Adhoc: R&S Group Holding AG: R&S Group reports strong H1 operational performance with an adjusted EBIT margin of 23.2%

R&S Group Holding AG / Key word(s): Half Year Results
R&S Group reports strong H1 operational performance with an adjusted EBIT margin of 23.2%

19-Aug-2024 / 17:45 CET/CEST
Release of an ad hoc announcement pursuant to Art. 53 LR
The issuer is solely responsible for the content of this announcement.

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Ad hoc announcement pursuant to Art. 53 LR

R&S Group reports strong H1 operational performance with an adjusted EBIT margin of 23.2%

• H1 2024 EBIT of CHF 24.0 million (equals an EBIT margin of 21.8%) and adjusted EBIT of CHF 25.5 million, up 41% compared to adjusted EBIT H1 2023, corresponds to an EBIT margin of 23.2%
• Net profit of CHF 12.1 million, impacted by non-recurring tax payment of CHF 3.7 million
• Record order backlog of CHF 218 million testimony of positive market momentum

19 August 2024 - R&S Group Holding AG (SIX: RSGN) today announced further key figures (unaudited) for the first half-year (H1) 2024. As previously reported, H1 2024 net sales amounted to CHF 109.9 million, corresponding to an organic growth of 15% when adjusting H1 2023 for the sale of SERW, the divested high-voltage switches business in the Czech Republic. H1 2024 order intake of CHF 141.0 million, an increase of 18%, and a record order backlog of CHF 218.2 million as of 30 June 2024 are testimony to the positive momentum in R&S Group's focus markets.

Operating performance in H1 2024 was above expectations with an adjusted EBIT of CHF 25.5 million, equivalent to an adjusted EBIT margin of 23.2%. This compares to an adjusted EBIT of CHF 18.1 million and an adjusted EBIT margin of 19.0%, respectively, in H1 2023, an adjusted EBIT increase of 41%. Higher than expected tax expenses due to a non-recurring tax payment of CHF 3.7 million relating to prior tax periods had a negative impact on H1 2024 net profit, which amounted to adjusted CHF 17.3 million compared to adjusted CHF 14.2 million in H1 2023.

Adjusted free cash flow amounted to CHF 7.5 million in H1 2024, compared to CHF -1.9 million (adjusted) in the prior half-year period. Following the dividend payment of CHF 6.9 million and a repayment of financial liabilities in the amount of CHF 7 million in H1 2024, the net financial position as of 30 June 2024 amounted to CHF 5.1 million.

The balance sheet contains a strong liquidity position of CHF 44 million as of 30 June 2024 and 1 million treasury shares at an actual market value of around CHF 14 million.

The company will host a conference for analysts, investors and the media in Zurich on 20 August 2024, at 11.00 CEST, St. Peterstrasse 19, 8001 Zurich. A pre-registration by e-mail is appreciated.

Alternatively, the conference can be joined online via Teams Call (LINK).

The H1 2024 financial report including the full financial statements will be published on 11 September 2024.

Consolidated key figures
in MCHF	H1 2023 reported	H1 2023 adjusted 1	H1 2024 reported 1	H1 2024 adjusted	Change in adjusted figures
Order intake	133.3	119.3	141.0	141.0	18%
Order backlog	188.1	174.6	218.2	218.2	25%
Net sales	103.0	95.4	109.9	109.9	15%
Operating result (EBIT)	18.6	18.1	24.0	25.53	41%
as percent of net sales	18.1%	19.0%	21.8%	23.2%	+1.4pps
Net profit	14.5	14.2	12.1	17.32,3	22%
Free cash flow	-2. 4	-1.9	5.5	7.52	n/a
Net financial position	2.5	2.5	5.1	5.1	104%

¹ without figures of plant in Czech Republic (SERW), which was divested on 5 Dec. 2023
² excluding subsequent tax payment in Italy of 3.7 MCHF (cash impact of 2 MCHF for H1 2024)
³ excluding M&A costs of 1.5 MCHF

Calendar 2024
11 September	2024 half-year report
31 October	Capital Markets Day

Contact Investor and Media Relations
Doris Rudischhauser
Phone: [phone]
Email: [e-mail]

About R&S Group
R&S Group Holding AG's ("R&S Group", the "company") operating headquarters are located in Sissach/BL, Switzerland. With six manufacturing facilities in Switzerland, Italy, Poland and the Middle East, R&S Group serves its domestic and various European export markets with small and medium power and distribution transformers and other components in the utility, infrastructure and industrial sectors. The company has been successfully positioned to benefit from the accelerating demand for energy production and distribution, driven by the global trend towards decarbonization. R&S Group has been listed on SIX Swiss Exchange on 13 December 2023 under the ticker symbol RSGN following its successful business combination with VT5 Acquisition AG, a previously Swiss-listed Special Purpose Acquisition Company (SPAC).

Further information about the R&S Group can be found at www.the-rsgroup.com.

Disclaimer
This communication expressly or implicitly contains certain forward-looking statements concerning R&S Group Holding AG and its business. Such statements involve certain known and unknown risks, uncertainties and other factors, which could cause the actual results, financial condition, performance or achievements of R&S Group Holding AG to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. R&S Group Holding AG is providing this communication as of this date and does not undertake to update any forward-looking statements contained herein as a result of new information, future events or otherwise.

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End of Inside Information

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Language:	English
Company:	R&S Group Holding AG
	Zentrum Staldenbach 3
	8808 Pfäffikon SZ
	Switzerland
E-mail:	[e-mail]
Internet:	www.the-rsgroup.com
ISIN:	CH1107979838, CH1108008082
Listed:	SIX Swiss Exchange
EQS News ID:	1970783

End of Announcement	EQS News Service

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1970783 19-Aug-2024 CET/CEST