POLYTEC HOLDING AG: Results 1. quarter 2023

Hörsching (pta009/11.05.2023/07:49 UTC+2)

.

Key figures Q1 2023

* Group sales revenues EUR 167.8 million (Q1 2022: EUR 148.8 million)

* EBITDA EUR 8.4 million (Q1 2022: EUR 11.0 million)

* EBITDA margin 5.0% (Q1 2022: 7.4%)

* EBIT EUR 0.2 million (Q1 2022: EUR 2.9 million)

* EBIT margin 0.1% (Q1 2022: 1.9%)

* Earnings after tax minus EUR 1.3 million (Q1 2022: EUR 1.7 million)

* Earnings per share minus EUR 0.06 (Q1 2022: EUR 0.07)

* Equity ratio 42.0% (31.12.2022: 43.0%)

* Net debt EUR 60.0 million (Q1 2022: EUR 105.7 million)

* Employees as at 31.03.2023 (incl. leasing personnel, FTE) 3,884 (31.03.2022: 3,450)

.

The POLYTEC Group's consolidated sales revenues in the first three months of 2023 totalled EUR 167.8 million and were therefore 12.8% higher than in the same period of the previous year (Q1 2022: EUR 148.8 million). The increased sales revenues are due, on the one hand, to raised sales prices and, on the other hand, to higher production volumes.

In the months from January to March 2023, the Passenger Cars & Light Commercial Vehicles market area, which with 74.3% (Q1 2022: 74.1%) is the POLYTEC GROUP's strongest in terms of sales, generated revenues of EUR 124.7 million. This figure was 13.2%, or EUR 14.5 million, higher than the comparable value for the preceding year (Q1 2022: EUR 110.2 million).

On a year-on-year basis, sales revenues in the Commercial Vehicles market area (share of total sales: 17.7%; Q1 2022: 14.7%) rose by 35.6% from EUR 21.9 million to EUR 29.7 million.

As opposed to the first three months of the previous year, the sales revenues of the Smart Plastic & Industrial Applications market area were markedly lower, falling by 19.8% to EUR 13.4 million. Sales to a major customer saw a sizeable reduction and therefore overall, the share of the market area in the POLYTEC GROUP's consolidated sales during the period under report declined by 3.2 percentage points to 8.0% (Q1 2022: 11.2%).

In the first three months of 2023, POLYTEC GROUP EBITDA totalled EUR 8.4 million (Q1 2022: EUR 11.0 million) and as compared to the same period of the previous year, the EBITDA margin fell by 2.4 percentage points from 7.4% to 5.0%. Production bottlenecks resulting of significant delays in the delivery of production equipment and the increased number of employees had a marked negative impact on the Group's earnings situation in the first quarter of 2023. Furthermore, ongoing cost increases represent a further challenge for the organisation.

Group EBIT in the first quarter 2023 totalled EUR 0.2 million (Q1 2022: EUR 2.9 million). As opposed to the same period of 2022, the EBIT margin was 1.8 percentage points lower, coming from 1.9% to 0.1%.

The financial result for the first three months of 2023 totalled minus EUR 1.2 million (Q1 2022: minus EUR 0.6 million). The consolidated earnings after tax for the first quarter of 2023 amounted to minus EUR 1.3 million (Q1 2022: EUR 1.7 million), which corresponded to earnings per share of minus EUR 0.06 (Q1 2022: EUR 0.07).

In comparison to the figure for 31 December 2022, on 31 March 2023 the Group's balance sheet total was EUR 10.8 million higher at EUR 562.0 million. The equity ratio was 1.0 percentage point lower than on the annual reporting date at 42.0% and thus remained at a healthy level.

In relation to the 31 December 2022 reporting date, net debt amounted to EUR 60.0 million and remained at the same level (31.12.2022: EUR 59.8 million). The gearing ratio stayed exactly at 0.25. On the 31 March 2023 reporting date, the POLYTEC GROUP disposed over cash and cash equivalents of EUR 55.5 million (Q1 2022: EUR 22.0 million).

The Board of Directors will propose the distribution of a dividend for the 2022 financial year of EUR 0.10 per eligible share to the 23rd Ordinary Annual General Meeting to be held on 9 June 2023.

.

Outlook 2023 financial year

Subject to the assumption that a slight market recovery, a normalisation of call-off volatility, several new product launches and a stabilisation of the supply chains all occur, in the 2023 financial year the POLYTEC GROUP management anticipates consolidated sales revenues in the range of EUR 650 million to EUR 700 million.

However, the various production bottlenecks resulting from significant delays in the delivery of production equipment, which were already evident at the end of 2022, will continue to cause additional costs in 2023. Furthermore, ongoing cost increases represent a further challenge for the organisation. Nonetheless, the management expects that as compared to the previous year, EBIT (earnings before interest and taxes) for the full year will improve significantly.

Even so, achieving this outlook is subject to unpredictability and from a current perspective, the risks associated with the war in Ukraine and high inflation coupled with the possibility of falling consumption constitute the greatest uncertainties for the current financial year.

In the medium-term, the POLYTEC GROUP considers itself to be in an extremely solid strategic position with regard to its ability to transform the changes in the automotive sector into increasing economic success for itself. The high volume of new orders received in the 2022 financial year indicates that with its product portfolio, particularly in the area of e-mobility, the POLYTEC GROUP possesses an excellent market standing and can face the future with confidence.

.

The Q1 interim report of POLYTEC Holding AG as at 31 March 2023 closing date is available for downloading on the Investor Relations, publications section of the Group's website.

https://www.polytec-group.com/en/investor-relations/publications

(end)

Emitter:	POLYTEC HOLDING AG Polytec-Straße 1 4063 Hörsching Austria
Contact Person:	Paul Rettenbacher
Phone:	+43 7221 701 292
E-Mail:	paul.rettenbacher@polytec-group.com
Website:	www.polytec-group.com
ISIN(s):	AT0000A00XX9 (Share)
Stock Exchange(s):	Vienna Stock Exchange (Official Trade)