R&S Group Upgrades Financial Projections for 2024

R&S Group Holding AG announced an upward revision in its financial outlook for the fiscal year 2024 and beyond. The company now anticipates net sales growth to exceed 12%, an elevation from previously forecasted 9-12%. Furthermore, it expects the EBIT margin to reach around 20%, which represents an improvement from the initial guidance of 16-18%.

Additionally, R&S Group has revised its free cash flow margin forecasts to mid-teens in double digits as a percentage of net sales, a significant increase from the earlier range of mid to high single digits. This adjustment is supported by robust cash conversion rates.

The company highlighted a strong order backlog exceeding CHF 200 million at the end of April, with a book-to-bill ratio of 1.3x, indicating a promising medium-term outlook. Positive market dynamics in Central and Eastern Europe, alongside new target markets in the Nordics, Baltics, and Germany, contribute to this favorable forecast.

R&S Group is scheduled to provide more comprehensive performance details on 24 July 2024 during its mid-year trading update. The optimistic revision in financial guidance reflects the company's strong start to the year and its efficient operational adjustments following its listing on the SIX Swiss Exchange in December 2023.