Mikron (RXO) H1 2024 earnings summary

Executive summary

• Net sales rose 7.0% year-over-year to CHF 190.7 million in H1 2024, with continued strong performance in both business segments despite challenging market conditions in the USA and Germany.

• Operating profit increased 2.1% to CHF 14.9 million, with a margin of 7.8%, slightly down due to US market weakness and investments in digitalization.

• Net profit grew 5.0% to CHF 14.6 million, excluding a one-time gain in 2023 from property sale.

Financial highlights

• Order intake declined 11.2% to CHF 220.9 million, but order backlog rose 0.7% to CHF 340.0 million.

• EBITDA was CHF 19.6 million (10.3% of net sales), down from CHF 21.4 million (12.0%) year-over-year.

• Free cash flow was CHF 17.2 million, down from CHF 27.4 million, mainly due to timing of customer prepayments.

• Equity ratio improved to 57.0% from 54.5% at year-end 2023; net cash position increased to CHF 89.2 million.

Outlook and guidance

• Full-year result expected to be in line with the previous year, with persistent market uncertainties, especially in Machining Solutions.