Draegerwerk Stock: Profits Surge Despite Flat Revenue Growth

The Lübeck-based medical and safety technology company Draegerwerk demonstrated remarkable financial resilience in fiscal year 2024, despite falling slightly short of revenue targets. While consolidated revenue remained steady at €3.4 billion with a modest currency-adjusted increase of 0.6 percent, the company's operating profit (EBIT) showed impressive growth, jumping 19 percent to €197 million. This performance translated into an EBIT margin of 5.8 percent, exceeding initial expectations. The market responded enthusiastically to these results, with the company's stock price surging nearly nine percent to reach over €53 on Thursday, marking its highest level since July of the previous year.

2025 Growth Projections

Looking ahead, Draegerwerk maintains an optimistic outlook for fiscal year 2025, targeting currency-adjusted revenue growth between one and five percent. The company expects its operating margin to range from 3.5 to 6.5 percent. Notably, order intake across both business segments reached record levels, excluding the pandemic period. The final financial figures and dividend proposal are scheduled for release in early April, with the company maintaining its target dividend payout ratio of approximately 30 percent of consolidated profit.