EQS-News: AT&S Austria Technologie & Systemtechnik AG: AT&S half-year revenue exceeds one billion for the first time
EQS-News: AT&S Austria Technologie & Systemtechnik AG / Key word(s): Half
Year Results
AT&S Austria Technologie & Systemtechnik AG: AT&S half-year revenue
exceeds one billion for the first time
03.11.2022 / 07:00 CET/CEST
The issuer is solely responsible for the content of this announcement.
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AT&S half-year revenue exceeds one billion for the first time
• Revenue increases by 53% to € 1,070 million in the first half of
2022/23 (PY: € 698 million)
• Adjusted EBITDA at € 335 million, up 139% on the previous year
• Ready for a challenging market environment
• Outlook confirmed for FY 2022/23 within the normal range of
variability: Revenue in the mid-single-digit percentage range below
the previous projection of € 2.2 billion
Leoben – AT&S continued its growth course in the first half of the
financial year 2022/23, achieving record revenue and earnings levels
thanks to the successful implementation of its strategy. “We monitor the
different developments in our target markets very closely and are
preparing to manage volatilities and limited visibility, as we did in
comparable situations in the past. Among other things, we are preparing
for different scenarios regarding our cost position and our investment
projects,” says CEO Andreas Gerstenmayer. “In general, we are convinced
that the major digitalisation and electrification trends are still intact.
Depending on the further development of the overall environment, delays
may occur,” Gerstenmayer comments on the company’s perspective.
Consolidated revenue improved by 53% to € 1,070 million in the first half
of the financial year 2022/23 (PY: € 698 million). Adjusted for currency
effects, consolidated revenue rose by 37%. It should be noted that the
increase was again supported by all segments. The positive development was
primarily driven by the additional capacity for ABF substrates in
Chongqing, China. Furthermore, the strategy to broaden the application
portfolio of mobile devices and to promote the module printed circuit
board business continues to contribute to the company’s success. The AIM
business unit maintained its positive revenue momentum. All three segments
benefited from the dynamic market environment, with the Automotive segment
recording the strongest percentage growth.
EBITDA rose by 141% from € 131 million to € 315 million. The improvement
in earnings is primarily attributable to the increase in consolidated
revenue. Currency fluctuations of the US dollar and the Chinese renminbi
had a positive influence of € 79 million on earnings. Start-up costs in
Chongqing and Kulim, Malaysia, as well as Leoben, Austria, and higher
material, transport and energy costs had a negative impact on earnings.
Research and development expenditures were further increased to ensure
that AT&S will remain a leading innovation driver going forward.
Adjusted for start-up costs, EBITDA amounted to € 335 million (PY:
€ 140 million), which corresponds to an increase by 139%. Without currency
effects, adjusted EBITDA would have grown by 83%.
The EBITDA margin amounted to 29.5% (EBITDA margin adjusted for start-up
costs: 31.3%) thus significantly exceeding the prior year level of 18.7%
(EBITDA margin adjusted for start-up costs: 20.1%). Depreciation and
amortisation increased by € 34 million to € 134 million (13% of revenue
due to additions to assets and technology upgrades). EBIT rose from
€ 30 million to € 181 million. The EBIT margin amounted to 16.9% (PY:
4.4%). Finance costs – net improved from € -8 million in the previous year
to € 66 million, mainly due to a change in currency effects on the high
level of cash and cash equivalents. Profit for the period soared from
€ 18 million auf € 224 million, leading to an increase in earnings per
share by € 5.16 from € 0.36 to € 5.52.
The financial position was characterised by an increase in non-current
assets as of September 30, 2022. Total assets rose to € 4,318 million, up
15% compared to March 31, 2022, primarily as a result of additions to
assets and technology upgrades as well as the inflow of liquid funds due
to bilateral agreements. Despite the increase in total assets, the equity
ratio rose by 1.1 percentage points to 34.5%, thus exceeding 30% despite
the large-scale investment programme.
Cash and cash equivalents declined to € 1,094 million (March 31, 2022:
€ 1,120 million). In addition, AT&S has financial assets and unused credit
lines of € 247 million to secure the financing of the future investment
programme and short-term repayments.
