EQS-News

InTiCa Systems SE: Interim Report for 9M 2023 published – Significant rise in volatility and price pressure in recent months - Seite 3

Outlook

The geopolitical uncertainty and the transformation of the industrial landscape are bringing changes that InTiCa cannot escape. As a consequence, considerably higher volatility of order offtake is visible again in both segments. Customers often make changes at very short notice, so the quality of planning by OEMs is no longer as stable as in the past. Although orders on hand remained high at EUR 106 million at the end of the quarter (September 30, 2022: EUR 107 million), despite ongoing intensive contact there is a risk of further cancellations of order offtake by manufacturers in the final quarter or postponement until 2024.

Since a realistic estimate of the level is not possible, it is necessary to maintain high flexibility in terms of production personnel and the supply of materials. Taking into account the associated additional liquidity and cost burden as well as ongoing high uncertainty and knowledge of customers’ current offtake situation, the Board of Directors has therefore reviewed its guidance for the full year 2023. So far, it was assumed that the Group would report sales of between EUR 85.0 million and EUR 100.0 million and an EBIT margin most likely at the lower end of the 2.5% to 3.5% range. Now the anticipated sales range is put at between EUR 85 million and EUR 90 million and the range for the expected EBIT margin has been revised to between -1.0% and +0.5%.

On a medium-term view, however, InTiCa’s viable product and technology strategy remains promising. The project for a cross-platform chassis system has been extended with a considerable increase in volumes. Moreover, in the market for mild-hybrid stator coils, InTiCa has acquired substantial orders this year. These will be ramped up in the coming years. In parallel with this, intensive work is carried out on further projects in the areas of power electronics and EMC filter technology. The installation and start-up of the necessary production lines is proceeding on schedule in most cases.