperit Engineered Applications division (Form business unit) with effect from January 1, 2025. The comparative figures have been adjusted accordingly.

For further details please see the Semperit Group’s report on the first quarter 2025: https://www.semperitgroup.com/investor-relations/

Contact:

www.semperitgroup.com

www.semperitgroup.com

www.linkedin.com/company/semperit-ag

About Semperit
 

The publicly listed Semperit AG Holding is an internationally oriented group of companies that develops, produces and sells high-quality elastomer products and applications for industrial customers in over 100 countries worldwide through its two divisions, Semperit Industrial Applications and Semperit Engineered Applications. With its highly efficient production and cost leadership, the Semperit Industrial Applications division focuses on industrial applications in connection with large-scale production, including hydraulic and industrial hoses as well as profiles. The Semperit Engineered Applications division comprises the production of escalator handrails, conveyor belts, cable car rings, other engineered elastomer products, as well as the Rico Group (liquid silicone and mold making), and focuses on customized technical solutions. The traditional Austrian company was founded in 1824 and is headquartered in Vienna. The Semperit Group employs around 4,000 people worldwide and has 16 production sites and numerous sales offices in Europe, Asia, Australia and America. In the 2024 financial year, the Group generated revenue of EUR 676.6 million and EBITDA of EUR 84.9 million.

^[] As part of the optimization of the industrial strategy, the mandrel hose product group was transferred from the Semperit Industrial Applications division (Hoses business unit) to the Semperit Engineered Applications division (Form business unit) with effect from January 1, 2025. The comparative figures have been adjusted accordingly.