EQS-News: TAKKT AG / Key word(s): Change in Forecast/Personnel
TAKKT AG: TAKKT announces preliminary Q3 results and adjusts forecast for fiscal year 2023

17.10.2023 / 14:27 CET/CEST
The issuer is solely responsible for the content of this announcement.

TAKKT announces preliminary Q3 results and adjusts forecast for fiscal year 2023

  • Third quarter sales and earnings below expectations
  • EBITDA expected to come in between EUR 107 and 117 million in 2023
  • Revision of medium-term corporate goals
  • Continuity at the top of the company: CEO Maria Zesch extends contract 

Stuttgart, Germany, October 17, 2023. The positive order situation at the beginning of the second half of the year deteriorated noticeably from mid-August onwards. Orders in the European Industrial & Packaging division as well as orders for office equipment from companies and, above all, public entities in the American Office Furniture & Displays division fell significantly short of expectations. In the third quarter, TAKKT generated sales of EUR 313.4 (350.5) million and EBITDA of EUR 30.2 (37.9) million based on preliminary figures. "In addition to the strong economic volatility, geopolitical uncertainty is currently intensifying. Due to these changed conditions, we no longer expect demand to pick up in the second half of the year," says CEO Maria Zesch.

For the current fiscal year, TAKKT now anticipates an organic decline in sales in the mid-single-digit percentage range (previously: stable to slightly negative development). "Due to the lack of growth, we are intensifying our cost management. Assuming that the general conditions do not deteriorate further and weigh on the order situation, we expect EBITDA of between EUR 20 and 30 million in the final quarter," says CFO Lars Bolscho. In 2023, EBITDA should thus reach a value of EUR 107 to 117 million (previously: EUR 120 to 130 million). Despite the difficult conditions, TAKKT will generate a significantly higher free cash flow in the current year than in the previous year through focused cash management.

The adjustment of the outlook for the current fiscal year and the economic and geopolitical uncertainty have an impact on the Group's medium-term planning. Due to the challenging environment, TAKKT is no longer adhering to its original financial goals with sales of two billion euros for 2025. Currently, the medium-term corporate goals are being revised.

To continue the strategy, the Supervisory Board extended CEO Maria Zesch's contract by five years until July 31, 2029. The previous contract still runs until the end of July 2024. "Since her start as CEO, Maria Zesch has successfully positioned TAKKT for the future with a new strategy," says Supervisory Board Chairman Thomas Schmidt. "Together with Maria, we want to continue the transformation path she has taken to become an integrated, growth-oriented, profitable and sustainable company. With the contract extension, we are deliberately relying on continuity at the top of the company in the current challenging environment."

"We are currently facing strong economic headwinds in our target markets," says CEO Maria Zesch. "At the same time, I can already see the success from our strategy in many places. For me, this means that we are maintaining our growth trajectory, but in the current environment we are placing a greater focus on strengthening profitability and cash flow. I am very much looking forward to driving our transformation forward together with our management team and all colleagues of the TAKKT Group. I would like to thank the Supervisory Board for their good support and continued trust. I am convinced that there is an incredible amount of potential in the development of our TAKKT."

TAKKT will announce further details on the implementation of the strategy and the corporate goals at the end of March 2024 together with the forecast for 2024. The quarterly statement with detailed information on business development in the first nine months of 2023 will be published on October 25, 2023.

TAKKT AG is the leading omnichannel distributor for business equipment in Europe and North America. The Group is represented in more than 25 countries with its Industrial & Packaging, Office Furniture & Displays and FoodService divisions. The product range of the subsidiaries comprises more than 700,000 products for the areas of plant and warehouse equipment, office furniture, transport packaging, display articles and equipment for the food service industry, hotel market and retailers.

Benjamin Bühler    phone +49 711 3465-8223
Email: investor@takkt.de

17.10.2023 CET/CEST Dissemination of a Corporate News, transmitted by EQS News - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

The EQS Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Archive at www.eqs-news.com

Language: English
Company: TAKKT AG
Presselstr. 12
70191 Stuttgart
Phone: +49 (0)711 3465 80
Fax: +49 (0)711 3465 8104
E-mail: investor@takkt.de
Internet: www.takkt.de
ISIN: DE0007446007
WKN: 744600
Listed: Regulated Market in Frankfurt (Prime Standard), Stuttgart; Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Tradegate Exchange
EQS News ID: 1750931

End of News EQS News Service

1750931  17.10.2023 CET/CEST