Gilching (pta008/25.02.2025/08:45) –
* Q1 sales of €21.4 million below previous year’s figure of €23.8 million due to structural and economic effects
* Cost-cutting measures introduced are showing initial positive effects
* EBITDA increases from €0.6 million to €1.0 million
* Management Board confirms positive outlook for 2024/25 financial year
In the first quarter of the 2024/25 financial year, the continued reluctance to invest was noticeable. Also, some larger orders were postponed from December to January and thus to the following quarter. In addition, the discontinuation of unprofitable product areas had a noticeable impact on sales. Overall, the Hoenle Group generated sales of T€ 21,411 in the first three months of the 2024/25 financial year. In the same quarter last year, sales amounted to T€ 23,787.
The cost-cutting measures implemented, including the termination of previously unprofitable product areas, led to an improvement in earnings despite the lower sales level. The operating result before depreciation (EBITDA) rose from T€ 605 in the previous year to T€ 1,025 in the current financial year. The cost of materials ratio improved from 40.1% to 37.3%. The gross profit of T€ 14,271 therefore was merely 1.1% lower than the previous year’s figures. Personnel expenses were 1.2% higher at T€ 10,074 compared to the same period last year. Other operating expenses were reduced by 17.2% to T€ 3,168.
After depreciation, the operating result (EBIT) was T€ -357 (previous year: T€ -779) and after taxes the consolidated loss was T€ -578 (previous year: T€ -861), which corresponds to earnings per share of € -0.10 (previous year: € -0.15).
Focus on core business and improvement of profitability
The Hoenle Group has initiated several measures and has already implemented some of them, thus laying the foundation for successful business development. These include the implementation of cost-saving measures that will take effect in the course of the 2024/25 financial year. Unprofitable product lines will no longer be pursued and were discontinued. Investments that were not part of the core business were sold. In the future, R&D activities will focus more on a platform strategy and modularisation. In order to increase the profitable after-sales, Hoenle has set up a Life Cycle Solutions organisation. And the restructuring of the business units already described will also have a positive effect on the processes. It is geared far more towards the needs and requirements of customers than the previous segmentation. All measures form the basis for prospective increasing sales in the business units and improving EBITDA in these business units.