DGAP-News

STS Group AG emerges stronger from 2020 and publishes positive outlook for the 2021 financial year - Seite 2

Due to the decline in turnover, the operating result before interest, taxes, depreciation and amortization (EBITDA) for the Group in the reporting year was 14.7 mEUR and thus below the level of the previous year (2019: 15.3 mEUR). In the 2020 financial year, extraordinary expenses totaling 3.0 mEUR (2019: 2.6 mEUR) were incurred. Of these, 2.7 mEUR were related to restructuring and severance costs, of which 1.7 mEUR were for the restructuring of the Group headquarters in Hallbergmoos and the compulsory redundancies of employees. A further 0.3 mEUR was related to the sale of the Acoustics segment.

Adjusted EBITDA in the 2020 reporting year at 17.7 mEUR was almost at the same level as the previous year (2019: 17.9 mEUR). The strong growth of the high-margin China segment almost compensated for the revenue-related earnings declines of the other units. The restructuring of Group headquarters also had a positive effect on adjusted EBITDA. As a result, the adjusted EBITDA margin improved from 7.1% in 2019 to 7.5% in the 2020 financial year.

The result from discontinued operations includes the result of the Acoustics segment from the first ten months of the financial year of -13.2 mEUR (2019: -7.6 mEUR) and the positive result from the deconsolidation of 3.9 mEUR.

The consolidated result from continuing operations amounted to -6.6 mEUR (2019:
-4.5 mEUR). Taking into account the result from discontinued operations, the total consolidated result for the 2020 financial year is -15.9 mEUR (2019: -12.1 mEUR).

Equity amounted to 51.1 mEUR as of December 31, 2020, compared to 68.6 mEUR as of December 31, 2019, corresponding to an equity ratio of 27.5% (December 31, 2019: 26.8%). Cash and cash equivalents amounted to 20.0 mEUR as of the balance sheet date (December 31, 2019: 17.2 mEUR). A positive net cash flow was achieved in the reporting period, mainly due to a strong increase in financing cash flow. This is mainly due to the borrowings of government-guaranteed loans, which were granted in the course of the COVID-19 pandemic, especially for the French units. The Group's net financial debt decreased by 16.2 mEUR to 22.9 mEUR as of December 31, 2020 (December 31, 2019: 39.1 mEUR). Financial liabilities consist of liabilities to banks of 20.7 mEUR (December 31, 2019: 12.4 mEUR), loans from third parties of 3.8 mEUR (December 31, 2019: 7.7 mEUR), lease liabilities of 12.0 mEUR (December 31, 2019: 24.1 mEUR) and other financial liabilities of 6.5 mEUR. Liabilities from factoring no longer existed as of December 31, 2020 (December 31, 2019: 12.1 mEUR). Net financial debt was reduced in particular due to the sharp reduction in financial liabilities. This is mainly due to the sale of the Acoustics segment and the resulting disposal of financial liabilities in the fourth quarter of 2020.