KION Group reported a solid set of results for the second quarter, with revenue in line at EUR 2.88bn (+1.4% yoy) and adjusted EBIT above consensus estimates at EUR 220m. The company's performance was driven by higher selling prices, material price stability in ITS, efficiency measures in SCS and growth in high-margin services. However, order intake remained subdued at EUR 2.64bn, down 8% yoy. KION has narrowed its FY24 revenue and adjusted EBIT guidance, with the midpoint pointing to flat revenue and slightly lower margins in H2 vs. H1. mwb research’s analysts refine their estimates, resulting in an unchanged price target of EUR 46.00 and reiterate their BUY recommendation. The full update can be downloaded under https://www.research-hub.de/companies/Kion%20Group%20AG

KION announced that its Q2 consolidated net income before minorities is expected to be EUR 69m, missing the consensus expectation of EUR 93m, due to a EUR 22m goodwill impairment for the KION ITS Americas unit, which will also impact the fiscal year 2024 net profit. The impairment has fully written off the goodwill for KION ITS Americas, eliminating the risk of further impairments for this unit. mwb research’s analysts anticipate Q2 results to otherwise be in line with expectations, with revenues slightly up year-over-year and adjusted EBIT matching Q1 levels. Order intake is expected to recover from Q1's low level. Consequently, despite a slow start in Q1, mwb research’s analysts upgrade from HOLD to BUY with unchanged estimates and an unchanged price target of EUR 46.00. The full update can be downloaded under https://www.research-hub.de/companies/Kion%20Group%20AG

Kion Group’s Q1 2024 revenues beat consensus by a marginal 1%, while adj. EBIT was 4% better than expected on a better mix at new trucks business and healthy service business share. The top-line grew 3% yoy to EUR 2.86bn, as growth in the Industrial Trucks & Services (IT&S) business was largely offset by a decline in Supply Chain Solutions (SCS). However, order intake of EUR 2.44bn (+2% yoy) disappointed, falling short of consensus by 7% on lower truck bookings in the Americas, though intake in Asia Pacific was robust and that in EMEA was broadly stable. Amid expectations of mixed demand across regions, the company had issued cautious guidance for 2024, giving a wide yoy range for revenues (-2% to +5% yoy) and adj. EBIT (flat to +19% yoy; EUR 790m-EUR 940m), which it confirmed. mwb research’s analysts are optimistic on IT&S business benefitting from easing supply chain and agility measures and SCS’ margins improving upon the completion of lower-margin legacy projects (majority to be closed in 2024). mwb research confirms the price target of EUR 46.00 and HOLD rating on the stock. The full update can be downloaded under https://www.research-hub.de/companies/Kion%20Group%20AG

Kion Group reported detailed Q4 2023 numbers. As forewarned, net income was weak at EUR 83m during the quarter (+137% yoy; a 30% miss at the time of pre-release), owing to multiple one-offs. Overall Q4 results were satisfactory – total revenues were 4% better than consensus, order intake was a 5% beat, and adj. EBIT was broadly in line. Amid expectations of mixed demand across regions, the company issued cautious guidance for 2024, giving a wide yoy range for revenues (-2% to +5% yoy) and adj. EBIT (flat to +19% yoy; EUR 790-940m), which is understandable. In the view of AlsterResearch, the easing supply chain and commercial and operational agility measures should support the Industrial Trucks & Services (IT&S) business. SCS’ margins should also improve upon completion of lower-margin legacy projects; management expects a majority of them to be closed in 2024, with only a few spilling over to 2025. Taking the full set of figures into account, AlsterResearch’s analysts introduce FY26 estimates and confirm their price target of EUR 46.00. Following the recent rise in the share price, AlsterResearch’s analysts switch from BUY to HOLD. The full update can be downloaded under https://www.research-hub.de/companies/Kion%20Group%20AG

Kion Group reported preliminary Q4 numbers that missed consensus estimates in terms of net income by 30% while adjusted EBIT at Supply Chain Solutions (SCS) fell short by 22%. Results were impacted by one-offs (including increased expenses related to completion of a client project at SCS) and higher interest expense. Encouragingly, free cash flow (FCF) surpassed the group’s 2023 guidance, and management stated that all other key line items for Q4 and full year were in line with market expectations and guidance. Overall, 2023 results have been decent, and AlsterResearch’s analysts look forward to more colour on the 2024 outlook at the time of the full release (on 29 February). AlsterResearch’s analysts reiterate their BUY recommendation at an unchanged price target of EUR 46.00. AlsterResearch’s analysts shall revisit their estimates after the full results are available. The full update can be downloaded under https://www.research-hub.de/companies/Kion%20Group%20AG