R. STAHL with ongoing solid financial position despite strong demand drop in 2020

DGAP-News: R. Stahl AG / Key word(s): Preliminary Results/Annual Results 18.02.2021 / 07:00 The issuer is solely responsible for the content of this announcement. R. STAHL with ongoing solid financial position despite strong demand drop in 2020 Sales decline in a challenging market environment presumably

  • Sales decline in a challenging market environment presumably by 10.3% to €246.5 million (2019: €274.8 million) in line with expectations
  • EBITDA pre exceptionals of €19.0 million (2019: €30.4 million) slightly above the upper end of the guidance corridor
  • Strong free cash flow keeps net debt at a persistently low level

Waldenburg, 18 February 2021 - R. STAHL today publishes preliminary figures for FY 2020. Sales dropped to €246.5 million, reaching the upper half of the guidance corridor of €242 million to €248 million that was adapted in November. Compared to previous year, this represents a sales decline of 10.3% (2019: €274.8 million). In the period under review, the outbreak of the coronavirus pandemic led to an unparalleled fall in demand across nearly all key markets for explosion protected electrical products. Early taken measures to adapt costs and safeguard liquidity limited the impact of the weak demand on R. STAHL's earnings and financial position significantly. As a result, the sales drop of €28.3 million resulted in a rather moderate decline of EBITDA pre exceptionals by €11.4 million to €19.0 million (2019: €30.4 million), slightly exceeding the upper end of the guidance corridor of €15 million to €18 million. Net profit presumably fell by €4.9 million to €-3.5 million (2019: €1.3 million).

While the material ratio remained favourable and unchanged year-on-year, reduced working hours adapted to the weak demand as well as lower variable compensation led to a reduction of personnel costs to €115.6 million (2019: 122.0 million). In addition, the sum of other operating income and expenses fell by €1.6 million, thus also contributing to keep the earnings decline rather moderate. Despite the challenging market conditions, a healthy free cash flow of €5.7 million was achieved in the year under review (2019: €8.5 million). This resulted in net debt of €5.8 million at 31 December 2020, still at the low level of previous year's end (31 December 2019: €4.2 million).

Key figures of the R. STAHL Group pursuant to IFRS

EBITDA pre exceptionals 2)19.030.4-11.4
in % of sales7.0%11.0% 
Exceptionals 2)-1.8-6.0+4.2
Net profit-3.51.3-4.9
Net debt5.84.2-1.7
Employees as of 31 December 4)1,6901,669+21

1) Preliminary figures; the final and full figure set as well as the Annual Report 2020 will be released on 16 April 2021.

3) 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. lease liabilities and pension provisions

4) excl. apprentices

Percentages and figures 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).

The figures and forward-looking statements in this press release relating to 2020 are preliminary. R. STAHL will give an outlook for 2020 together with the release of its audited Annual Report 2020 on 16 April 2021.

Financial calendar 2021

16 April Annual Report 2020
11 May Interim Report Q1 2021
15 July 28th Annual General Meeting
12 August Report on the first half year 2021
10 November Interim Report Q3 2021

About R. STAHL - www.r-stahl.com
R. STAHL is the world's leading supplier of electrical and electronic products and systems for explosion protection. These products and systems prevent explosions in hazardous areas and contribute to the safety of people, machines and the environment. The portfolio ranges from products used in switching/distributing, installing, operating/monitoring, lighting and signalling/alarming up to automation. Typical customers are the oil & gas industry, the chemical and pharmaceutical industry and the food industry. In 2019, global sales amounting to about €275 million were generated by 1,669 employees. The shares of R. STAHL AG are traded on the Regulated Market/Prime Standard of Deutsche Boerse (ISIN DE000A1PHBB5).

Forward-looking statements
This release 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 is used.

Dr. Thomas Kornek
Senior Vice President Investor Relations & Corporate Communications
Am Bahnhof 30
74638 Waldenburg (Württ.)

Tel. +49 7942 943-1395
[email protected]

18.02.2021 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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