Kirn, 3 August 2022. The SIMONA Group succeeded in further expanding both revenue and earnings in the first half of the financial year. Driven by price-related effects and acquisitions, revenue increased by 40.5 per cent to €365.2 million (previous year: €259.9 million). In the second quarter, Group revenue rose by 38.7 per cent to €192.0 million (same quarter last year: €138.4 million). As from the middle of the second quarter, the slowdown in economic activity has been reflected in declining order intake, particularly in the EMEA region. Compared to the very solid first half of the previous year, Group EBIT increased again to €28.7 million (previous year: €27.0 million). Due to the more pronounced increase in revenue, the EBIT margin fell from 10.4 to 7.9 per cent. In view of the solid performance in the first half of the financial year and a substantial order backlog, SIMONA has raised its Group revenue forecast for the full year to €650-670 million (previously €590-610 million), despite heightened economic risks. The Group's guidance with regard to its EBIT margin remains unchanged at 6-8 per cent.

All three regions contributed to the expansion in revenue. The region comprising EMEA saw sales revenue expand by 36.2 per cent to €238.1 million in the first half (previous year: €174.9 million). This was driven mainly by price-related effects and revenue generated by SIMONA PEAK Pipe Systems, United Kingdom, an entity acquired by SIMONA and consolidated for the first time in the period under review. In the region encompassing the Americas, revenue increased disproportionately by 55.4 per cent to €102.3 million (previous year: €65.9 million). While leisure applications were adversely affected by waning private consumption, the aircraft interiors business benefited from the recovery in global air travel. Furthermore, particularly buoyant business in the area of industrial products helped to boost revenue in the Americas. The Asia-Pacific region, which saw growth of 29.4 per cent from €19.1 million to €24.8 million, benefited from consistently strong business in the area of semiconductor and solar power applications.

Sales revenues were expanded in all fields of application. The Industry business line, which primarily serves the chemical process and semiconductor industries, generated revenue of €147.3 million (previous year: €120.4 million), an increase of 22.3 per cent. The Advertising & Building business line achieved revenue of €55.9 million (previous year: €35.8 million; +56.1 per cent). The Infrastructure business line saw revenue expand to €56.6 million (previous year: €34.9 million; +62.0 per cent), which was due in part to the first-time inclusion of SIMONA PEAK in the United Kingdom. The Mobility business line generated revenue of €36.4 million (previous year: €25.2 million; +44.7 per cent). The remaining revenues from various other fields of application and trade are summarised under "Others" and amount to €69.0 million (previous year: €43.6 million).

Group earnings before interest and taxes (EBIT) rose to €28.7 million (previous year: €27.0 million). EBIT for the first half of 2021 included €2.5 million in assistance from the government's Paycheck Protection Program (PPP) to mitigate the effects of the COVID-19 pandemic in the United States. Thus, year-on-year growth was even more pronounced in operational terms. In view of the price-induced surge in revenue, the EBIT margin declined from 10.4 to 7.9 per cent, which is still at the upper end of the target corridor of 6-8 per cent. In the EMEA region, EBIT was down in the first half of the year due to a number of exceptional factors, but remained satisfactory. In the Americas, meanwhile, EBIT doubled compared to the same period last year. The Asia-Pacific region also saw an expansion in EBIT.

"SIMONA performed strongly against the backdrop of challenging economic and geopolitical conditions. We performed well in managing the ongoing effects of distortions within the commodity markets and were able to leverage demand – which remained largely stable – within our areas of application in the first half of the year to generate further growth," says Matthias Schönberg, CEO of SIMONA. "We are very satisfied with our earnings performance. We succeeded in increasing EBIT once again compared to the very solid first half of the previous year. Since the second quarter, we have felt a slowdown, especially in EMEA, with declining order intake. The threat of recession coupled with surging inflation and the ongoing Russia-Ukraine war are eroding customer confidence and exerting downward pressure on investment. Nevertheless, we are confident for the year as a whole. Our order backlog remains high. We are raising our revenue forecast to €650-670 million and remain committed to achieving Group EBIT of 6-8 per cent," says Schönberg.tthias Schönberg, CEO of SIMONA.

To the financial reports

SIMONA – Global Thermoplastic SolutionsSIMONA AG is one of the leading manufacturers of thermoplastic products, with production facilities and sales offices around the globe, as well as an acknowledged development partner within this field. The company's portfolio includes semi-finished products (sheets, rods, profiles, welding rods), pipes and fittings. SIMONA employs approx. 1,650 people worldwide. The Group manufactures 35,000 products in Germany and abroad, offering best-in-class solutions tailored to a wide range of applications in the fields of industry, infrastructure, mobility, building, advertising and aquaculture. Annual production exceeds 150,000 tonnes. SIMONA AG is a stock corporation listed in the General Standard. The company's registered office is in Kirn, Rhineland-Palatinate (Germany). For further information, please refer to www.simona.de.Copy of article appreciated