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Tuesday 12 May, 2020

technotrans SE

technotrans starts the year as expected despite initial effects of the COVID-19 pandemic

DGAP-News: technotrans SE / Key word(s): Quarterly / Interim Statement
technotrans starts the year as expected despite initial effects of the COVID-19 pandemic

12.05.2020 / 06:49
The issuer is solely responsible for the content of this announcement.


Quarterly Communication

 

- Consolidated revenue of EUR 52.2 million in line with expectations

- Announcement of new forecast currently not possible

- Economic conditions of the Group remain solid

Sassenberg, May 12, 2020 - The technotrans Group has started the new financial year in line with expectations. Consolidated revenue in the first quarter of 2020 amounted to EUR 52.2 million, which was 1.7 percent slightly below the previous year. The Group's EBIT declined by 47 percent to EUR 1.8 million compared to the first quarter of 2019. This includes announced extraordinary expenses for structural and personnel adjustments of EUR 1.3 million as well as a positive one-off income of EUR 0.6 million from the release of a provision for a concluded fine proceeding. The EBIT margin fell from 6.3 to 3.4 percent. Due to the currently unforeseeable effects of the COVID-19 pandemic, the Board of Management withdrew the existing forecast for the 2020 financial year on April 30, 2020. The announcement of an updated forecast is not possible at present and will be made at a later point of time. technotrans' financial situation remains sound - Liquidity is assured for the foreseeable future.

"The performance of the technotrans Group in the first quarter was within the forecast ranges, despite the initial adverse effects of the COVID-19 pandemic and weaker business in the printing industry," says Dirk Engel, Spokesman of the Board of Management of technotrans SE.

The downturn in revenue in the printing industry in the first quarter was greater than expected, at around 7 percent. This was due to a weak start to the fiscal year by OEM and end customers. In addition, this sector will be lacking a major impetus for the third and fourth quarters due to the cancellation of drupa. The world's leading trade fair for the printing industry has been postponed to April 2021 as a result of the COVID-19 pandemic.

In markets outside the printing industry, revenue rose by around two percent overall compared with the first quarter of 2019.

Following the difficulties overcome in connection with the new ERP implementation in the past financial year, operating activities at gwk Gesellschaft Wärme Kältetechnik mbH returned to normal. The company achieved quarterly revenue that was above the previous year's level. Revenue in the laser and machine tool industry developed steadily in line with expectations.

In the field of e-mobility, the number of project orders continued to rise, especially for public transport. Compared to the first quarter of 2019, however, revenue of cable cooling systems for high-power charging stations (HPC) are showing a noticeable decline. The reason for this is the continued low availability of fast-loading vehicles. technotrans was consequently unable to match the high level of revenue for the previous year in this area. The other areas of the growth markets, such as medical- and scanner technology, developed positively as expected.

The Technology segment proved stable, with revenue of EUR 38 million in the period under review matching the prior-year level. In contrast, the Services division recorded a 5.5 percent decline in revenue to EUR 14.1 million due to the COVID-19 pandemic. This was due to the partly drastic access restrictions imposed on customers and the limited travel possibilities in some core regions.

Announcement of an updated forecast currently not possible
In view of the far-reaching impact of the COVID-19 pandemic on the global economic environment, the Board of Management expects the technotrans Group to experience burdens in the coming quarters. The health of our employees continues to be our top priority. "In the current situation, the primary goal is to protect all employees from infection and to ensure production for as long as possible.", explains Dirk Engel. The comprehensive pandemic package of measures has proved to be effective to date. Since the spread of the pandemic, business operations have been maintained at almost all locations, especially in the production plants. "In this context, we have taken operational measures, including short-time allowance, and will extend these where necessary to minimise the economic impact of the crisis caused by the pandemic," says Dirk Engel.

"Against the background of the extreme global economic situation, the previous annual forecast is losing its basis for calculation. The impact of this pandemic on the further business progress of the technotrans Group cannot currently be quantified with sufficient accuracy," explains Engel. For this reason, the Board of Management is currently refraining from announcing an updated forecast for the 2020 financial year. A new forecast will only be published as soon as it is sufficiently reliable. "The decisive factor for the further course of business will now be how quickly the economy will return to a new "normality", based on which a new forecast can be derived," says Engel.

Irrespective of the COVID 19 pandemic, the Board of Management remains committed to the strategic reorientation of technotrans. As planned, the Group implemented the first structural measures to streamline the organisation and to increase staff flexibility and efficiency in March. In the course of this, the sales department will also focus more strongly on the end customer markets.

technotrans is now generally well positioned and financially stable. The potential of different markets, the strong customer orientation and the measures initiated to improve the competitive position, both technologically and through cost reduction, form the basis for sustainable growth of the Group. The Board of Management therefore continues to adhere to its strategic medium-term goals.

The Annual General Meeting convened for Wednesday May 20, 2020 will be held virtually for the first time. Video and audio transmission of the entire Annual General Meeting is carried out digitally, as are the exercising of voting rights and the granting of proxies by the shareholders.

For further information, please visit: https://www.technotrans.com

About technotrans SE:

technotrans is a technology company and leading systems supplier of industrial applications in the area of fluid management. The core skills of the Group of companies comprise technological solutions for cooling and temperature control, filtration, handling, measuring and metering.

technotrans technology is used in the printing industry, plastics processing industry, laser and machine tool industry as well as in other markets such as medical and scanner technology, and also electric mobility.

The business model comprises two reporting segments: in the Technology segment, the products and systems are developed and built at production plants in Germany, the USA and China. Through the Services segment, the technotrans Group supplements its range of products with a comprehensive range of services such as installation and maintenance, repairs, parts and Technical Documentation. With 18 locations, technotrans has a presence in all important major markets worldwide.

The strategy of the Group of companies is to increase the value of the company over the long term through sustained revenue and earnings growth. Through technological innovations and targeted acquisitions, the Group of companies is steadily opening up new sales markets and increasing its market penetration.

technotrans is listed in the Prime Standard (ISIN: DE000A0XYGA7 / WKN: A0X YGA) and employs 1,460 people worldwide. It achieved consolidated revenue of EUR 207.9 million in the 2019 financial year.
 

 

Note

This communication contains statements on the future development of the technotrans Group. These reflect the present views of the management of technotrans SE and are based on the corresponding plans, estimates and expectations. We point out that the statements are subject to certain risks and uncertainties which could mean that the actual results differ considerably from those expected.

 

Contact for journalists: Contact for publishing house representatives:
Lukas Schenk
Sputnik GmbH
Press and public relations work
Hafenstr. 9
48155 Münster
Phone: +49 (0)251 62 55 61-131
Fax: +49 (0)251 62 55 61-19
[email protected]
www.sputnik-agentur.de
Frank Dernesch
Investor relations
technotrans SE
Robert-Linnemann-Strasse 17
48336 Sassenberg
Phone: +49 (0)2583 301-1868
Fax: +49 (0)2583 301-1054
[email protected]
www.technotrans.de
 

 

 



12.05.2020 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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Language: English
Company: technotrans SE
Robert-Linnemann-Str. 17
48336 Sassenberg
Germany
Phone: +49 (0)2583 - 301 - 1000
Fax: +49 (0)2583 - 301 - 1030
E-mail: [email protected]
Internet: http://www.technotrans.de
ISIN: DE000A0XYGA7
WKN: A0XYGA
Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich, Stuttgart, Tradegate Exchange
EQS News ID: 1041807

 
End of News DGAP News Service

1041807 12.05.2020 

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