EQS-Adhoc: PIERER Mobility AG: Market development in the second half of the year below expectations; guidance 2024 canceled; PIERER Mobility AG reduces Executive Board to two members
EQS-Ad-hoc: PIERER Mobility AG / Key word(s): Change in Forecast/Personnel
PIERER Mobility AG: Market development in the second half of the year
below expectations; guidance 2024 canceled; PIERER Mobility AG reduces
Executive Board to two members
21-Oct-2024 / 20:02 CET/CEST
Disclosure of an inside information acc. to Article 17 MAR of the
Regulation (EU) No 596/2014, transmitted by EQS News – a service of EQS
Group AG.
The issuer is solely responsible for the content of this announcement.
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Ad hoc announcement pursuant to article 17 Regulation (EU) No 596/2014
(MAR)
Ad hoc announcement pursuant to article 53 LR
Wels, October 21, 2024
PIERER Mobility AG: Market development in the second half of the year
below expectations; guidance 2024 canceled; PIERER Mobility AG reduces
Executive Board to two members
The difficult macroeconomic conditions are lasting longer than expected.
The European economy is stagnating, with the important German market in
particular in recession. In the USA, consumer purchasing power remains low
due to the high cost of living and the long period of expensive consumer
credit.
Motorcycle segment: US market as a whole declining, Europe losing momentum
The second half of the year at PIERER Mobility is generally characterized
by a high-margin product mix, especially in the offroad segment. However,
the available registration data for the overall motorcycle market in the
USA for the period from January to September 2024 shows a decline of 6.3%.
September was also the weakest month since January 2024 with a decline of
14.6%, meaning that a rapid recovery cannot be expected.
In Europe, the registration data for the overall motorcycle market from
January to September 2024 is at the previous year’s level due to increases
in the low-price segment. However, they show a slowdown in momentum.
Despite the slight reduction in inventories, further destocking remains an
important objective. However, PIERER Mobility remains clearly committed to
supporting dealers and suppliers as a strategic partner in these difficult
times. As a result of measures taken in this regard, working capital and
consequently the company’s net debt and interest expenses increased.
Bicycle segment: restructuring is in full swing, destocking continues
The balance sheet restructuring will be completed in 2024. This will
involve an additional extraordinary impairment requirement that is higher
than originally assumed.
The reduction of the cost structure in the core business with a reduction
in the headcount and the consolidation of all R&D activities for the Group
brands has already been implemented to a large extent. The redimensioning
of the entire bicycle division will be systematically continued in 2025.
The aim is to operate the bicycle division profitably with a business
model focused on niches and premium.
Guidance 2024 canceled
As a result of these circumstances, PIERER Mobility will fall short of
expectations in terms of revenue and earnings, as well as with regard to
the reduction in working capital and net debt in the current financial
year, and is revoking its guidance for the 2024 financial year. A new
review of non-cash value adjustments will also be carried out by the end
of the year.
PIERER Mobility AG reduces Executive Board to two members
In the course of the reorientation of PIERER Mobility, the Executive Board
of the listed holding company will be reduced from six to two members:
Stefan Pierer (CEO) and Gottfried Neumeister (Co-CEO).
Contact:
Investor Relations
Hans Lang
Tel.: +43 676 4140945
Email: [1]ir@pierermobility.com
Website: [2] www.pierermobility.com
ISIN: AT0000KTMI02; Swiss Valor Number (Switzerland): 41860974; Ticker
Symbol: PKTM; Bloomberg: PKTM SW, PKTM AV; Reuters: PKTM.S; PKTM.VI
End of Inside Information
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21-Oct-2024 CET/CEST News transmitted by EQS Group AG. www.eqs.com
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Language: English
Company: PIERER Mobility AG
Edisonstrasse 1
4600 Wels
Austria
Phone: +43 (0) 7242 69 402
E-mail: ir@pierermobility.com
Internet: www.pierermobility.com
ISIN: AT0000KTMI02
WKN: A2JKHY
Listed: SIX, Vienna Stock Exchange
EQS News ID: 2012893
Valorennummer (Schweiz): 41860974 Wertpapierkürzel: PKTM Bloomberg: PKTM
SW; PKTM AV Reuters: PKTM.S; PKTM.VI
End of Announcement EQS News Service
2012893 21-Oct-2024 CET/CEST
References
Visible links
1. ir@pierermobility.com
2. https://eqs-cockpit.com/cgi-bin/fncls.ssp?fn=redirect&url=22eb2acef6b31126366f8fd4e5fa4f46&application_id=2012893&site_id=apa_ots_austria~~~18b544d0-9c71-4160-bd95-cc8b9aff9fbf&application_name=news
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