Bystronic AG

Enhanced profitability in the first half of 2023 - Seite 2

² Return on net operating assets
 

Zurich, July 21, 2023 — In the first half of 2023, Bystronic achieved a solid performance. Thanks to the realization of the high order backlog and improved component availability, sales at constant exchange rates grew significantly by 9.7% to a total of CHF 468.3 million. Certain assemblies such as electronic components and control modules continue to be subject to supply constraints and their availability is only gradually improving. The sales development in the two largest regions was very satisfactory: The Americas region posted a strong double-digit growth and the EMEA region also made gains. Sales slowed down in the APAC and China regions.

The operating result (EBIT) doubled to CHF 25.3 million (H1 2022: CHF 10.5 million). The EBIT margin stood at 5.4% compared to 2.3% in the previous year. On the one hand, the higher sales volume contributed to the significant profitability enhancement, while on the other hand, the price increases implemented as well as the operating cost-saving measures made an impact.

At the end of the first half of 2023, Bystronic maintained a high order backlog of CHF 354.1 million compared to CHF 413.0 million at the end of 2022 and CHF 515.2 million at the end of the first half of 2022. The ongoing normalization of the order backlog allows the lead time for customers to be reduced.

As in the second half of 2022, customers adopted a cautious approach in the first six months of the 2023 financial year. As expected, in the context of the overall economic slowdown, demand weakened in all regions. In addition, adverse exchange rate effects had a negative impact. At CHF 420.9 million, order intake stood around 22% below the strong first half of 2022.

Alex Waser, CEO of Bystronic, says: “The improved availability of components has enabled us to meet the demand from many customers and to successfully bring projects to conclusion. The necessary price increases and cost-saving measures are taking effect, allowing us to significantly enhance our profitability. In spite of the cautious market sentiment, our strong market position and growing service business give rise to optimism for the second half of the year.”