DGAP-News: Hornbach Holding AG & Co. KGaA / Key word(s): Half Year Report Hornbach Holding AG & Co. KGaA: Hornbach Group maintains profitable growth in first half of 2021/22 - Sales and earnings continue at record levels 2021-09-30 / 07:00 The issuer is solely responsible for the content of this announcement.

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Hornbach Group maintains profitable growth in first half of 2021/22 - Sales and earnings continue at record levels

- High customer demand for DIY products has continued in the second year of the pandemic: Half-year consolidated sales grow by 5.1 % to EUR 3.3bn

- Market share expanded in key country markets - Like-for-like growth in Germany continues to be well ahead of sector average

- Online sales surge by 48 % to EUR 593m in first half - Online business now accounts for 19.2 % of total sales (2020/21: 13.6%)

- At EUR 337.2m, adjusted EBIT beats previous year's record - Profitability remains significantly ahead of pre-pandemic levels

- Full-year forecast for 2021/22 confirmed and specified in greater detail: Hornbach Group expects adjusted EBIT in upper third of corridor of EUR 290m to EUR 326m

Key Figures of the Hornbach Group for the 2^nd Quarter and 1^st Half Year at a Glance 


                                                         2^nd Quarter 2^nd Quarter    ± 
(in EUR million, unless otherwise stated)                     2021/22      2020/21 in % 
Net sales at Hornbach Group                                   1,614.3      1,555.1  3.8 
Net sales at Hornbach Baumarkt AG subgroup                    1,509.4      1,456.8  3.6 
of which in Germany                                             764.8        748.6  2.2 
of which in other European countries                            744.6        708.2  5.1 
Like-for-like sales growth (DIY)                                 2.5%        21.4% 
of which in Germany                                              1.7%        24.1% 
of which in other European countries                             3.4%        18.6% 
Net sales at Hornbach Baustoff Union GmbH subgroup              104.6         97.9  6.8 
Gross margin (as % of net sales)                                35.4%        35.2% 
EBIT                                                            168.1        162.2  3.6 
Adjusted EBIT^1)                                                168.1        161.9  3.8 
of which Hornbach Baumarkt AG subgroup                          150.5        147.0  2.4 
Consolidated earnings before taxes                              155.4        150.3  3.4 
Consolidated net income before minority interests               118.4        112.0  5.7 
Earnings per Hornbach Holding share (basic/diluted in EUR)         5.85         5.51  6.2 
Investments                                                     101.9         37.5 >100 
                                                         1^st Half 1^st Half    ± 
(in EUR million, unless otherwise stated)                  2021/22   2020/21 in % 
Net sales at Hornbach Group                                3,292.4   3,132.2  5.1 
Net sales at Hornbach Baumarkt AG subgroup                 3,085.2   2,949.0  4.6 
of which in Germany                                        1,579.7   1,557.0  1.5 
of which in other European countries                       1,505.5   1,391.9  8.2 
Like-for-like sales growth (DIY)                              3.4%     19.4% 
of which in Germany                                           0.7%     24.3% 
of which in other European countries                          6.4%     14.4% 
Net sales at Hornbach Baustoff Union GmbH subgroup           206.5     182.4 13.2 
Gross margin (as % of net sales)                             35.4%     35.6% 
EBIT                                                         337.2     335.6  0.5 
Adjusted EBIT^1)                                             337.2     334.7  0.7 
of which Hornbach Baumarkt AG subgroup                       304.3     307.0 -0.9 
Consolidated earnings before taxes                           312.9     313.5 -0.2 
Consolidated net income before minority interests            236.4     235.0  0.6 
Earnings per Hornbach Holding share (basic/diluted in EUR)     11.69     11.57  1.0 
Investments                                                  156.9      64.7 >100 
Misc. key figures: Hornbach Holding AG & Co. KGaA Group August 31, 2021 February 28, 2021 ± in % 
Shareholders' equity as % of total assets                        46.7 %            44.2 % 
Number of retail stores^2)                                          165               163    1.2 
Sales area in 000 m² (based on BHB)                               1,941             1,918    1.2 
Number of employees                                              24,285            23,279    4.3

