Friedrich Vorwerk Group (VH2) Q3 2024 earnings summary

Executive summary

• Achieved strong Q3 growth with revenue up 32% year-over-year to €145 million and EBITDA more than tripling, driven by flagship energy infrastructure projects and successful recruiting.

• Order backlog remains high at around €1.2 billion, supported by robust market demand and new project wins.

• Net profit after non-controlling interests rose to €22.3 million, up 411% year-over-year.

• Management raised 2024 revenue guidance to €430–460 million and EBITDA margin to 14–15%.

• Employee count increased by 14% year-to-date, surpassing annual hiring targets.

Financial highlights

• Q3 revenue reached €145.0 million, up 32% year-over-year; nine-month revenue rose 23% to €339.1 million.

• Q3 EBITDA was €25.3 million (17.5% margin), up 272% year-over-year; nine-month EBITDA totaled €49.7 million (14.7% margin).

• Q3 EBIT margin rose to 13.7%; nine-month EBIT reached €34.4 million (10.1% margin).

• Net cash position improved by over €40 million in Q3, ending with more than €30 million net cash.

• Order intake for the nine months was €516.4 million, down 48.8% due to a prior-year one-off project.

Outlook and guidance

• Revenue guidance raised to €430–460 million for 2024, with EBITDA margin expected at 14–15%.

• Large contract awards expected in coming months, with significant project tenders ongoing in both pipeline and electricity segments.

• Vision to reach €1 billion in sales by early 2030s, maintaining double-digit EBIT margins.

• Management anticipates continued strong demand from energy transition and infrastructure projects.