Dätwyler (DAE) H2 2023 earnings summary

Executive summary

• FY23 revenue was CHF 1,151.5m, essentially flat YoY; organic revenue declined 0.3% after adjusting for acquisitions and currency effects.

• Lost Covid sales, customer destocking and negative FX pressured performance; the 10.9% H2 EBIT margin indicated recovery from the first-half trough.

Financial highlights

• EBIT was CHF 120.4m vs CHF 149.2m; EBIT margin was 10.5% vs 13.0%.

• Net result was CHF 66.8m vs CHF 104.8m; EPS was CHF 3.93 vs CHF 6.16.

• Net finance costs rose to CHF 28.7m from CHF 12.3m, driven by CHF 14.6m in acquisition-financing interest and CHF 14.2m from adverse FX movements.

Outlook and guidance

• FY24 revenue growth guided in the low single-digit range at comparable exchange rates, with an improved EBIT margin.

• Margin drivers include lower energy costs, optimized cost structures, recovery in Connectors and utilization-related scaling effects.

• Mid-term goals are revenue growth of 6%–10% and an EBIT margin of 18%–21%.