R STAHL : Interim Report Q1

Interim Report

Q1 2O2O

R. STAHL - Interim Report Q1 2020

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This report is available in German and English language. Both versions can also be found online on our corporate website www.r-stahl.comunder Corporate/Investor Relations/Financial Reports. It contains forward-looking statements based on assumptions and estimates of R. STAHL's management. Although we assume that the expectations of these forward-looking statements are realistic, we cannot guarantee that these expectations will prove to be correct. The assumptions may involve risks and uncertainties that could cause the actual results to differ materially from the forward-looking statements. Factors that may cause such discrepancies include: changes in the macroeconomic and business environment, exchange rate and interest rate fluctuations, the roll-out of competing products, a lack of acceptance of new products or services, and changes in business strategy. R. STAHL does not plan to update these forward-looking statements nor does it accept any obligation to do so.

The contents of this press release are intended to address all genders. For the sake of readability and without any intent to discriminate, only the male form will be used.

Rounding differences and rates of change

Percentages and figures in this report may include rounding differences. The signs used to indicate rates of change are based on economic aspects: improvements are indicated by a "+" sign, deteriorations by a "-" sign. Rates of change >+100% are shown as >+100%, rates of change <-100% as "n/a" (not applicable).

R. STAHL - Interim Report Q1 2020

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R. STAHL GROUP

Key Figures
										Change
in € million			Q1 2020			Q1 2019		in %
Sales	65.1		67.5	-3.6
Germany	16.9		16.2	+4.2
Central region 1)			29.2			29.5		-1.1
Americas	7.2		7.6	-4.5
Asia/Pacific	11.8		14.2	-17.2
Order backlog as of 31 March	79.9		75.8	+5.4
EBITDA pre exceptionals 2)			4.7			7.7		-38.6
EBITDA margin pre exceptionals 2)			7.3%			11.4%
EBITDA	4.7		6.3	-25.7
EBIT	0.5		1.0	-48.6
Net profit	-0.6		0.1		n/a
Earnings per share (in €)	-0.10		0.02		n/a
Cashflow from operating activities	0.9		6.9	-86.6
Depreciation and amortization	4.2		5.3	-21.4
Capital expenditures	2.3		2.6	-10.6

			31 Mar.			31 Dec.		Change
	2020	2019		in %
Total assets	261.1	259.4	+0.7
Equity	59.9	58.4	+2.5
Equity ratio	22.9%	22.5%
Net financial debt 3)		7.7		4.2		+84.8
Net financial debt incl. lease liabilities pursuant to IFRS 16	37.3	36.0	+3.8
Employees 4)	1,686	1,669	+1.0

1. Africa and Europe excl. Germany
2. Exceptionals: restructuring charges, non-scheduled depreciation and amortization, charges for design and implementation of IT-projects, M&A costs as well as profit and loss from the disposal of non-current assets no longer required for business operations
3. excl. pension provision and excluding lease liabilities
4. excl. apprentices

R. STAHL - Interim Report Q1 2020

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INTERIM REPORT

of R. Stahl Aktiengesellschaft for the period 1 January 2020 through 31 March 2020

CONTENTS

2

7

12

14

Group management report

Consolidated interim financial statements

Selected explanatory notes

Financial calendar and contact

R. STAHL - Interim Report Q1 2020

GROUP MANAGEMENT REPORT

• Sales in Q1 2020 declined by 3.6% to €65.1 million (Q1 2019: €67.5 million) - coronavirus pandemic de- lays deliveries
• EBITDA pre exceptionals fell by €3.0 million to €4.7 mil- lion (Q1 2019: €7.7 million)
• Q1 2020 without any notable exceptionals (Q1 2019: €-1.4 million)
• F inancial result improved to €-0.4 million (Q1 2019: €-0.9 million)
• Earnings per share declined to €-0.10 (Q1 2019: €0.02)
• Delayed deliveries led to an increase in working capital and net financial debt

Business performance

2

(Q1 2019: €67.5 million). The key factor in this development was the worldwide restrictions on public life relating to the unexpectedly rapid global spread of the corona- virus as from February 2020, which also caused delays in transport and goods acceptance at several of our cus- tomers. Sales performance declined in all regions except Germany.

Germany registered an increase in sales by 4.2% to €16.9 million (Q1 2019: €16.2 million). Sales in the Central region - consisting of Africa and Europe excluding Ger- many - fell by 1.1% to €29.2 million (Q1 2019: €29.5 mil- lion). The regions of the Americas and Asia/Pacific registered a downturn in sales with a loss of 4.5% to €7.2 million (Q1 2019: €7.6 million) and a decrease of 17.2% to €11.8 million (Q1 2019: €14.2 million) respectively.

In contrast to sales, orders performed well in the quarter under review with a significant increase of 14.2% to €78.8 million (Q1 2019: €69.0 million), achieving the highest quarterly order intake for about four years. Compared to the seasonally weak previous quarter, this represents an increase of 19.7% (Q4 2019: €65.8 million). As a result, the order backlog increased significantly as at the end of the reporting period to €79.9 million (31 December 2019: €67.3 million).

Sales

In Q1 2020, R. STAHL realized sales of €65.1 million,

which represents a decrease of 3.6% year-on-year

Sales by region
			Q1		Q1		Change		in % of
in € million	2020		2019		in %		Group sales
Germany	16.9		16.2	+4.2	26
Central region	29.2		29.5	-1.1	45
Americas	7.2		7.6	-4.5	11
Asia/Pacific	11.8		14.2	-17.2	18
Total	65.1		67.5	-3.6	100

EBITDA and EBIT

The downturn in the sales performance was also reflected in the earnings before interest, taxes, depreciation, and amortization (EBITDA) pre exceptionals, which fell in the quarter under review by €3.0 million to €4.7 million (Q1 2019: €7.7 million). In the reporting period, there were

immaterial exceptionals in the amount of €-0.1 million (Q1 2019: -€1.4 million), which resulted in EBITDA of €4.7 million (Q1 2019: €6.3 million).

The delayed deliveries of goods led to an increase in finished and unfinished products to €4.1 million (Q1 2019: €2.1 million), yielding an operating performance of €70.2 million in the quarter under review (Q1 2019: