Vossloh with strong third quarter and positive outlook for the year - sales and earnings guidance for 2022 specified
Following a comprehensive reassessment of opportunities and risks in the further course of the year, the Executive Board of Vossloh AG specified its most recently communicated guidance for fiscal year 2022 (see ad hoc announcement dated May 12, 2022).
From today's perspective, the Executive Board expects sales to be between €1.0 billion and €1.05 billion, while the most recently communicated expectation was in a corridor between €0.95 billion and €1.05 billion. With regard to profitability, Vossloh now expects an EBITDA margin for the full year of between 12.0 percent and 12.5 percent respectively an EBIT margin of between 7.0 percent and 7.5 percent. Most recently, an EBITDA margin of between 11.5 percent and 13.5 percent and an EBIT margin between 6.0 percent and 8.0 percent was forecasted. The more specific earnings forecast compared with the previous forecast corridors is due in particular to a lower overall burden from rising material and energy costs and lower other inflation-related cost increases.
“The strength of companies and the sustainability of business models are best demonstrated under difficult conditions. In a period characterized by massively disrupted supply chains, enormous cost increases on the procurement side, and a high degree of global political uncertainty, Vossloh is proving to be highly crisis-proof. In 2022, for the first time in the company's history, we will generate sales of more than one billion euros in the rail infrastructure sector with profitability almost matching the prior-year level – and this despite the fact that we will only be able to pass on rising material and energy costs to our customers in part or with a time lag. This is made possible not least by our global positioning, technological leadership in almost all areas of our business, our differentiated understanding of rail infrastructure, our innovative strength, and continuous efficiency improvements. As a leading supplier of infrastructure-based solutions for railbound and thus green mobility, we address some of the most pressing challenges of our time. On this basis, Vossloh will continue to grow profitably and further expand its market position in the years and decades ahead," says Oliver Schuster, CEO of Vossloh AG.
This positive outlook for the full year is also underpinned by a strong business performance in the third quarter of 2022. Based on preliminary figures, Vossloh generated sales of €279.8 million (previous year: €235.8 million) and EBITDA of €39.0 million (previous year: €32.4 million) and EBIT of €26.1 million (previous year: €19.8 million) in the third quarter of 2022. This corresponds to an EBITDA margin of 13.9 percent (previous year: 13.7 percent) respectively an EBIT margin of 9.3 percent (previous year: 8.4 percent).
The full figures for the first nine months of 2022 will be published with the interim statement on October 27, 2022.
Vossloh is a global technology group that has stood for quality, safety, customer orientation, reliability and innovative strength for over 135 years. With its comprehensive range of rail-related products and services, Vossloh is one of the world market leaders in this sector. Vossloh offers a uniquely broad range of products and services under one roof: Rail fastening systems, concrete sleepers, switch systems and crossings as well as innovative and increasingly digital-based services for the entire life cycle of rails and switches. Vossloh uses its systemic understanding of the track to address the central customer need of "availability of the rail track".
Vossloh products and services are used in more than 100 countries. With some 80 group companies in around 30 countries and over 35 production locations, Vossloh is active on the ground worldwide. Vossloh is committed to sustainable corporate governance and climate protection and with its products and services makes an important contribution to the sustainable mobility of people and goods.
The Group's activities are divided into three divisions: Core Components, Customized Modules and Lifecycle Solutions. In fiscal 2021, Vossloh generated sales of €942.8 million with around 3,600 employees.