Mühlbauer Holding (MUB) H1 2024 earnings summary

Executive summary

• H1 revenue was €210.4M, down €2.1M YoY; operating income fell to €6.4M from €27.3M.

• Order intake declined 55.0% YoY to €159.6M; backlog fell 11.4% to €880.0M at June 30, 2024.

Financial highlights

• Total output declined 6.7% to €234.6M as inventory additions were lower, despite nearly unchanged revenue.

• Net income was €4.7M versus €21.0M; basic EPS was €0.33 versus €1.52 in H1 2023.

• Material expense rose to 48.0% of output from 39.6%, partly due to prudent accounting for a large Automation project; related revenue realization is expected in H2.

• Personnel expense increased €8.2M due to wage and salary increases; other operating expenses declined ~€21.0M, mainly reflecting prior-year damages-claim provisions.

Outlook and guidance

• FY 2024 outlook calls for slightly higher revenue, order intake and adjusted operating income; pretax return and operating cash flow are expected to develop accordingly, with downside risks.

• Precision Parts & Systems expects slight declines in order intake and revenue, with positive earnings at a low-single-digit margin.

• Automation expects FY order intake, revenue and EBIT at prior-year levels, plus positive cash flow; a large order for more than 60 Die-Sorter machines is expected to be completed.

• ATECH expects a consolidation year as existing projects are completed and new technology generations developed; a low-single-digit negative result margin is forecast.

• TECURITY expects significant YoY increases in order intake and revenue, with operating margin above 10%.