Bertrandt (BDT) H2 23/24 earnings summary

Executive summary

• FY 2023/2024 marked by a solid start but deteriorated market conditions from Q2, especially in Germany, with strong international growth offsetting domestic weakness.

• Automotive industry transformation and changing customer behavior led to reduced demand and project delays, particularly in Germany.

• Strategy 2027 launched, focusing on internationalization, diversification, and digitalization.

• F³ earnings improvement program implemented to address underutilization and market challenges.

Financial highlights

• Total sales increased by 2.5% year-over-year to EUR 1.187bn, driven by 40% growth abroad; German sales declined by 5.3%.

• EBIT at EUR -98m, including EUR -116m in special items (restructuring, impairment); adjusted EBIT positive at EUR 18m.

• Free cash flow surged to EUR 55m (+667% yoy); equity ratio at 41.4%.

• Net loss after taxes of EUR -77.2m; EPS at EUR -7.64 (vs. EUR 3.01 prior year).

• Headcount reduced to 14,028 (-248 yoy), with international share rising to 28.4%.

Outlook and guidance

• Global car market expected to return to pre-pandemic levels in 2025, with moderate growth across China, USA, and Europe.

• Automotive R&D budgets remain high but are shifting regionally; project outsourcing and global delivery requirements increasing.

• FY 2024/2025 revenues expected to be moderately down, but EBIT to turn significantly positive; further EBIT margin improvement targeted for FY 2025/2026 (6-9%).

• Business normalization anticipated from H2 2024/2025; F³ program to deliver EUR 70-90m in annual savings by 2025/2026.