Dr. Hönle AG: Hönle increases its operating result by 113.6% to € 4.5 million in the first quarter

Gilching (pta025/22.02.2022/11:00 UTC+1)

In the first quarter of financial year 2021/2022, the Hönle Group's revenues rose by 25.3% to T€ 33,418 compared to the prior year quarter. Both the Equipment & Systems and Glass & Lamps segments recorded significant revenue increases. A changed product mix and the lower proportion of sales from adhesives led to a higher cost of materials ratio in the first quarter. Nevertheless, Hönle managed to increase its operating result (EBIT) from T€ 2,119 in the previous year to T€ 4,526 in the reporting year. The operating result includes income of T€ 1,825 from the sale of the corporate building of former Aladin GmbH in Rott am Inn. The pre-tax result (EBT) came to T€ 4,189 after T€ 1,973 in the prior year period. Consolidated profit amounted to T€ 3,198 after income taxes, corresponding to an increase of 96.8%. Earnings per share rose from € 0.27 to € 0.53. The net profit on sales was thus 9.5% in the first quarter (PY: 6.1%).

Outlook

The Management Board expects revenues of between € 130 and € 140 million (PY: € 115.2 million) for the Hoenle Group and an operating result (EBIT) of between € 14 and € 17 million (PY: € 0.3 million) in financial year 2021/22.

Adhesives Segment

The Adhesives segment got off to a slow start in the new financial year. The still existing travel restrictions concerning China had a dampening effect. In the fourth quarter of the financial year, it is assumed that high-volume adhesive projects will be implemented, which are of great importance for the further development of the company.

Given the large number of high-potential adhesives projects, the Management Board assumes strong business development over the medium to long term. A further managing director, responsible for the international sale of adhesives, is to be entrusted with the further opening up of Chinese and US- sales territories, in particular. In addition, the spatial capacities were expanded to include additional state-of-the-art laboratory space for the Research & Development, Application Technology and Quality Assurance areas.

Equipment & Systems Segment

Hönle's SteriWhite Air product line realised sales revenues of € 5.2 million with air disinfection systems in the first three months of the current financial year. Despite the existing subsidy programs for air purifiers in schools and daycare centres, the company thus sold fewer systems than originally planned and, consequently, the sales development of air disinfection equipment in this financial year is expected to be weaker than predicted. The further development of sales in this area will depend significantly on the course of the pandemic and the willingness of potential customers to invest in this technology. However, depending on the development, there is still the possibility that sales will develop better than currently anticipated.

Over the medium to long term, Management expects the business with UV-based disinfection systems to develop into an important pillar for the Hönle Group with a significant increase in sales and earnings contributions.

Moreover, the Management Board believes that the business with drying systems for the printing and coating market and with drying equipment for adhesives will develop favourably. The Management's positive outlook is underpinned by the high level of orders on hand in these application areas.

At present, orders on hand in the Equipment & Systems segment exceed the prior years' level by some 90%. Overall, due to the excellent order intake and the large number of customer projects, a very positive business development is expected for this segment

Glass & Lamps Segment

The high demand for UV lamps in the area of air-and water disinfection has contributed to the excellent business performance at uv-technik Speziallampen GmbH. Prospects in the air and water disinfection business are excellent and strong business development is therefore expected over the medium to long term in this area as well.

Long delivery times for furnace components resulted in delayed deliveries of significant furnaces and, in this context, in a restrained start of the Raesch Group into the new financial year.

Due to the high level of orders on hand, which currently exceeds the previous year's level by 60%, in combination with a strong quartz glass market, the Management Board expects favourable business for the second half of the year.

The complete quarterly report is available at:

https://www.hoenle.com/investor-relation/financial-information#reports

About Hönle

Dr. Hönle AG is a listed technology company headquartered in Gilching, Germany. With its nearly 700 employees, the Hönle Group develops innovative solutions for a wide variety of industrial manufacturing processes. One focus of its activities is the development and sale of industrial adhesives and casting compounds. Moreover, the company manufactures equipment for ink and paint drying, adhesives and plastic curing as well as for air, water and surface disinfection and sunlight simulation. In addition, the corporate group produces UV lamps for disinfection and drying processes, among others, and manufactures tubes and semi-finished products made of quartz glass for use in various branches of industry. The Hönle Group supplies technology and world market leaders worldwide and is represented by its own entities and 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