KATEK raises sales forecast to over EUR 615 million after strongest half-year in company history

• Sales in the first half of 2022 up 16.6% year-on-year to EUR 315.9 million
• Operating result (EBITDA adjusted) increased by 26.1 percent to EUR 16.9 million
• Successful counteraction to price pressure on material, energy and personnel costs through price increases at customers with initial positive effects on gross profit
• M&A activities: Acquisition of Canadian SigmaPoint nears closing; upside potential in sales from first-time consolidation from closing of EUR 20 million for the rest of 2022
• Sales target for 2022 raised significantly due to pleasing run rate in Q2, high order backlog and high book-to-bill ratio

Munich, August 12, 2022 - Following a pleasing run rate in the second quarter, KATEK SE has recorded the strongest half-year in its corporate history. Consolidated sales rose to EUR 315.9 million in the first half of 2022 (+16.6%; H1 2021: EUR 271.0 million) and the operating result (EBITDA adjusted) to EUR 16.9 million (+26.1%; H1 2021: EUR 13.4 million). Among others, the strongest growth was achieved in the high-value electronics areas renewables/solar (+129.2% compared to the prior-year period) and tele-care/healthcare (+131.2% compared to the prior-year period). Even the eMobility/charging area grew by 13.2% year-on-year despite poor sales figures in the automotive industry, whereas the rest of the automotive business brought up the rear of all KATEK activities with a drop of 6.4%.

In the challenging situation for the entire industry with regard to ongoing supply bottlenecks and logistics difficulties, KATEK was able to successfully take countermeasures. For example, the increase in inventories in the necessary strategic buffer stocks already slowed down significantly in the second quarter. Increases in the cost of materials, which exert temporary pressure on the gross profit margin, are being successfully countered by consistently passing on additional costs and implementing price increases across the board at almost all customers. As a result, the gross profit margin in the second quarter has already improved by 1.7 percentage points compared to the first quarter, as the price adjustments have begun to take effect. 

Operating EBITDA (adjusted) excluding special items of EUR 16.9 million in the first half of 2022 was significantly higher than the prior-year figure of EUR 13.4 million (+26.1%). The EBITDA margin (adjusted) improved from 5.0% to 5.3%.

Smart Charging for eMobility

"KATEK's announced white label wallbox - the ghostONE () - is fully developed and preparations for the start of production in selected KATEK plants in early Q1/2023 are in full swing. Negotiations with potential major customers are very promising and the first significant frame contract is about to be signed", says Rainer Koppitz, CEO & Co-Founder of KATEK SE. The latest generation AC wallbox targets the high-volume segment of private and semi-public stores. This will allow KATEK to participate in the very dynamic development of the most interesting market segment for charging, which is forecast to grow to 65 million charging points in Europe by 2035 and account for 80% of the market for charging columns.

Closing of the acquisition of SigmaPoint

In April 2022, KATEK SE announced the planned acquisition of SigmaPoint, one of Canada's leading providers of high-value electronics. This expands KATEK's industry presence to include Homeland Security & Defense and strengthens the offering for KATEK's European customers in North America. KATEK CEO Rainer Koppitz said, "As the number three European electronics service provider, we are delivering on the promise to our European customers for a presence on the North American continent." With SigmaPoint, KATEK closes the gap in North America and thus offers the local-for-local approach on another continent in addition to the already opened Asian plant in Malaysia. The closing of the transaction is expected shortly after the publication of the half-year report. The first-time consolidation would add an upside potential in sales of EUR 20 million for the full year.

Management significantly increases sales forecast 2022

Due to the pleasing run rate in the second quarter, the high order backlog and the high book-to-bill ratio of over 1.2, the KATEK Management Board is raising its sales forecast for the full year 2022 from the previous EUR 583.3 million to more than EUR 615.0 million while maintaining its earnings forecast (EBITDA adjusted: greater than EUR 33.4 million).

The complete half-year financial report 2022 is published on the website of KATEK SE in the Investor Relations section.

A webcast on the financial results for the first half of 2022 will be held for analysts, institutional investors and for representatives of the press at 9:00 a.m. CEST on Tuesday, August 16, 2022. To participate in the conference call, participants are asked to register via this

About KATEK

The KATEK Group is a leading European electronics company offering hardware and software development, prototyping and manufacturing, and related services in the market for high-end electronics or electronics services. The KATEK Group currently employs over 2,800 employees* in Germany and Eastern Europe. CEO is Rainer Koppitz and CFO is Dr. Johannes Fues. For more information about KATEK, please visit -group.com/.

Contact

KATEK Investor Relations
Ramona Kasper
Group Head Marketing & Communications

676

Statements contained herein may constitute ”forward-looking statements“. Forward-looking statements are identified by words such as ”may“, ”will“, ”should“, ”plans“, ”expects“, ”anticipates“, ”estimates“, ”believes“, ”intends“, ”has in mind“, ”targets“ or their negative form or equivalent variations and comparable terminology.

Forward-looking statements are based on current expectations and involve a number of known and unknown risks, uncertainties and other factors that may cause the actual results, levels of utilization, performance or achievements of the Group or the industries in which it operates to be materially different from those expressed or implied by such statements. Undue reliance should not be placed on forward-looking statements. The Group will not update or revise any forward-looking statements contained herein as a result of new information, future events or otherwise.