2020-07-23
Mikron with drop in demand from the automotive industry and good performance in pharmaceutical and medical technology
At CHF 125.7 million, the Mikron Group's order intake for the first half of 2020 is well below the corresponding figure for the first half of 2019 (CHF 163.9 million). The order backlog stands at CHF 155.0 million (June 30, 2019: CHF 183.3 million, -15.4%), while sales declined from CHF 176.8 million in the first half of 2019 to CHF 121.3 million (-31.4%).
With a 50% share of sales, Europe (including Switzerland) remained the Mikron Group's principal sales market in the first half of 2020. Sales here fell by 39% compared with the first half of 2019. Sales in the USA rose by 9% compared with the first half of 2019, while sales in Asia fell by 52%.
Due to the significant drop in sales in the Mikron Machining Solutions business segment and the lack of volume at the Berlin site in the Mikron Automation business segment, the Group's EBIT (before restructuring costs) of CHF -5.7 million in the first half of 2020 was significantly lower than in the first half of 2019 (CHF 7.5 million). The Automation business segment, whose results are strongly negatively impacted by the Berlin site, posted EBIT (before restructuring costs) of CHF 2.9 million (first half of 2019: CHF 6.4 million). EBIT before restructuring costs for the Mikron Machining Solutions business segment, at CHF -9.0 million, was also well below the corresponding prior-year figure (first half of 2019: CHF 1.7 million). After restructuring costs of CHF 15.9 million, which include the sale of the Berlin and Kaunas sites and capacity adjustments in Agno and Rottweil, Group EBIT stands at CHF -21.6 million. Loss for the first half of 2020 is CHF -24.0 million (profit for first half of 2019: CHF 4.7 million).
Outlook
A forecast for the second half of the year is very difficult to make due to the unpredictable development of the corona pandemic, the general uncertainty in the automotive industry and in view of general political risks. Mikron expects business in the pharmaceutical and medtech industries market segment to remain good. However, Mikron does not anticipate a rapid recovery in demand from the automotive industry, with the result that the second half of the year is also expected to show an EBIT loss on a par with the first half (before restructuring costs). The expected restructuring costs have been fully recognized in the half-year financial statements, so that the second half of the year will not be affected.
Key Figures for the Mikron Group in the first half year 2020
|
| 1.1.–30.6.20 |
| 1.1.–30.6.19 |
| +/- |
CHF million 1) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Order intake |
| 125.7 |
| 163.9 |
| -23.3% |
- Machining Solutions |
| 37.2 |
| 75.2 |
| -50.5% |
- Automation |
| 88.5 |
| 88.8 |
| -0.3% |
Net sales |
| 121.3 |
| 176.8 |
| -31.4% |
- Machining Solutions |
| 47.3 |
| 83.6 |
| -43.4% |
- Automation |
| 74.1 |
| 94.1 |
| -21.3% |
EBIT 2) before restructuring costs |
| -5.7 |
| 7.5 |
| n.a. |
EBIT 2) |
| -21.6 |
| 7.5 |
| n.a. |
Loss/profit |
| -24.0 |
| 4.7 |
| n.a. |
Operating cash flow |
| 8.4 |
| -12.0 |
| n.a. |
|
| 30.6.20 |
| 30.6.19 |
| +/- |
|
|
|
|
|
|
|
Order backlog 2) |
| 155.0 |
| 183.3 |
| -15.4% |
- Machining Solutions |
| 28.9 |
| 60.8 |
| -52.5% |
- Automation |
| 126.2 |
| 122.3 |
| 3.2% |
Number of employees 2) |
| 1,361 |
| 1,465 |
| -7.1% |
- Machining Solutions |
| 655 |
| 704 |
| -7.0% |
- Automation |
| 678 |
| 732 |
| -7.4% |
|
|
|
|
|
|
|
|
| 30.6.20 |
| 31.12.19 |
| +/- |
|
|
|
|
|
|
|
Balance sheet total |
| 266.2 |
| 289.5 |
| -8.0% |
Equity ratio |
| 54.6% |
| 58.5% |
| -3.9% |
1) Except number of employees and equity ratio
2) Alternative performance measures, see Mikron semiannual report 2020, page 19.
Publication of semiannual results for 2020
The semiannual results will be published at the same time as this media release in the form of the 2020 Semiannual Report: www.mikron.com/reports
Contact
Mikron Management AG, Javier Perez Freije, CFO Mikron Group
Phone +41 91 610 62 09, ir.mma@mikron.com
Download Media Release
Investor Relations Calendar
March 10, 2021, 07.00 a.m. – Media release: Publication of the 2020 Annual Report
March 10, 2021, 10.30 a.m. – Media and analysts conference
April 23, 2021, 04.00 p.m. – Annual General Meeting 2021
Except for the historical information contained herein, the statements in this media release are forward-looking statements that involve risks and uncertainties.
Mikron® is a trademark of Mikron Holding AG, Biel (Switzerland).
Brief profile of the Mikron Group
The Mikron Group develops, produces and markets highly precise, productive and adaptable automation solutions, machining systems and cutting tools. Rooted in the Swiss culture of innovation, Mikron is a global partner to companies in the automotive, pharmaceutical, medtech, consumer goods, writing instruments and watchmaking industries. The Mikron Group enables its customers to increase quality and industrial productivity. The Group has over 100 years of experience, state-of-the-art technologies, and a global service. The two business segments Mikron Automation and Mikron Machining Solutions (with the Mikron Machining and Mikron Tool divisions) are based in Switzerland (Boudry and Agno). Additional production sites are located in the USA, in Germany, Singapore and China. Mikron Holding AG shares are traded on SIX Swiss Exchange (MIKN). The Mikron Group employs a total workforce of around 1,360.