Adhoc: R&S Group Holding AG: R&S Group publishes capital expenditures plans and updates FCF guidance accordingly

R&S Group Holding AG / Key word(s): Conference
R&S Group publishes capital expenditures plans and updates FCF guidance accordingly

31-Oct-2024 / 06:30 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 publishes capital expenditures plans and updates FCF guidance accordingly

31 October 2024 - R&S Group Holding AG (SIX: RSGN), on occasion of its first Capital Markets Day in Zurich, Switzerland, informs about an update on strategic initiatives, the progress on the integration of Kyte Powertech, combined financials and an insight into growth drivers.

As part of the combined business plan, R&S Group expects to reach net sales between CHF 280 - 290 million for full-year (FY) 2024, corresponding to organic growth of above 12% in line with the guidance and including four months of Kyte Powertech, with an EBIT margin of around 20%. Mid-term, net sales are expected to grow organically around 12% at constant currency exchange rates and the EBIT margin to remain around 20%.

The Group updates its guidance for free cash flow (FCF) to above 12% for FY 2024 and to a range of 10-12% until FY 2027, from mid-teens double-digit, due to capacity expansion at its manufacturing sites. As such, the Board of Directors on 30 October 2024 endorsed investment plans of around CHF 25 million each for 2025 and 2026 mainly for capacity expansion for power transformers, cast resin transformers as well as for Kyte Powertech. In percent of net sales, capital expenditures are expected to be in the range of 5-6%, up from 2-3% on a normalized basis.

R&S Group also informs about the 99% conversion of its redeemable warrants into RSGN registered shares until 30 October 2024. As a result, the number of shares outstanding currently amounts to 37,226,128 and the free float has increased to 76%.

Event
The Capital Markets Day will take place today at 14.00 CET at Park Hyatt, Zurich. The agenda includes presentations by Markus Laesser, Group CEO, Matthias P. Weibel, Group CFO, Stephanie Leonard, Managing Director Kyte and Ulrich Voss, Chief Sales Officer. For last minute registrations, please send an e-mail.

Webcast
The event will also be broadcast via webcast. Participants who wish to follow the event online are asked to pre-register under this link.

Presentation
The slide deck of the Capital Markets Day presentations is available here.

Calendar

6 March 2025	Trading Update
15 April 2025	Release of full-year results
14 May 2025	Annual General Meeting 2025

Contact
Doris Rudischhauser
Investor Relations Officer
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 eight manufacturing facilities in Switzerland, Italy, Poland, Ireland and the Middle East, the group serves its domestic and various European and export markets with single-phase, small and medium distribution and power transformers and other components under the brands of Rauscher & Stoecklin, ZREW, Tesar and Kyte. R&S Group's customers are active 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 since 13 December 2023 under the ticker symbol RSGN. On 20 August 2024, the company acquired Kyte Powertech, a leading supplier of distribution transformer solutions based in Cavan, Ireland, thus significantly expanding geographic footprint to Ireland, the UK, Benelux and France, and adding complimentary products.

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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File: R&S Group publishes capital expenditures plans and updates FCF guidance accordingly

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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:	2019423

End of Announcement	EQS News Service

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2019423 31-Oct-2024 CET/CEST