HÖRMANN Group publishes consolidated interim report for 2020
HÖRMANN Industries GmbH (corporate bond, German Securities Code Number (WKN): A2TSCH) today published its consolidated interim report for the first nine months of 2020. The HÖRMANN Group’s business development in the period under review was impacted by the coronavirus pandemic, especially in the Automotive and Services segments. Consolidated sales amounted to EUR 366.8 million after EUR 440.9 million in the same period of the previous year. EBITDA declined to EUR 18.3 million in the first nine months of 2020 (previous year: EUR 25.8 million), while operating EBIT amounted to EUR 8.3 million (previous year: EUR 17.4 million). A good third quarter that was almost in line with the previous year and the diversified nature of the Group structure served to cushion the impact of the coronavirus pandemic. As a result, the first three quarters of 2020 closed with consolidated net income of EUR 2.6 million (previous year: EUR 11.6 million).
Forecast refined and raised slightly
In light of these developments, HÖRMANN Industries GmbH is raising its sales and earnings forecast slightly. Assuming that another total shutdown of industrial production can be avoided this year, the company now anticipates total sales of between EUR 500 million and EUR 520 million across the year as a whole (previously EUR 480–520 million) and positive EBIT at the level of the first nine months of this year. The HÖRMANN Group had previously forecast moderately positive operating EBIT.
Johann Schmid-Davis, CFO of HÖRMANN Industries GmbH: “Our diversification is the key factor in our success during the coronavirus crisis. In particular, stable development in the Communication and Engineering divisions throughout the entire reporting period has helped to cushion the downturn in sales and the resulting impact on consolidated earnings. However, the Automotive division, which was hard hit by the lockdown and the associated plant closures in the spring, also recovered to record good performance in the third quarter. Our efforts to reorganise this division in recent years had the effect of lowering the risk to the Group in the 2020 recession. As a result, we are raising our full-year forecast slightly. I would like to take this opportunity to thank all of our employees, whose hard work has made an important contribution to helping us to overcome these challenges so successfully to date.”
Development in the divisions
Sales in the Automotive division declined by EUR 97.6 million to EUR 189.9 million in the first nine months of 2020 (previous year: EUR 287.5 million). This was due in equal measure to a planned and unplanned downturn in sales (around EUR 50 million each), with the latter being caused by interruptions to production at the German plants between March and May 2020. The Services division, which was also impacted by the economic downturn in the automotive industry and the coronavirus pandemic, generated sales of EUR 13.5 million (previous year: EUR 16.4 million).
The Communication and Engineering divisions proved to be extremely crisis-resistant and continued to develop positively in the reporting period. With sales of EUR 63.4 million (previous year: EUR 48.0 million), the Engineering division significantly increased its business volume compared with the previous year as a result of invoicing major projects. The Communication division also reported sales growth of over 10% to EUR 100.0 million (previous year: EUR 89.7 million).
The consolidated interim report for the period from 1 January to 30 September 2020 is available at https://www.hoermann-gruppe.de/financial-reports/.
