Vossloh Aktiengesellschaft: Vossloh performs strongly in the first half of the year and raises sales expectation for 2021
DGAP-News: Vossloh Aktiengesellschaft
/ Key word(s): Half Year Report
Vossloh performs strongly in the first half of the year and raises sales expectation for 2021
Werdohl, July 28, 2021. Vossloh, a long-standing and globally leading provider of products and services related to rail infrastructure, built on the successful first quarter of the 2021 fiscal year and increased its sales and earnings in the second quarter as expected. Group sales for the first half of 2021 came to €462.6 million, an increase of 17.7 percent compared to the previous year's figure (€393.2 million). Every division contributed to this improvement. The business with rail fastening systems provided by far the biggest sales growth in absolute terms. Orders received totaled €459.4 million (previous year: €494.8 million) in the first half of the current fiscal year, roughly equivalent to the significantly improved sales figure. In addition, Vossloh was able to announce the winning of multi-year framework agreements with a total sales volume well in excess of €100 million in the first half of 2021. The framework agreements are not reported directly in the orders received, but only at the time of the call-offs by the customer. EBIT went up to €42.4 million, a notable 41.2 percent rise compared to the previous year's figure of €30.1 million. The EBIT margin rose from 7.6 percent in the first half of 2020 to 9.2 percent in the period under review. EBITDA also went up from €55.0 million to €68.4 million year on year, while the EBITDA margin increased from 14.0 percent to 14.8 percent. The figures for the previous year included a significant one-time effect related to the transitional consolidation of a company in the Core Components division. The increase in earnings and profitability was therefore even more pronounced on an operational basis. The Vossloh Group's financial position also continued to improve. The equity ratio went up considerably to 44.6 percent on the reporting date of June 30, 2021 (previous year: 31.7 percent). Net financial debt (excluding lease liabilities) went down significantly to €200.6 million (June 30, 2020: €358.0 million). These changes were driven mainly by the successful placement of a hybrid note of €150 million in February 2021 as well as the positive free cash flow in Vossloh's core business over the past twelve months. The hybrid note is recognized as equity in accordance with IFRS accounting standards. On July 26, Vossloh signed an agreement to acquire the entirety of Dutch company ETS Spoor B.V. The transaction is due to be completed on July 30, 2021. ETS Spoor is currently a leading provider in the technologically sophisticated and highly innovative Dutch market for rail infrastructure components and services. ETS Spoor has close links with all of the major clients in the region and has a number of well-established business relationships with several partners, including Vossloh. ETS Spoor also has exclusive distribution agreements in place with providers of products and services which Vossloh does not offer. These will round out Vossloh's regional portfolio in the sense of a one-stop shop. This aspect, for instance, is of decisive importance with regard to future-oriented service models. "Our outstanding performance in the first half of the year shows that the path we have chosen is the right one. Our decision to concentrate on our core competence of rail infrastructure is clearly paying off. The process of restructuring that we started in 2019 and meanwhile completed is continuing to bear fruit. After years of improving our operations, we are now turning our attention to shaping our future. The acquisition of ETS Spoor in the Netherlands is another strategically important step forward for us and will play a significant role in our development of innovative and future-oriented service models. Demand for passenger and freight mobility is increasing worldwide. This demand, combined with the growing importance of sustainability, will have a positive impact on our business over the long term. The major investment programs being implemented by countries around the world provide impressive evidence of this trend," said Oliver Schuster, Chief Executive Officer of Vossloh AG. "Our comprehensive and integrated range of products and services is unique worldwide. Our expertise and customer focus are highly regarded in the market. This position of strength and our excellent finances provide Vossloh with a lot of interesting room to maneuver. I am convinced that we will remain on course for profitable growth." Customized Modules division records significant improvement in profitability Consistent performance from the Lifecycle Solutions division Employees Sales guidance for 2021 raised in July
Contact information for the media: Vossloh is a globally active technology Group dedicated for over 135 years to quality, safety, reliability, innovation and a focus on the customer. Vossloh's comprehensive range of track-related products and services make the company a leader in the global market in this area. Vossloh provides a uniquely wide range of services: rail fastening systems, concrete ties, switch systems and crossings as well as innovative and increasingly digital-based services for the entire lifecycle of rails and switches. Vossloh uses its extensive understanding of rail infrastructure to meet the key customer need of track network availability. Vossloh AG * Vosslohstrasse 4 * 58791 Werdohl, Germany * Telephone +49 (0) 239 252-0 * Fax +49 (0) 239 252-538 * www.vossloh.com
28.07.2021 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. |
Language: | English |
Company: | Vossloh Aktiengesellschaft |
Vosslohstr. 4 | |
58791 Werdohl | |
Germany | |
Phone: | +49 (0)2392 52 - 359 |
Fax: | +49 (0)2392 52 - 219 |
E-mail: | investor.relations@vossloh.com |
Internet: | www.vossloh.com |
ISIN: | DE0007667107 |
WKN: | 766710 |
Indices: | SDAX |
Listed: | Regulated Market in Dusseldorf, Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange |
EQS News ID: | 1222128 |
End of News | DGAP News Service |
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1222128 28.07.2021