EQS-News: WashTec AG: 2.6% higher EBIT on lower revenue

• Revenue €334.2m in first nine months (prior year: €356.7m) and €114.1m in third quarter (prior year: €120.4m)
• EBIT €27.6m in first nine months (prior year: €26.9m) and €10.9m in third quarter (prior year: €11.5m)
• Free cash flow of €25.0m in first nine months (prior year: €26.8m).
• Guidance for fiscal year 2024 confirmed in its entirety; revenue expected to be within guidance range

Augsburg, November 6, 2024 – The WashTec Group generated revenue of €334.2m in the nine months ended September 30, 2024, down €22.5m or 6.3% on the prior year (€356.7m). At constant exchange rates, the year-on-year fall in revenue was 6.2%. Third-quarter revenue, at €114.1m, was down on the prior year (€120.4m). This is primarily due to the weak business performance in North America, both in key accounts and in the direct sales business.

In total, Group EBIT increased in the first nine months to €27.6m (prior year: €26.9m). The EBIT margin improved to 8.2% (prior year: 7.5%). Third quarter EBIT was €10.9m, slightly down on the prior year (€11.5m). The EBIT margin was 9.6%, as in the prior year.

Free cash flow for the first nine months, at €25.0m, was lower than the prior year (€26.8m), mainly due to the increase in net operating working capital relative to December 2023.

Following the growth in the second quarter, orders received also increased year on year in the third quarter, with the total for the first nine months now also exceeding the prior year. Orders received in the direct sales business also improved in the third quarter and through to the end of September were on a par with the prior year. As a result of the improvement in orders received, the order backlog at the end of September was above last year’s level in both Europe and North America. The positive trend in orders received in recent months is not yet reflected in revenue.

The WashTec Group confirms the guidance for fiscal year 2024 and expects revenue on a similar level to the prior year (±3%) and an increase in EBIT in the mid single-digit percentage range. WashTec currently expects revenue to be at the lower end of the guidance range.

“The third quarter also went satisfactorily for WashTec, with a further increase in orders received and an EBIT margin of 9.6%. We have used the past few months to further optimize our range with regard to Total Customer Care. The latest development is our AUWA Magic Care – a novel high-gloss polish for which we have received excellent feedback in initial field tests. The market launch will be in January 2025. This is one small piece of the picture confirming that WashTec is well on track”, said Michael Drolshagen, CEO of WashTec AG.

The full Q3 statement and further information about WashTec can be found on the WashTec: Investor Relations Website.
About WashTec:
The WashTec Group, based in Augsburg, Germany, is the leading provider of innovative carwash solutions. WashTec employs around 1,700 people worldwide and has subsidiaries in the markets of Europe, North America and Asia/Pacific. In addition, WashTec is on the map in some 80 countries through independent dealers.
Key figures:
 

€m, IFRS	Q1-Q3 2024	Q1-Q3 2023	Change in %
Revenue	334.2	356.7	-6.3
EBIT	27.6	26.9	2.6
EBIT margin in %	8.2	7.5	70 bp
Net income	17.4	16.9	3.0
Earnings per share1 (€)	1.30	1.26	3.0
Free cash flow	25.0	26.8	-6.7

bp: basis point (1/100th of a percentage point)
 

€m, IFRS	30.09.24	31.12.23	Change abs.
Balance sheet total	274.9	271.3	3.6
Equity	73.3	85.8	-12.5
Equity ratio (%)	26.7	31.6	-4.9
Net operating working capital2	92.9	83.5	9.4

¹ Basis: average of 13,382,324 shares; basic = diluted
² Trade receivables + inventories − trade payables − prepayments on orders

Contact:
WashTec AG
Argonstrasse 7
86153 Augsburg

Tel.: +49 (0)821 - 5584 - 5555
Fax: +49 (0)821 - 5584 - 1135