V-ZUG Group Reports Higher Profitability Despite Lower Sales in H1 2024

In the first half of 2024, V-ZUG Group recorded net sales of CHF 284.1 million, a 4.7% decline from the previous year. Despite this, EBIT surged to CHF 8.8 million from CHF 5.1 million, raising the EBIT margin to 3.1%. The Swiss market saw an improvement with net sales climbing to CHF 240.5 million. Inventory reduction at an OEM partner impacted sales in North America and Germany.

The group's own-brand products experienced a notable 18.5% increase in international markets, particularly in Asia-Pacific. Cash flow from operating activities was CHF -10.8 million, a significant drop from the previous year due to changes in trade receivables. Despite heavy investments, the company maintained a solid balance sheet with an equity ratio of 76.4%.

Wolfgang Schroeder was appointed Chief Technology Officer effective 1 July 2024, after leading V-ZUG's digital transformation efforts since 2021. The company expects improved results in H2 2024, driven by continued market development and the "Simplify V-ZUG" initiative.