MAX Automation continues to develop positively operationally in first half of 2023

PRESS RELEASE

MAX Automation continues to develop positively operationally in first half of 2023
 

• Sales of continuing operations of EUR 217.3 million up 15.3% year-on-year (6M 2022: EUR 188.5 million)
• Order intake of continuing operations posts lower decline by industry comparison of 8.4% to EUR 213.2 million (6M 2022: EUR 232.7 million)
• Order backlog of continuing operations at EUR 298.4 million remains at a high level (31 December 2022: EUR 302.9 million)
• Operating result (EBITDA) of continuing operations increased by 66.1% to EUR 27.4 million (6M 2022: EUR 16.5 million); drivers: Growth in sales and margins with a normalisation of material price increases and more efficient project realisation
• EBITDA forecast for the full year 2023 raised to EUR 38.0 to 44.0 million

Hamburg, 3 August 2023 – MAX Automation SE (ISIN DE000A2DA58), listed in the Prime Standard of the Frankfurt Stock Exchange, continued to develop positively in the first half of 2023. Nearly all subsidiaries contributed to this. Losses in the area of order intake due to investment restraint and postponements were significantly lower than the industry average for the German mechanical engineering industry, with the subsidiary bdtronic even posting gains.

STRONG ORDER SITUATION OF CONTINUING OPERATIONS

The consolidated order intake of the MAX Group’s continuing operations declined by 8.4% in the first half of 2023 to EUR 213.2 million (6M 2022: EUR 232.7 million). The decline resulted mainly from investment restraint on the part of customers and thus shifts in the NSM + Jücker and ELWEMA segments. Part of this decline was offset by the bdtronic Group segment due to two major orders in dispensing and impregnation technology and continued strong demand. The MAX Group’s order backlog in continuing operations increased slightly by 1.5 % to EUR 298.4 million (31 December 2022: EUR 302.9 million).

OPERATING RESULT CONTINUES TO IMPROVE

Sales of the MAX Group’s continuing operations increased in the first half of 2023 by 15.3% to EUR 217.3 million (6M 2022: EUR 188.5 million). Based on a high order backlog, the Vecoplan Group, bdtronic Group and ELWEMA segments continued to make the largest contributions to growth.

Driven by sales and margins, the MAX Group continued to significantly improve the operating earnings before interest, taxes, depreciation and amortisation (EBITDA) of its continuing operations in the first half of 2023 to EUR 27.4 million (6M 2022: EUR 16.5 million). The normalisation of material price increases and more efficient realisation of projects had a positive impact.

Cash outflow in the operating cash flow of the MAX Group improved significantly in the first half of 2023 to EUR 2.5 million (6M 2022: Cash outflow of EUR 14.5 million). A clearly positive result for the period had a compensating effect on the further increase in working capital as a result of the intensified project start-up and increased inventories.

Cash outflow in the cash flow from investing activities amounted to EUR 3.4 million. Inflows from the sale of a property were offset by investments in growth. The previous year’s period was influenced by early repayments of vendor loans (6M 2022: Cash outflow of EUR 2.6 million).

In cash flow from financing activities, cash inflow decreased to EUR 1.6 million (6M 2022: cash inflow of EUR 17.0 million). The previous year’s period was characterised by greater utilisation of the new syndicated loan.

Working capital increased to EUR 101.7 million as of 30 June 2023 (31 December 2022: EUR 71.6 million) with the increased project ramp-up and higher inventories. Net debt was 19.1% higher than in the same period of last year (31 December 2022: EUR 95.8 million) at EUR 114.1 million, mainly due to the increased working capital requirements. Cash and cash equivalents decreased by 11.8% to EUR 31.5 million (31 December 2022: EUR 35.7 million).

“The MAX Group continued to perform very well operationally in a challenging industry environment and a stagnating overall economy. With the diversified orientation of our portfolio companies, we were able to successfully manage investment restraint and postponements. We are particularly pleased with the demand from the automotive industry and medical technology, which speaks in favour of the innovative solutions that our portfolio companies offer,” said Dr. Christian Diekmann, Managing Director and CEO of MAX Automation SE, in explaining the development in the first half of 2023, and added: “The recent increase in the EBITDA forecast for 2023 as a whole underscores the success of our strategy of leveraging value enhancement potential from well-positioned companies in niche markets.”

EBITDA FORECAST FOR 2023 RAISED – SALES EXPECTATIONS UNCHANGED

After the end of the reporting period, the Supervisory Board raised the previous EBITDA forecast for financial year 2023 on 21 July 2023 based on the preliminary figures for the first half of 2023. Previously, the risks for energy and material costs, supply chain disruptions as a result of the ongoing war in Ukraine, and resulting potential impacts on the earnings situation had weakened. Thus, in view of improved profitability due to lower material prices as well as efficiency improvements in project realisation, the Supervisory Board now expects EBITDA for financial year 2023 to be between approx. EUR 38.0 million and EUR 44.0 million (previously: between approx. EUR 35.0 million and EUR 41.0 million). Based on a continued high order backlog, the Supervisory Board continues to expect Group sales for the MAX Group of between approximately EUR 410.0 million and EUR 470.0 million for financial year 2023.

KEY GROUP FIGURES AT A GLANCE

*Comparison of the reporting dates 30 June 2023 and 31 December 2022

KEY GROUP FIGURES AT A GLANCE

*Comparison of the reporting dates 30 June 2023 and 31 December 2022

NOTE

The formerly reportable segment iNDAT is reported as a discontinued operation according to IFRS 5 as a result of the ongoing liquidation.

DETAILED FINANCIAL INFORMATION

The complete Interim Financial Report for the first half of 2023 of MAX Automation SE is available for download at https://www.maxautomation.com/en/investor-relations/financial-reports/.

CONTACT:
Marcel Neustock
Investment Management
Phone: +49 - 40 - 8080 582 75
investor.relations@maxautomation.com
www.maxautomation.com

CONTACT FOR MEDIA REPRESENTATIVES:
Susan Hoffmeister
CROSS ALLIANCE communication GmbH
Phone: +49 - 89 - 125 09 03 33
sh@crossalliance.de
www.crossalliance.de

ABOUT MAX AUTOMATION SE

MAX Automation SE, headquartered in Hamburg, is a medium-sized finance and investment company focused on the management and acquisition of investments in growth and high cash flow companies operating in niche markets. The products and solutions of the portfolio companies are used in various end industries and for numerous industrial applications, including automotive, electronics, recycling, raw materials processing, packaging, and medical technology. MAX Automation SE has been listed in the Prime Standard of the Frankfurt Stock Exchange since 2015 (ISIN DE000A2DA588) and generated sales of EUR 409.2 million in 2022.

www.maxautomation.com