DGAP-News

STRATEC WITH DOUBLE-DIGIT GROWTH IN SALES AND EARNINGS IN FIRST NINE MONTHS OF 2020 - Seite 3

FINANCIAL GUIDANCE
Given its pleasing business performance in the first nine months of 2020, STRATEC can confirm the financial guidance issued for 2020, which provides for adjusted constant-currency organic sales growth of between 14.0% and 18.0% (2019 sales basis: € 214.2 million) and an adjusted EBIT margin of around 15.5% to 16.5% (2019: 13.7%). In view of the high ongoing demand seen in connection with the COVID-19 pandemic and updated forecasts, STRATEC nevertheless currently expects to reach the upper ends of the aforementioned sales growth and adjusted EBIT margin corridors.

For 2020, STRATEC still expects its investments in property, plant and equipment and intangible assets to correspond to around 10% to 12% of sales. Investments in property, plant and equipment mainly relate to the construction work currently underway to significantly extend the buildings at the company's main location in Birkenfeld. This work was largely completed in the third quarter of 2020. As a result, the investment ratio is expected to decrease further in 2021.

PROJECTS AND OTHER DEVELOPMENTS
STRATEC has reached further important milestones in its development projects in recent months. In the Smart Consumables segment, for example, serial production for a polymer-based smart consumable has been launched for a partner in the field of flow cytometry. Furthermore, STRATEC concluded new cooperation agreements with partners and pressed further ahead with negotiations concerning numerous new development projects. The construction work begun in the 2018 financial year to significantly extend the buildings at the company's main location in Birkenfeld was almost completed in the third quarter.

DEVELOPMENT IN PERSONNEL
Including personnel hired from a temporary employment agency and trainees, the STRATEC Group had a total of 1,315 employees as of September 30, 2020 (previous year: 1,282). Adjusted to account for the disposal of the Data Solutions business unit, this corresponds to organic growth of 7.0% in the workforce compared with the previous year (nominal growth: +2.6%). The rise in the number of employees is due among other factors to increased production capacities in connection with the COVID-19 pandemic.