DGAP-News

Villeroy & Boch AG: Villeroy & Boch makes up ground in terms of revenue in strong third quarter

DGAP-News: Villeroy & Boch AG / Key word(s): Quarter Results/9 Month figures Villeroy & Boch AG: Villeroy & Boch makes up ground in terms of revenue in strong third quarter 20.10.2020 / 08:00 The issuer is solely responsible for the content of this announcement. Press Release Mettlach, 20 October 2020 Interim report on the third quarter of 2020: Villeroy & Boch makes up ground in terms of revenue in strong third quarter

• Strong revenue growth to € 548.7 million in the third quarter halves the deficit compared with the previous year (-6.7 % after -13.4 % in the first half of the year)
• Operating result (EBIT) returns to double-digit positive territory at € 10.3 million following earnings growth in the third quarter (first half of year: € -10.0 million)
• Operating result forecast for full-year 2020 raised to € 30-35 million (previously: second half of the year to offset the losses recorded in the first half due to the coronavirus)

Revenue development: +6.8 % on same quarter of previous year
Following unexpectedly positive business performance, Villeroy & Boch AG closed the third quarter of 2020 with revenue of € 208.0 million (including licence income), up 6.8 % on the same period of the previous year (€ 194.7 million). This applies to both the Bathroom and Wellness Division (+6.5 %) and the Tableware Division (+8.0 %). This means the downturn in revenue in the second quarter due to the pandemic has already been substantially recovered after nine months. In the first nine months of 2020, the company generated consolidated revenue of € 548.7 million (previous year: € 587.9 million), thereby reducing the deficit recorded in the first half of the year from -13.4 % to -6.7 %.

Orders on hand more than doubled, from € 44.8 million as of 31 December 2019 to € 100.5 million as of 30 September 2020. € 80.7 million (31 December 2019: € 35.3 million) of this figure relates to the Bathroom and Wellness Division, while € 19.8 million (31 December 2019: € 9.5 million) relates to the Tableware Division.

EBIT: € 10.3 million
The extremely good performance in the third quarter allowed the Group to close the first nine months of the 2020 financial year with operating EBIT of € 10.3 million, thereby already offsetting the loss recorded in the second quarter in full. This was thanks to significantly improved revenue development in the third quarter as well as the savings generated through stringent cost management. Despite this, the slump in demand resulting from the coronavirus crisis and the plant shutdowns and restrictions initiated in the second quarter meant that EBIT was still down € 12.0 million on the previous year (€ 22.3 million).