DGAP-News

Leifheit Aktiengesellschaft: Strong turnover and earnings growth; annual forecast raised

DGAP-News: Leifheit Aktiengesellschaft / Key word(s): 9 Month figures/Quarterly / Interim Statement Leifheit Aktiengesellschaft: Strong turnover and earnings growth; annual forecast raised 11.11.2020 / 08:28 The issuer is solely responsible for the content of this announcement. Leifheit AG: Strong turnover and earnings growth; annual forecast raised

• Group turnover in 9M 2020 sees double-digit increase to EUR 201.9 million
• Domestic market of Germany sees turnover growth of 8.2%
• Group EBIT more than doubled year on year to EUR 15.4 million
• Advertising campaigns in Q3 increase consumer demand for bestsellers
• Board of Management raises turnover and earnings forecast for 2020 as a whole

Nassau, Germany, 11 November 2020 - Leifheit AG, a leading European brand supplier of household items, continued its growth trajectory in the third quarter of 2020 and recorded a significant rise in turnover and earnings in the first nine months of financial year 2020. The Leifheit Group generated earnings before interest and taxes (EBIT) of EUR 15.4 million in the first nine months of 2020. This is more than twice the previous-year figure of EUR 7.1 million. The positive earnings growth was primarily due to the systematic implementation of the Scaling Up Success growth strategy. Group turnover increased year on year by 13.9% to EUR 201.9 million. At the same time, the Leifheit Group improved the gross margin by 1.9 percentage points to 44.7%, which, combined with strict cost management, led to the disproportionately high growth in earnings. Less taxes, this equalled a net result for the period in the first nine months of 2020 of EUR 10.6 million (previous year: EUR 4.2 million) and earnings per share of EUR 1.11 (previous year: EUR 0.45).

Henner Rinsche, Chairman of the Board of Management of Leifheit AG, says: "Thanks to our growth strategy, we were able to continue the positive business development in the third quarter. Particularly in Germany we have heavily invested in TV and printed advertising again. We therefore succeeded in reversing the trend in the German market, where we recorded a growth of 8.2% in the first nine months of the year. Overall, the products advertised on TV made an above-average contribution to turnover in Germany and other European markets."