Dräger with strong demand in the first quarter of 2025

Dräger with strong demand in the first quarter of 2025

• Order intake exceeds high prior-year figure
• Net sales close to prior-year level
• Operating result narrowly positive

Lübeck – Drägerwerk AG & Co. KGaA increased its order intake in the first quarter of 2025 thanks to strong demand. At around EUR 861 million, order intake exceeded the high prior-year figure by around EUR 50 million (Q1 2024: EUR 810.8 million). At around EUR 730 million, net sales almost reached the prior-year level (Q1 2024: EUR 735.8 million). Earnings before interest and taxes (EBIT) amounted to EUR 0.4 million in the seasonally weak first quarter (Q1 2024: EUR 15.1 million). The EBIT margin amounted to 0.1 percent (Q1 2024: 2.0 percent).

“Measured by order volume, the first quarter of 2025 has been the best first quarter for us since the record year of 2020,” says Stefan Dräger, Chairman of the Executive Board of Drägerwerk Verwaltungs AG. “This shows that our ‘Technology for Life’ is still very much in demand.”

Rising demand in both divisions
In the first quarter of 2025, the Group's order intake increased by 6.1 percent (net of currency effects) to EUR 860.8 million (Q1 2024: EUR 810.8 million), in particular due to the significant growth in the Europe, Middle East, and Africa (EMEA) region. Demand also increased in the Americas and Asia-Pacific (APAC) regions.

In the medical division, order intake increased by 4.2 percent (net of currency effects) to EUR 473.7 million (Q1 2024: EUR 453.7 million) following a decline in the same quarter of the prior year. This was due to higher demand in almost all product areas.

In the safety division, order intake rose by 8.4 percent (net of currency effects) to EUR 387.1 million (Q1 2024: EUR 357.2 million). The main growth driver was the Engineered Solutions area, which doubled its order volume due to high demand in almost all regions. Order intake for gas detection devices, respiratory and personal protection products and alcohol detection devices also increased significantly.

Slight decline in net sales in both divisions
Net sales in the medical division fell by 1.6 percent (net of currency effects) to EUR 413.1 million in the first quarter of 2025 (Q1 2024: EUR 417.4 million). Growth in the APAC and Germany regions was offset by a decline in the EMEA and Americas regions.

In the safety division, net sales were roughly on par with the prior-year level (Q1 2024: EUR 318.4 million) with decline of 0.6 percent (net of currency effects) to EUR 317.2 million. In the APAC region, net sales increased significantly. The Germany and Americas regions also recorded an increase in net sales. However, this was unable to compensate for the decline in the EMEA region.

Earnings positive but below prior year
The gross margin increased to 45.8 percent in the first quarter of 2025 (Q1 2024: 45.3 percent). The safety division was the margin driver with an increase of 2.2 percentage points.

Our functional expenses were 4.7 percent higher (net of currency effects) than in the same quarter of the prior year. The main reason for this was the increase in personnel expenses, partly as a result of a one-off payment for employees in Germany due to collective wage agreements.

Due to the lower net sales volume and the increase in functional expenses, EBIT amounted to EUR 0.4 million in the first quarter of 2025 and therefore fell short of the prior-year figure (Q1 2024: EUR 15.1 million). The EBIT margin amounted to 0.1 percent (Q1 2024: 2.0 percent).

Annual forecast confirmed
For the current fiscal year, Dräger continues to expect an increase in net sales of 1.0 to 5.0 percent (net of currency effects) and an EBIT margin of 3.5 to 6.5 percent. The potential impact of US customs policy on our business performance is not yet foreseeable and is therefore not included in our forecast. This also applies to the potential impact of exchange rate effects.

“The high demand for our ‘Technology for Life’ makes us confident that we will make up for the seasonal shortfall in net sales over the course of the fiscal year,” says Stefan Dräger.

Further information is available in the financial report at www.draeger.com.

Disclaimer
This press release contains statements on the future development of Dräger Group. These forward-looking statements are based on the current expectations, presumptions, and forecasts of the Executive Board as well as the information available to date. They were compiled to the best of the company’s knowledge. Dräger does not provide any warranty nor assume any responsibility for the future developments and results described above. These are dependent on a number of factors. They entail various risks and contingencies outside of the company’s influence and are based on assumptions which could prove to be incorrect. Dräger does not assume any responsibility for updating the forward-looking statements contained in this report. This does not infringe any legal stipulations on the adjustment of forecasts. Information on the financial indicators used (incl. alternative performance measures) can be found on our corporate website www.draeger.com in our Investor Relations section.