SHERIDAN, WYOMING – Dec. 7, 2024 – technotrans SE, a global leader in thermal management solutions, has released its financial results for the first nine months of 2024, demonstrating resilience and strategic adaptation in the face of challenging macroeconomic conditions. While consolidated revenue was impacted by the weak economic environment, the company highlighted significant growth in its Energy Management sector and the successful implementation of its ttSprint efficiency program.
Solid Performance Amidst Economic Challenges
Despite a 12% decline in consolidated revenue compared to the previous year, technotrans reported stable profitability and significant sales successes in key areas.
"technotrans achieved a stable performance in the third quarter of 2024 - despite a difficult economic environment - and remained on track in the nine-month period," said Michael Finger, CEO of technotrans SE. "This was due in particular to the continued high revenue growth in the Energy Management focus market, strong service business and first positive effects of the ttSprint efficiency program."
Key Financial Highlights
- Consolidated revenue: €175.5 million (previous year: €199.3 million)
- EBIT margin: 4.3% (previous year: 5.1%)
- Adjusted EBIT margin (excluding one-off expenses): 5.1%
- Return on capital employed (ROCE): 10.8% (previous year: 12.3%)
- Book-to-bill ratio: 1.0 (indicating solid new business generation)
Energy Management Sector Drives Growth
The Energy Management sector emerged as a bright spot, achieving a remarkable 27% revenue growth compared to the previous year. This success was fueled by significant orders for battery thermal management systems (BTMS) for electric buses and converter stations for rail transport projects. technotrans also secured a framework agreement for series production with a US customer in the data center sector, further expanding its reach in this growing market.
Plastics Sector Shows Promise
The Plastics sector also demonstrated positive momentum, securing an exclusive supplier contract for temperature control systems in the battery production of a major German car manufacturer.
ttSprint Efficiency Program Nears Completion
technotrans reported successful progress on its ttSprint efficiency program, achieving all milestones set for the reporting period. The program, aimed at optimizing the company's cost structure and organizational efficiency, is expected to be completed by the end of 2024.
Changes in the Board of Management
Robin Schaede, Member of the Board of Management, has resigned for personal reasons. Natascha Sander, Head of Group Controlling, has been appointed as interim-CFO.
Forecast Adjustment Reflects Macroeconomic Conditions
In light of the ongoing economic challenges, technotrans has adjusted its forecast for the 2024 and 2025 financial years.
- 2024 Forecast: Revenue is now expected at the lower end of the €245 million to €270 million range, with an EBIT margin at the lower end of the 5.5% to 7.5% range.
- 2025 Forecast: Revenue is projected in the range of €245 million to €265 million, with an EBIT margin of 7.0% to 9.0%.
"We have achieved important sales successes in the first 9 months and adapted the Group's cost structure to future challenges," said Michael Finger. "With our new market-oriented organizational structure, we are well equipped for the future."
technotrans' Strategic Positioning
Despite the challenging economic climate, technotrans remains confident in its long-term growth prospects. The company's focus on innovation, strategic partnerships, and operational efficiency positions it well to capitalize on opportunities in key markets such as Energy Management, Plastics, and data centers.
Frequently Asked Questions
1. What are technotrans' core areas of business?
technotrans specializes in thermal management solutions for various industries, including printing, plastics, healthcare & analytics, lasers, and energy management.
2. What is the ttSprint efficiency program?
The ttSprint program is technotrans' initiative to optimize its cost structure and organizational efficiency, ensuring long-term competitiveness.
3. What factors led to the adjustment of the 2024 and 2025 forecasts?
The forecast adjustments reflect the ongoing macroeconomic challenges and their potential impact on demand in technotrans' key markets.
4. What are some of technotrans' recent successes in the Energy Management sector?
technotrans has secured major orders for battery thermal management systems for electric buses and converter stations for rail transport projects. They have also established a framework agreement with a US customer in the data center sector.
5. Where can I find more information about technotrans and its financial performance?
You can find detailed information on the official technotrans investor relations website.