DGAP-Ad-hoc: RATIONAL AG / Key word(s): Change in Forecast
Rational AG expects faster recovery after very good first half of 2021
- Sales revenues of 212 million euros in the second quarter of 2021 - slightly above pre-crisis level
- EBIT margin of 22 percent in the first six months - 25 percent in the second quarter of 2021
- In the positive scenario 15 to 20 percent rise in sales revenue and EBIT margin of slightly more than 20 percent expected for 2021
- Surprisingly faster and stronger recovery throughout the industry - return to above pre-crisis level possible in 2022 already
Sales revenues of 212 million euros in the second quarter of 2021 - slightly above pre-crisis level
From management's perspective, three key factors contributed to this positive development in the commercial kitchen sector.
The positive impact was evident in all markets worldwide and in both of Rational's product groups.
EBIT margin of 22 percent in the first six months - 25 percent in the second quarter of 2021
The EBIT margin benefited from the healthy sales revenue performance in combination with continuing lower cost levels. While sales revenues rose by 27 percent year-on-year, operating costs were only slightly up on the prior-year level. Total operating costs amounted to 131.1 million euros in the first half of 2021 (2020: 130.7 million euros).
In the positive scenario 15 to 20 percent rise in sales revenue and EBIT margin of slightly more than 20 percent expected for 2021
Firstly, there is the question of whether tighter restrictions will once again be imposed on daily life in response to new coronavirus outbreaks. The second factor is the supply situation for primary products. The current situation in the global market is very tense, especially for electronics components, and considerable supply delays and volume restrictions may persist, leading to longer delivery times and later revenue recognition. What is more, the tense supply situation is in some cases leading to dramatic increases in component prices and shipping costs.
If the scenarios described above have a negative effect on business performance in the second half of the year, the Executive Board expects slower business growth with higher costs. Given the positive development of the first six months and the high level of orders on hand, it expects sales revenue to increase by a high single-digit percentage compared with the previous year, even in this less favourable scenario. If the above risks do not materialise, or only to a reduced extent, sales revenues are expected to rise by 15 to 20 percent in the 2021 fiscal year. If the recovery trend continues, it could be feasible to return, in full-year 2022, to sales revenue levels last seen in 2019. The company had previously expected this to not be until 2023. Since costs are projected to move in line with sales revenues, the EBIT margin is forecast to be just above 20 percent, regardless of which scenario plays out.
On August 5, 2021, Rational will provide detailed information on the course of the first half of the year and further expectations for the remainder of fiscal year 2021 with the 2021 half-year report and in a conference call.
Stefan Arnold / Head of Investor Relations
The Rational Group is the global market and technology leader for thermal preparation of food in professional kitchens. Founded in 1973, the company employs around 2,200 people, over 1,200 of whom are in Germany. Rational was floated in the Prime Standard of the German stock market in 2000 and is currently represented in the MDAX.
The company's principal objective is to offer maximum customer benefit at all times. Rational is committed to the principle of sustainability, which is expressed in its corporate policies on environmental protection, leadership, job security and social responsibility. Numerous international awards bear witness to the high quality of the work done by Rational's employees year for year.
Editorial closing date: 22 July 2021
22-Jul-2021 CET/CEST The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
|86899 Landsberg am Lech|
|Phone:||0049 8191 327 2209|
|Fax:||0049 8191 327 722209|
|Listed:||Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Munich, Stuttgart, Tradegate Exchange|
|EQS News ID:||1220874|
|End of Announcement||DGAP News Service|
1220874 22-Jul-2021 CET/CEST