EQS-News

RENK Group continues growth path with strong order intake in the first half of 2023 - Seite 2

“The revenue growth in the first half of the year and our strong order intake reflect the high demand for our products,” said Susanne Wiegand, CEO of RENK Group. “The global need for technological renewal of armed forces as a result of the Zeitenwende, the recent turning point in defense policy, will remain a growth driver for us in the future. These developments encourage us to stay the course of sustainable and efficient growth. We have built the foundation for it in recent months.”

High visibility for future orders

Based on its long-term customer relationships, supply contracts and aftermarket services, RENK has a high visibility regarding future orders.

“As a ‘trusted partner’, we stand by our customers’ sides along the entire product life cycle. Land and naval platforms in the defense sector are highly complex and recognized in particular for their longevity. The life cycle of such a platform can stretch up to 40 years or longer. Incidentally, this does not differ significantly in energy generation or heavy industry plants in the civil sector,” says Susanne Wiegand.

Supported by profitable growth, RENK Group was also able to reduce leverage again in the first half of 2023 despite the successful acquisition of General Kinetics: The leverage ratio, i.e., the ratio of net debt^[3] to adjusted EBITDA[4], now stands at 2.1x (financial year-end 2022: 2.2x).

Sustainability risk assessed by Sustainalytics

In the second quarter, RENK Group published its first sustainability report, outlining its sustainability strategy, with which the company addresses several focus and action areas. In addition to increasing energy efficiency and supporting customers’ energy transition through its products, RENK focuses on operating sustainably, being an employer of choice, protecting human rights in its value chain and acting responsibly. This includes pursuing the clear goal of becoming net climate neutral (Scope 1 and 2) in Europe by 2030 and globally by 2040. The company’s sustainability risks were assessed with an ESG risk rating of 22.6 (medium risk) by Sustainalytics in June 2023. This places RENK Group within the top 15 percent of the Sustainalytics machinery universe peer group.