Dr. Hönle AG: Hönle takes non-cash impairment into account in the 2020/2021 financial year – outlook remains positive

Gilching (pta040/24.11.2021/18:30 UTC+1)

The assumptions made as part of the planning and now adjusted for the business development of a subsidiary of Dr. Hönle AG leads to non-cash impairment losses in the group in the fourth quarter. The impairments relate to goodwill in the amount of 3.4 million euros and other items on the assets side of the balance sheet in the amount of 4.1 million euros. The impairments essentially result from the assumption that the sales of Raesch Quarz (Germany) GmbH in the existing sales markets will grow more slowly in the next five years than originally planned. The impairment test carried out resulted in an impairment requirement, since the future achievable income is below the book value of the cash-generating unit. The goodwill of Raesch Quarz (Germany) GmbH is written down in full.

The adjusted operating result (adjusted EBIT) of the Hönle Group is expected to be around 8 million euros in the 2020/2021 financial year, as expected. The operating result (EBIT), taking into account the special effects, is expected to amount to around 0.5 million euros.

Outlook

The order backlog of the Hönle Group at the end of the financial year was around 80% above the previous year's level and represents an excellent starting point for the new financial year.

The Management Board also sees very good growth opportunities in the area of ​​UVC air purification. The extremely tense pandemic situation in connection with public funding programs will contribute to strong business development. In the medium to long term, the board of directors assumes that air cleaning systems will prevail in schools and daycare centers as well as in various other facilities as a standard solution for reducing the risk of infection with SARS-CoV-2 viruses, other cold viruses as well as bacteria and fungi. In the 2021/2022 financial year, it is therefore assumed that sales will develop very well in this business area. The board of directors expects an additional annual sales volume of 15 to 40 million euros with UV air disinfection devices.

In addition, the Management Board sees good development in the business with drying systems for the printing press market, which is also underpinned by the high order backlog.

Increasing sales of lamps and components for disinfection systems will contribute to very good business development at uv-technik Speziallampen GmbH in the 2021/2022 financial year.

Strong business development is also expected in the Adhesives segment in the new financial year. The ongoing customer projects and the enlarged customer base will contribute to this. In order to be able to represent the planned growth, both the development and sales capacities in the adhesives segment will be increased again. In addition, another managing director will be hired, who will be responsible for international adhesives sales.

Due to the high order backlog and the good business prospects, the Management Board expects the Hönle Group to see a significant improvement in sales and earnings in the 2021/2022 financial year compared to sales and the adjusted operating result of the previous year.

The preliminary figures for the 2020/2021 financial year will be published on December 1st, 2021.

About Hönle

Dr. Hönle AG is a listed technology company headquartered in Gilching. With its nearly 700 employees, the Hönle Group develops innovative solutions for a wide range of industrial manufacturing processes. One focus of its business activities is the development and sale of industrial adhesives and casting compounds. In addition, the Company manufactures equipment for ink and paint drying, adhesive and plastic curing as well as for air, water and surface sterilization and sunlight simulation. The Group also produces UV lamps for disinfection and drying processes, among others, and manufactures tubes and semi-finished products made of quartz glass, which are used in various branches of industry. The Hönle Group supplies technology and world market leaders worldwide and is represented by its own companies or partner companies in more than 20 countries.

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Emitter:	Dr. Hönle AG Nicolaus-Otto-Str. 2 82205 Gilching Germany
Contact Person:	Peter Weinert
Phone:	+49 8105 2083 173
E-Mail:	peter.weinert@hoenle.de
Website:	www.hoenle.de
ISIN(s):	DE0005157101 (Share)
Stock Exchange(s):	Regulated Market in Frankfurt; Free Market in Berlin, Dusseldorf, Hamburg, Hannover, Munich, Stuttgart, Tradegate