EQS-Adhoc: EDAG Engineering Group AG: Results Q3 2024 und revision of outlook for fiscal year 2024

EDAG Engineering Group AG:
Results Q3 2024 und revision of outlook for fiscal year 2024

Arbon, 06. November 2024 The EDAG Engineering Group AG (EDAG) has generated a revenue of 633.9 million Euros in the first nine months of 2024. This corresponds to an increase of 0.9 percent compared to the previous year. The adjusted EBIT levelled at 33.1 million Euros, which is 8.0 million Euros lower than in the previous year. This corresponds to an adjusted EBIT margin of 5.2 percent (previous year: 6.5 percent).

The declining revenue (-0.9 percent) and margin (-3 percent points) trend in Q3 2024 compared to Q3 2023 is mainly due to the overall tense market situation, leading to underutilization due to services not being called for under framework agreements and the postponement of projects, among other by one major customer.

The revised outlook for 2024 and continued caution in the placing of orders, especially in Germany, shows that this trend could continue into the first half of 2025. The group management has therefore decided on restructuring measures in the amount of 25 to 35 million Euros to adjust the cost base sustainably. These will not have a negative impact on the group's adjusted EBIT but on the earnings after taxes 2024.

Additionally, strategic measures to maintain competitiveness on a global basis are accelerated, to improve the performance of the EDAG Group in the medium-term and to achieve profitable growth.

Considering the market environment, which remains challenging, the Group Management expects a deviation of the guidance and the consensus. Therefore, the outlook for the full year 2024 for the revenues and adjusted EBIT margin had to be revised:

• Revenues is expected to be in a range of previous year's level to -3 percent (before: increase of around 4 percent to around 6 percent).

• The adjusted EBIT margin is expected in a range of around 4 percent to around 5 percent (before: in a range of around 5 percent to around 6 percent).

• The investment rate is expected in a range of around 3 percent (before: in a range of around 4 percent).

The financial report for the Q3 2024 will be released on November 7^th, 2024.

"Adjusted EBIT" is defined in the Annual Report 2023, page 159, which is available at https://www.edag.com/en/edag-group/investor-relations