HERMLE achieved new record highs in 2023

Turnover increased to around €532 m and EBIT to over €115 m
Incoming orders decreased by around 7% as expected
Increased dividend of €15.05 per preference share planned

Gosheim, 20 March 2024 – According to unaudited provisional figures, Maschinenfabrik Berthold HERMLE AG achieved new record highs in turnover and result in the 2023 financial year and performed slightly better than expected overall. Compared to the previous year, the Group turnover of the Swabian machine tool and automation specialist thus rose by around 12% to roughly €532 m (previous year: €474 m). HERMLE recorded growth both in Germany and abroad. Business with HERMLE automation solutions equipped with the company's own digitalisation modules proved to be highly successful. According to initial preliminary calculations, the operating result (EBIT) across the Group increased slightly faster than turnover to over €115 m (previous year: €100 m). HERMLE benefited from a further slight increase in capacity utilisation, attributed to the improved supply chain situation and stable price quality.

Based on the once again very satisfactory performance, the Management Board today recommended that the Supervisory Board propose an increase in the dividend for the 2023 financial year to the Annual General Meeting on 3 July 2024: The shareholders are to receive an unchanged basic dividend of €0.80 per ordinary share and €0.85 per preference share plus a higher bonus of €14.20 per share (previous year: €10.20). This results in a distribution of €15.05 per preference share (previous year: €11.05). After the dividend payment, HERMLE employees in Germany will once again receive a bonus linked to the distribution.

The slightly higher-than-expected turnover and result figures for 2023 were attributed to the unexpectedly sustained strong demand at the beginning of the year. The anticipated downturn did not materialise until May, leading to a decrease in the HERMLE Group's incoming orders for the entire year by roughly 7% to around €495 m (previous year: €534 m). HERMLE therefore developed slightly better than the industry average. The company attributes this, in part, to the acquisition of new major projects and the high demand for automation solutions, which HERMLE can effectively address with its production systems.

The backlog of orders at the end of 2023 amounted to approximately €130 m; the previous year's high figure of €168 m was partly influenced by postponed sales caused by supply chain disruptions. HERMLE thus commenced the current financial year with a solid level of orders. However, demand continued to decline in the initial weeks of 2024 as anticipated. Predicting future developments is challenging. The outlook is expected to significantly darken in the coming months due to the uncertain political and economic conditions, particularly in Germany, as well as high financing and energy costs and a corresponding reluctance to invest among the industry. Additionally, red tape such as the Supply Chain Act are currently dampening the mood.

HERMLE will probably publish comprehensive figures on the 2023 financial year as well as a forecast for 2024 at the end of April 2024.

Maschinenfabrik Berthold HERMLE AG is one of the world’s leading manufacturers of high-quality milling machines and machining centres and offers its customers complete automation solutions from under one roof. Owing to their high quality and precision, HERMLE machine tools and manufacturing systems are used in high-tech sectors such as toolmaking and mould construction, medical technology, the electronics and chip industries, packing technology, the optical industry, the aerospace industry, energy technology as well as the automotive industry including their subcontractors. HERMLE shares are traded on the regulated stock markets in Stuttgart and Frankfurt am Main.
 

Press contact: Redaktionsbüro tik GmbH, Gabriele Rechinger,
T 0911 988 170 72, E-Mail: info@tik-online.de 
 

Image material: Maschinenfabrik Berthold HERMLE AG, Udo Hipp,
T 07426 95 6238, E-Mail: udo.hipp@hermle.de