EQS-News

FRIWO with expected moderate start in 2024 – outlook and return to operating profit in 2024 confirmed

EQS-News: FRIWO AG / Key word(s): Quarterly / Interim Statement/Quarter Results FRIWO with expected moderate start in 2024 – outlook and return to operating profit in 2024 confirmed 08.05.2024 / 08:00 CET/CEST The issuer is solely responsible for the content of this announcement. FRIWO with expected moderate start in 2024 – outlook and return to operating profit in 2024 confirmed

• Group revenue falls to 20.7 million euros in the first quarter of 2024 – EBIT loss of -1.8 million euros
• E-mobility joint venture in India continues to see dynamic growth in demand
• Outlook: Group revenue of 100 to 120 million euros and balanced EBIT confirmed for 2024 – upward trend expected for subsequent years

 

Ostbevern, May 8, 2024 – As expected, FRIWO – an international manufacturer of technologically leading chargers and e-drive solutions – made a weaker start to the 2024 financial year. Group revenue fell to 20.7 million euros in the first quarter, compared to 30.8 million euros in the same period of the previous year, which had been positively impacted by the high order backlog from 2022. The reason for the decline in 2024 was the persistently weak demand in the European core markets in the e-mobility, industrial and tools segments. The drop in sales, expected start-up costs for the Indian joint venture and one-off expenses for the adjustment of production structures were partially offset by improved cost efficiency, particularly in terms of personnel costs. While gross profit was roughly on a par with the previous year, earnings before interest and taxes (EBIT) fell year-on-year from -1.4 million euros to -1.8 million euros. After taxes, a loss of -2.7 million euros was reported (Q1-2023: -2.2 million euros).

“As expected, FRIWO has made a moderate start to the 2024 financial year. As we expect the market to recover in the second half of the year and the cost efficiency measures to have an increasingly positive impact, we continue to anticipate a break-even result for the year as a whole. The first license income from our India joint venture will also contribute to this, from which we expect increasing profit contributions from 2025 onwards in view of the continuing dynamic development,” commented Rolf Schwirz, CEO of FRIWO AG, on the development.