GEA : raises outlook for 2022 following strong third quarter

EBITDA before restructuring expenses rose by 17 percent in the third quarter to EUR 198.7 million (Q3 2021: EUR 169.9 million). All divisions contributed to this development except for Heating & Refrigeration Technologies due to the divestments in this area. The corresponding EBITDA margin grew by 0.5 percentage points to 14.7 percent (Q3 2021: 14.2 percent).

Profit for the period climbed by 32 percent to EUR 107 million (Q3 2021: EUR 81.1 million). Earnings per share increased accordingly to EUR 0.61 (Q3 2021: EUR 0.45) and earnings per share before restructuring expenses improved to EUR 0.66 (Q3 2021: EUR 0.48).

Net liquidity declined to EUR 235.1 million as of September 30, 2022, compared with EUR 358.4 million in the prior-year period, due to the share buyback program and the increase in net working capital. Net working capital as a percentage of revenue increased to 8.9 percent (Q3 2021: 7.2 percent). This increase is attributable to higher inventories due to the ongoing supply chain bottlenecks and the increase in safety stock.

Despite the higher net working capital, capital employed (averaged over the last four quarters) remained virtually unchanged at EUR 1,635 million. Accordingly, return on capital employed (ROCE) increased from 24.6 percent to 30.6 percent.