EQS-News

VARTA AG expects significantly better second half of 2023

EQS-News: VARTA AG / Key word(s): Change in Forecast VARTA AG expects significantly better second half of 2023 26.07.2023 / 07:53 CET/CEST The issuer is solely responsible for the content of this announcement.

 

Press release

Ellwangen, 26^th July 2023

 

 

VARTA AG expects significantly better second half of 2023

 

With a view to the traditionally strong business in the second half of the year and a renewed increase in demand, VARTA AG is optimistic about the coming months. In addition, positive developments of the ongoing restructuring measures are becoming apparent. The first half of 2023 remained overshadowed by the consequences of the global crises. As a result, VARTA AG has adjusted its forecast for the current financial year. Above all, the volatile demand for certain products from customers has been the decisive factor for the correction, which was made on the basis of preliminary half-year results. VARTA will publish the final figures for the first half of 2023 on 11^th August.

Dr Markus Hackstein, Speaker of the Executive Board of VARTA AG: "Demand for our products is increasing. This puts us in a positive frame of mind. We will open our new factory for energy storage systems in Ellwangen in the second half of 2023. We see a market here that continues to grow strongly, in which we would like to be even more present with our innovative and powerful devices such as VARTA.wall. However, the positive developments as well as the progress of the ongoing restructuring cannot completely cushion the effects of the challenges we have faced in recent months."

Particularly in the CoinPower segment, the small lithium-ion cells used primarily in True Wireless Stereo Headsets (TWS), VARTA's customers have continued to be affected by lower demand. In the case of zinc-air hearing aid and household batteries, the stocks built up by end customers during the Corona pandemic have made themselves felt in declining sales.

In general, VARTA AG expects business to pick up due to the generally stronger second half of the year. At the Nördlingen production site, short-time working will be reduced in stages in the coming months in order to be able to produce customer orders from the CoinPower division.