- Revenue growth of 11.5% to EUR 600.6 million (previous year: EUR 538.7 million)
- EBITDA increase of 12.2% to EUR 58.3 million (previous year: EUR 52.0 million)
- Sharp rise in order backlog to EUR 1,137 million as of June 30, 2021 (31/12/2020: EUR 927 million)
- Chip crisis causes delivery delays and hinders even stronger growth
- Guidance 2021 confirmed: Revenue and EBITDA of at least EUR 1,400 million and EUR 140 million
The technology group S&T AG (ISIN: AT0000A0E9W5, WKN: A0X9EJ, stock exchange symbol: SANT) closes the first half of 2021 with a solid result: revenue rose by 11.5% compared to the previous year to EUR 600.6 million (PY: EUR 538.7 million), and EBITDA increased by 12.2% to EUR 58.3 million (PY: EUR 52.0 million). Despite the chip crisis, the gross margin of 38.8% is almost at the previous year’s level, and earnings per share (undiluted) went up by 6.7% to EUR 0.32 (PY: EUR 0.30).
A sharp increase in the backlog to EUR 1,137 million as of June 30, 2021, after EUR 927 million as of December 31, 2020, is particularly encouraging for the S&T Group. In the second quarter alone, new orders with a total value of EUR 406 million were secured. This great demand is mainly attributable to fast-growing industrial customers who are driving their growth with IoT products, as well as to global stimulus plans accelerating the economic recovery after the COVID-19-related downturn.
The great demand for IoT solutions from the S&T Group confirms the Group’s good market position and positive growth prospects. Without the current global chip shortage, however, even stronger growth would be possible in the short term. In the second quarter, for example, EUR 38.3 million in ordered sales could not be realised or will be delivered in the upcoming months. S&T is working hard to complete the delayed orders in the foreseeable future and is investing in new supply chains or the adaptation of products, partly at the expense of profitability. Inventory levels have also been further increased where possible to improve delivery capacities. The negative impact on working capital and operating cash flow in the first half of 2021 will be resolved before the end of the year.
Hannes Niederhauser, CEO: “The growth in revenue and the rapidly increasing order intake in the first half year are a good basis for achieving the planned growth of 12% in 2021. The current chip crisis detracts from these good prospects somewhat, since it is delaying deliveries and hindering even stronger growth, which would certainly be possible given the very good order situation. Despite that we can confirm our targets for 2021, namely revenue of at least EUR 1,400 million with EBITDA at EUR 140 million. We also reaffirm our medium-term target for 2023 of EUR 2 billion in revenues with EBITDA of at least EUR 220 million.”