DGAP-Adhoc NORMA Group SE: announces preliminary results for the third quarter 2020 and new guidance for the current financial year 2020
DGAP-Ad-hoc: NORMA Group SE / Key word(s): Quarter Results/Forecast
Based on preliminary, unaudited figures, NORMA Group achieved sales of EUR 245.9 million in the third quarter of 2020 (Q3 2019: EUR 274.0 million). This corresponds to a sales decline of 10.2% compared to the same quarter of the previous year. This includes an organic sales decline of 7.5%. Currency effects had a negative impact of 2.7%.
The adjusted EBITA was roughly at EUR 28.7 million in the third quarter of 2020 (Q3 2019: EUR 38.7 million). The result was also affected by expenses amounting to around EUR 1.5 million resulting from the change program "Get on Track", which was published in November 2019. These costs are not shown as adjustments. Including the aforementioned expenses for "Get on Track" the adjusted EBITA margin was at 11.7% (Q3 2019: 14.1%). The adjusted EBIT was around EUR 26.3 million in the third quarter of 2020 (Q3 2019: EUR 36.5 million), the adjusted EBIT margin amounted to 10.7% (Q3 2019: 13.3%). The net operating cashflow amounted to EUR 40.6 million (Q3 2019: EUR 37.5 million).
Leverage (net debt excl. hedging instruments in relation to EBITDA for the last 12 months) amounted to 3.6 as of September 30, 2020 (June 30, 2020: 3.7). Leverage without the costs of the 'Get on Track' program, and thus the relevant leverage for the financial covenants, was 2.9 (June 30, 2020: 3.1).
Considering the above-mentioned factors, the Management Board of NORMA Group SE is now anticipating a decrease in organic sales of around 16% for the financial year 2020 compared to the previous year.
With regard to the adjusted EBITA margin, more than 5% and an adjusted EBIT margin of more than 4% are expected for the financial year 2020. This includes unadjusted costs for the change program "Get on Track" of around EUR 30 million.