Viscom AG continues positive business development in the first half of 2023

Viscom AG continues positive business development in the first half of 2023

Incoming orders: € 63,303 thousand (previous year: € 54,728 thousand); +15.7 %
Order backlog: € 48,347 thousand (previous year: € 38,827 thousand); +24.5 %
Revenue: € 49,439 thousand (previous year: € 44,839 thousand); +10.3 %
EBIT: € 236 thousand (previous year: € 1,003 thousand); -76.5 %

Hanover, 10 August 2023 – The positive business development of Viscom AG (ISIN DE0007846867) continued in the first half of 2023, following on from the very good performance of the previous year. The lively demand for inspection systems and services from Viscom AG brought the Lower Saxony-based mechanical engineering company revenue of € 63,303 thousand (previous year: € 54,728 thousand), once again the highest level of incoming orders in a first half-year since the company was founded. Revenue in the first half of 2023 amounted to € 49,439 thousand, up 10.3 % on the previous year’s figure (previous year: € 44,839 thousand). Revenue recognition also continued to be hampered by ongoing material shortages. In the first half of 2023, this affected, among other things, specialised parts for optics and the machine drives. EBIT was held back in particular by the increased material costs and other operating expenses and declined year-on-year to € 236 thousand in the first half of 2023 (previous year: € 1,003 thousand). The EBIT-Margin was 0.5 % (previous year: 2.2 %). The result for the period amounted to € -395 thousand (previous year: € 596 thousand).

In the Europe region, there was a further market recovery in the first half of 2023 that was reflected in encouraging incoming orders. This makes Viscom optimistic for the coming quarters. Europe remained by far the Viscom Group’s strongest region, accounting for around 58 % of its revenue. The Europe region generated revenue of € 28,488 thousand in the first half of 2023, an increase up 29.4 % on the previous year’s level (€ 22,019 thousand). Revenue in Germany amounted to € 13,749 thousand (previous year: € 12,409 thousand). Segment earnings in the Europe region improved from € -839 thousand in the previous year to € 515 thousand due to the increased total operating revenue. The EBIT-Margin in the Europe region was 1.8 % (previous year: -3.8 %).

Business activities in the Americas region made a modest start to the current financial year; from March 2023, Viscom inspection systems again attracted increased interest from every sector, which continued in the subsequent months. Electric vehicle and battery manufacturers are highly active, as are other manufacturers of vehicle electronics. The Americas region has a positive outlook for the business performance over the rest of the year. Segment revenue in the Americas region decreased year-on-year from € 7,603 thousand to € 5,568 thousand. As a result of this and the higher headcount, segment earnings fell to € -166 thousand (previous year: € 711 thousand), corresponding to a margin of -3.0 % (previous year: 9.4 %).

Market development in the Asia Region was mixed, both in the individual countries of the region and in the various industries. In China, the consumer sector in particular declined significantly year-on-year, while the automotive industry (including electromobility) saw robust demand. The branch in India benefited from a rise in customer interest in the SMT sector. In Southeast Asia, there is palpable growth in demand for inspection technology. Also worth mentioning are the increased business development activities in Asia, which are aimed not only at an expansion into traditional applications in other Asian countries, but especially also at the development of new inspection applications in semi-conductor production. In the first half of 2023, promising access to particularly prestigious market participants has already been acquired. This market cultivation will be intensified further in the second half of 2023. In Asia, Viscom expects weaker demand from China, good development in India and positive contributions from the newly accessed markets in the second half of the year. Revenue in the Asia region in the first half of 2023 was on a par with the previous year at € 15,383 thousand (previous year: € 15,217 thousand). Segment earnings decreased to € 589 thousand (previous year: € 697 thousand), mainly as a result of the changed revenue structure and increased staff costs. This corresponded to an EBIT-Margin of 3.8 % (previous year: 4.6 %).

The development of order intake and revenue in 2023 will depend to a large extent on the overall economic situation as well as the ongoing shortage of materials, which will also impact Viscom AG's business. The ongoing inflation and interest rate concerns and the increased energy and raw material prices will lead to further negative effects, also on Viscom AG. Nevertheless, Viscom AG still anticipates incoming orders and target revenue of between € 110 million and € 120 million in the 2023 financial year. The EBIT-Margin is expected to be between 5 % and 10 %, with EBIT of between € 5.5 million and € 12.0 million.

The Group Interim Report as at 30 June 2023 is now available to download in the Company/Investor Relations section of the company’s website at www.viscom.com.

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About Viscom

Viscom AG develops, manufactures and sells high-quality inspection systems. Its product range covers the full range of optical inspection and X-ray inspection. The company is a leading global provider in the field of assembly inspection for electronics manufacturing. Viscom’s systems can be configured for each individual customer and networked. Its headquarters and manufacturing site are in Hanover. With a large network of branches, application centres, service centres and representatives, Viscom is represented all over the world. Established in 1984, Viscom AG has been listed on the Frankfurt Stock Exchange since 2006 (ISIN: DE0007846867). Further information can be found at www.viscom.com.
 

Any forecasts, expectations or statements concerning the future included in this release may be subject to risk or uncertainty. We therefore cannot guarantee that the expectations will prove correct. Actual results and developments may differ significantly from the expectations and assumptions expressed. The factors that could cause such deviations include changes in the general economic and competitive situation, exchange rate and interest rate fluctuations and changes in national and international law. The company assumes no obligation to update the forward-looking statements in this release.