NORMA GROUP FULL YEAR 2023 RESULTS

MAINTAL, MARCH 26, 2024

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Table of Contents - FY 2023

00

01

FY 2023 Review

Organic Sales growth in FY 2023 due to pricing and despite challenging environment in 2023

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P&L Statement & Segment Reporting

Efficiency measures in EMEA gaining traction and lead to stable adjusted EBIT margin with positive dynamic at year end

05

06

Strategy & Business Model

Strong business model with growth opportunities driven by global mega trends

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Financial Track Record

Long-term Charts including P&L, Balance Sheet, Cash Flow, Working Capital, CapEx & Factoring Programs

02

03

Balance Sheet & Maturity Profile

Balance Sheet further improved;

Solid maturity profile with long-term financing strategy

Cash Flow & NORMA Value Added

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07

08

Corporate Responsibility

Key non-financial figures, Sustainability ratings and CR-initiatives

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Share Information & Others

04

Strong Net Operating Cash Flow; NORMA Value Added influenced by higher WACC and tax rate

Guidance & Step Up Program

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Shareholder Structure, Analyst Coverage, Contacts & Event Calender

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Successful implementation of first efficiency and growth measures

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2

Facts & Figures FY 2023 - Key Figures (I/II)

Sales

Organic Sales

Adjusted EBIT

Net sales totaled to EUR 1,222.8

Organic sales growth of 0.7%

Adjusted EBIT levelled at

million

for the full year 2023

EUR 97.5 million

(2022: EUR 1,243.0 million)

(2022: 7.1%)

(2022: EUR 99.0 million)

Adj. EBIT Margin

EPS

Dividend

Solid adjusted EBIT margin of 8.0%

Adj. EPS at EUR 1.37

Dividend proposal of EUR 0.45 for

(2022: 8.0%)

(2022: EUR 1.75)

FY 2023 to AGM on May 16, 2024

Rep. EPS at EUR 0.87

(2022: EUR 0.55)

(2022: EUR 1.23)

3

Facts & Figures FY 2023 - Key Figures (II/II)

Equity

Improved equity ratio of 46.4%

(2022: 45.2%)

Net Operating

Cashflow

Strong increase in Net Operating Cashflow to EUR 87.3 million*

(2022: EUR 65.3 million)

Net Debt

Net Debt decreased to

EUR 345.4 million

(2022: EUR 349.8 million)

NOVA

NORMA Value Added at EUR -43.6 million

(2022: EUR -27.1 million)

Leverage

Stable Leverage at 2.2x

(Dec 31, 2022: 2.2x)

Corporate

Responsibility

CO2 emissions slightly up by 3.4%

to 5,064 t CO2e** in 2023

(2022: 4,879 t CO2e)

* With factoring programs at EUR 58 million on December 31, 2023 (December 31, 2022 EUR 77 million)

4

** For more details please refer to the CR report

SEGMENT REPORTING & P&L STATEMENT

FY 2023 Top Line Development

1500.0

20.0

20.0

-1.6%*

4.0%*

1.3%*

0.7%*

4.0

1000.0

10.0

0.0

-6.4

-16.6

-10.3

-29.3

2.1%*

-2.0%*

-3.4%*

6.5

12.6

9.0

-5.2%*

500.0

0.0

-20.0

3.5%*

1.9%*

-6.7%*

-5.1%*

-4.8

-5.3

-1.5%*

-1.5%*

-2.4%*

1243.0

315.0

324.0

297.2

286.6

1222.8

0.0

-10.0

-40.0

FY 22

Q1 23

Q2 23

Q3 23

Q4 23

FY 23

Q1 23

Q2 23

Q3 23

Q4 23

FY 23

Q1 23

Q2 23

Q3 23

Q4 23

FY 23

Top Line

The positive Organic Growth is outweighed by negative Currency Effects. Leading to a Net Sales development of -1.6% to EUR 1,222.8 million in 2023 compared to EUR 1,243.0 million in 2022.

