Contact

Obtain an offer

Covid-19 pandemic and measures to boost profitability have considerable impact on figures for FY 2019/20

20/05/2020

  • Total sales approximately 6 percent below previous year – EBITDA margin excluding effects of restructuring at 4.3 percent
  • At € –343 million, net result after taxes impacted by planned restructuring expenses and Covid-19 effects
  • Net financial debt considerably reduced from € 250 million to € 43 million
  • Negotiations about package of measures to boost profitability nearly completed

During a challenging financial year 2019/20 (April 1, 2019 to March 31, 2020), business operations at Heidelberger Druckmaschinen AG (Heidelberg) was impacted by the increasingly deteriorating economic environment caused by the Covid-19 pandemic. Based on preliminary figures yet to be audited, Group sales amounted to € 2,349 million, some 6 percent down on the previous year. Restrained investment activity caused by the economic circumstances had a negative impact on business, first and foremost in Europe. During the fourth quarter, macroeconomic conditions worsened considerably and unexpectedly due to the Covid-19 pandemic and this was clearly reflected in sales, which at € 659 million were significantly lower than in the same quarter of the previous year (€ 797 million).

The preliminary operating result (EBITDA) excluding the effects of restructuring was € 102 million, after being € 180 million in the previous year. The EBITDA margin excluding the effects of restructuring thus reached 4.3 percent and was below the previous year's figure of 7.2 percent due to volume and product mix effects. Furthermore, the non-recurring expenditure for the company’s realignment (€ 275 million) impacted the result for the financial year under review as planned. The provisional net result after taxes was thus € –343 million (previous year: € 21 million).

“Financial year 2019/20 was shaped by a significant downturn in the global economic climate, and that affected our customers and Heidelberg itself, too. Through our package of measures which we have announced in March, we have paved the way for Heidelberg to achieve stability, improve our liquidity and increase profitability step by step for the long term. The Covid-19 pandemic poses significant challenges for Heidelberg and the entire industry, which we will master alongside our customers and using what Heidelberg has to offer as a technology leader in the printing industry. By joining forces, we will emerge stronger from the crisis," says Rainer Hundsdörfer, CEO of Heidelberg.

Liquidity considerably improved – driving forward the roll-out of the announced measures to stabilize finances and boost profitability
Further Information
Important note
How can we help you?

We look forward to your message. In order to be able to react quickly to your request, we need some information. *These fields are required.