Key figures
Q2 Change H1 H1 Change
in € million Q2 2022/23 2021/22 in % 2022/23 2021/22 in %
Revenue 567 380 49% 1,070 698 53%
EBITDA 178 84 111% 315 131 141%
EBITDA adjusted^1) 190 91 110% 335 140 139%
EBITDA margin (in %) 31.4 22.2 – 29.5 18.7 –
EBITDA margin adjusted 33.6 23.9 – 31.3 20.1 –
(in %)^1)
EBIT 108 31 252% 181 30 496%
EBIT adjusted^1) 121 41 198% 202 46 336%
EBIT margin (in %) 19.1 8.1 – 16.9 4.4 –
EBIT margin adjusted 21.4 10.7 – 18.9 6.6 –
(in %)^1)
Profit for the period 128 24 444% 224 18 1,129%
ROCE (in %)^1) n.a. n.a. – 19.5 3.5 –
Net CAPEX 213 154 39% 490 307 60%
Cash flow from 160 72 123% 366 102 257%
operating activities
Earnings per share (in 3.17 0.55 476% 5.52 0.36 1,433%
€)
Number of employees^2) 15,727 12,885 22% 15,309 12,590 22%
^1) Adjusted for start-up costs
^2) Incl. leased personnel, average. As at September 30, 2022: 15,600
Guidance 2022/23
Depending on the market development, AT&S will continue to concentrate on
the start-up of the new production capacities at plant III in Chongqing,
push ahead the investment project in Kulim and the expansion of the site
in Leoben and implement technology upgrades at other locations in the
financial year 2022/23. In view of the highly volatile environment, the
ongoing investment projects will be reviewed at frequent intervals and
adapted to the respective current situation if required.
The expectations for AT&S’s segments are currently as follows: Despite the
current fluctuations in demand, the market conditions for IC substrates
continue to offer significant growth opportunities in the medium term. The
5G mobile communication standard as well as the module printed circuit
board business will remain positive drivers in the area of Mobile Devices.
In the Automotive segment, the semiconductor shortage should continue to
ease and the growth trend should consequently intensify as the share of
electronics per vehicle continues to increase. In the Industrial and
Medical segments, AT&S expects a positive development for the current
financial year.
As part of the strategic projects, the management is planning investments
totalling up to € 1 billion for the financial year 2022/23 depending on
the market environment and the progress of projects. Roughly € 150 million
are budgeted for basic investments. Planned investments amounting to
€ 100 million of the investment budget for the financial year 2021/22 have
been postponed to the financial year 2022/23. As a result, the planned
investment volume totals up to € 1,250 million.
After the good development in the first half of the year, AT&S expects the
market environment to deteriorate in the second half of the year and now
anticipates revenue in the mid-single-digit percentage range below the
previous projection of € 2.2 billion. Taking into account effects of the
ramp-up of the new production capacities in Kulim, Leoben and Chongqing,
the adjusted EBITDA margin is still expected to range between 27 and 30%.
Outlook 2025/26
The progress of the production capacity expansion in Chongqing and in
Kulim, as well as the expansion of the site in Leoben is still positive
despite the challenging global economic and health situation. The
management is convinced that the major trends – digitalisation and
electrification – are intact. Therefore, AT&S assumes that revenue of
€ 3.5 billion will be generated in the financial year 2025/26 and expects
an EBITDA margin in the range from 27 to 32%.
AT & S Austria Technologie & Systemtechnik Aktiengesellschaft – Advanced
Technologies & Solutions
AT&S is a globally leading manufacturer of high-end printed circuit boards
and IC substrates. AT&S industrialises leading-edge technologies for its
core business segments Mobile Devices & Substrates, Automotive, Industrial
and Medical. AT&S has a global presence with production sites in Austria
(Leoben, Fehring) and plants in India (Nanjangud), China (Shanghai,
Chongqing) and Korea (Ansan near Seoul). A new high-end production site
for IC substrates is currently being established in Kulim, Malaysia. The
company employs roughly 15,000 people. For further information please
visit [1] www.ats.net
Press contact:
Gerald Reischl, Vice President Corporate Communications
Tel: +43 3842 200 4252; Mobile: +43 664 8859 2452; [2]g.reischl@ats.net
Investor Relations contact:
Philipp Gebhardt, Senior Director Investor Relations
Tel: +43 3842 200 2274; Mobile: +43 664 7800 2274; [3]p.gebhardt@ats.net
AT & S Austria Technologie & Systemtechnik Aktiengesellschaft
Fabriksgasse 13
8700 Leoben / Austria
[4] www.ats.net
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03.11.2022 CET/CEST This Corporate News was distributed by EQS Group AG.
www.eqs.com
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Language: English
Company: AT&S Austria Technologie & Systemtechnik AG
Fabriksgasse 13
8700 Leoben
Austria
Phone: +43 (1) 3842200-0
E-mail: ir@ats.net
Internet: www.ats.net
ISIN: AT0000969985, AT0000A09S02
WKN: 922230
Indices: ATX
Listed: Regulated Unofficial Market in Berlin, Dusseldorf, Frankfurt,
Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange;
Vienna Stock Exchange (Official Market)
EQS News ID: 1478031
End of News EQS News Service
1478031 03.11.2022 CET/CEST
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2. g.reischl@ats.net
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