+0.7%

thereof

Organic

+3.6%

-2.8%

Growth

Price

Volume

Organic Growth

  • Organic Growth of 0.7% in FY 2023 especially due to good development in the EMEA region and positive pricing effects.
  • EJT sales showing organic growth of 3.8% leading to sales of EUR 709.6 million, mainly due to growth in the EMEA region.
  • SJT sales showing slight decrease of -2.8% leading to sales of EUR 506.7 million, mainly due to weaker industrial demand in the Americas and APAC region.

Currency Effects

  • Translation effects of EUR -29.3 million.
  • Thus, currency effects reflect -2.4% of Group Net Sales development.
  • Currency effects mostly related to USD and APAC region.

* In % of prior year sales

6

FY 2023 - Sales Development by Regions (I/II)

14%

(14%)

Regional

44%

Split

(46%)

(in % actual vs.

42%

prev. year)

(39%)

Americas

EMEA

APAC

AMERICAS Sales

EMEA Sales

APAC Sales

-3.3%

-6.9%

5.2%

574

535

489

515

180

174

2022

2023

2022

2023

2022

2023

7

FY 2023 - Sales Development by Regions (II/II)

Americas

  • SJT: Weaker demand in IA and a soft H1 in WM lead to organic growth of -4.0% with Water Management showing positive growth in H2
  • EJT: Extraordinary effects in H2 (esp. strikes) lead to organic growth of -4.3% in FY 2023

Sales Development

750

574

535

500

-26

-14

250

0

Sales FY 22

Organic

Currency

Sales FY 23

EMEA

  • SJT: Improved product availability lead to organic growth of 1.5%.
  • EJT: Higher demand at mobility customers leads to high single-digit organic growth of 7.1% in FY 2023

Sales Development

750

489

28

515

500

-2

250

0

Sales FY 22

Organic

Currency

Sales FY 23

APAC

  • SJT: Weaker demand leads to an organic growth of -4.1% in FY 2023
  • EJT: Strong organic growth of 8.0% in FY 2023 driven especially by Chinese automotive customers

Sales Development

200

180

7

174

-13

100

0

Sales FY 22

Organic Currency Sales FY 23

* In % of prior year sales

8

FY 2023 Balanced Sales Mix

Mobility & New Energy

Engineered Joining Technology (EJT)

Standardized Joining Technology (SJT)

Industrial Suppliers

Water Management

24%

24%

(25%)

(25%)

58%

42%

(56%)

(44%)

Heavy Vehicles OEM

14%

(11%)

18%

(19%)

Industry Applications

20%

(20%)

Light Vehicles OEM

* FY 2023 (2022 in brackets)

9

FY 2023 (Adjusted) Profit & Loss Development

Material Costs

Gross Profit

(in EUR million and % of sales)

(in EUR million and % of sales)

48.0%

45.0%

53.5%

54.6%

-597.0

-549.6

664.4

668.0

2022

2023

2022

2023

Material Cost ratio significantly decreased by 300 BPs due to cost reductions in purchasing while Gross Profit ratio

increased by 110 BPs mainly due to inventory reduction of EUR 8.2 million (2022: inventory built up by EUR 15.6 million)

Personnel Expenses

(in EUR million and % of sales)

26.3%

24.9%

-309.4-321.8

20222023

Personnel Expense ratio up by 140 BPs due to

Inflation-related wage increases but also inefficiencies especially in the EMEA region

Net Expenses from adj. other oper.

Income and Expenses

(in EUR million and % of sales)

15.9%15.7%

-197.8-192.0

20222023

OPEX ratio decreased by 20 BPs due to lower

freight and IT costs

Adjusted EBITDA

Adjusted EBIT

(in EUR million and % of sales)

(in EUR million and % of sales)

12.6%

12.6%

8.0%

8.0%

157.2

154.2

99.0

97.5

2022

2023

2022

2023

Adjusted EBITDA and adjusted EBIT margins stable but with positive dynamics in Q4

10

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Norma Group SE published this content on 05 July 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 05 July 2024 09:57:10 UTC.