Rounding up or down may lead to discrepancies between percentages and totals. Calculation of percentage figures based on EUR 000s. ^1) Adjusted to exclude non-operating income and expenses ^2) of which two Bodenhaus specialist stores Bornheim, September 30, 2021. The Hornbach Group (Hornbach Holding AG & Co. KGaA Group) maintained its profitable growth course in the first half of 2021/22 (March 1 to August 31, 2021) and gained additional market share in the countries where it operates. Consolidated sales in the first six months grew by 5.1 % to EUR 3,292.4m (2020/21: EUR 3,132.2m). Thanks to this pleasing sales performance and to earnings growth in the second quarter, the Hornbach Group's adjusted consolidated operating earnings (adjusted EBIT) exceeded the previous year's record figure in the first half of the year. Based on this strong first-half performance, full-year sales and adjusted EBIT are now expected to reach over the mid point of the forecast range.

"Our half-year results clearly show that consumers are still very keen on making their homes attractive and safe. Customer demand for construction and DIY products remained high in the summer months, although the weather was very unsettled and consumers began to travel much more again. We increased our sales by a further 5.1 % in the first half of 2021/22 and our adjusted EBIT beat the previous year's record figure. That all underlines the performance capacity of our interconnected retail (ICR) approach", commented Albrecht Hornbach, CEO of Hornbach Management AG. "Thanks to ICR, Hornbach significantly outperformed the sector average in Germany and other major country markets, particularly during the difficult period of the pandemic in the first half of the calendar year, and gained further market share

Hornbach Baumarkt AG, the largest operating subgroup (DIY retail) which operated a total of 165 locations and online shops in nine European countries as of August 31, 2021, increased its net sales by 4.6 % to EUR 3,085.2m in the first half of 2021/22 (2020/21: EUR 2,949.0m). New DIY stores and garden centers were opened in the second quarter in Trollhättan (Sweden) and Cluj (Romania). On a like-for-like basis and net of currency items, the DIY stores and garden centers generated sales growth of 3.4 % in the first six months. The online DIY business (interconnected retail; ICR) boosted its sales by 48.4 % to EUR 593m in the first half of the financial year and thus accounted for a 19.2 % share of the subgroup's sales (2020/21: 13.6 %).

Net sales at Hornbach's DIY stores and online shop in Germany rose by 1.5 % to EUR 1,579.7m in the first half of 2021/22 (2020/21: EUR 1,557.0m). Like-for-like sales in Germany increased by 0.7 % over the same period (2020/21: 24.3 %). Net sales in the eight countries outside Germany (other European countries) grew by 8.2 % to EUR 1,505.5m in the first half of 2021/22 (2020/21: EUR 1,391.9m). The international business contributed 48.8 % of the Hornbach Baumarkt AG subgroup's sales (2020/21: 47.2 %). On a like-for-like basis and net of currency items, sales in other European countries grew by 6.4 % (2020/21: 14.4 %).

The Hornbach Baustoff Union GmbH subgroup, which currently operates 34 builders' merchant outlets in south-western Germany and two locations close to the border in France (Lorraine), increased its half-year sales by 13.2 % to EUR 206.5m (2020/21: EUR 182.4m). Operating earnings exceed previous year's record

Thanks to the pleasing sales performance and to earnings growth in the second quarter, the Hornbach Group's key earnings figures for the first half of the year (March 1 to August 31, 2021) surpassed the records set in the previous year's period. EBIT adjusted to exclude non-operating earnings items grew by 3.8 % to EUR 168.1m in the second quarter of 2021/22 (2020/21: EUR 161.9m) and by 0.7 % to EUR 337.2m in the first half of 2021/22 (2020/21: EUR 334.7m). With an adjusted EBIT margin of 10.2 % in the half-year period (2020/21: 10.7 %), profitability remained significantly higher than before the pandemic. Six-month earnings per share rose year-on-year to EUR 11.69 (2020/21: EUR 11.57).

On the level of the Hornbach Baumarkt AG subgroup, the adjusted EBIT of EUR 304.3m almost matched the high previous year's figure (2020/21: EUR 307.0m). Earnings per Baumarkt share are reported at EUR 6.58 (2020/21: EUR 6.62). The Hornbach Baustoff Union GmbH subgroup and Hornbach Immobilien AG subgroup contributed adjusted EBITs of EUR 12.6m (2020 /21: EUR 5.7m) and EUR 29.1m (2020/21: EUR 29.4m) to consolidated earnings.

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September 30, 2021 01:00 ET (05:00 GMT)