JOST Werke AG / Key word(s): Change in Forecast/Preliminary Results
JOST raises guidance for fiscal year 2022 and publishes preliminary interim results for the first nine months of 2022
Neu-Isenburg, November 3, 2022. JOST Werke AG ("JOST"), a leading global producer and supplier of safety-critical systems for commercial vehicles, increases its guidance for fiscal year 2022 and announces its preliminary and unaudited interim results for the first nine months of 2022.
According to preliminary data, JOST increased consolidated sales by 22.8% to EUR 960.9 million in the first nine months of 2022 (9M 2021: EUR 782.6 million). In its Transport business, JOST increased sales by 18.6% to EUR 702.3 million (9M 2021: EUR 592.1 million). Sales with agricultural components rose by 35.8% year-on-year to EUR 258.6 million, posting the strongest growth (9M 2021: EUR 190.5 million).
Adjusted earnings before interest and taxes (EBIT) increased by 15.4% to EUR 96.9 million in the first nine months of the year (9M 2021: EUR 84.0 million). JOST was able to compensate a weaker development in Europe with a strong operating performance in North America and Asia-Pacific-Africa. Alongside the global rise in raw material, alloy and freight costs over the course of 2022, Europe was additionally burdened by supply bottlenecks and sharp increases in energy costs due to the war in Ukraine. JOST achieved an adjusted EBIT margin of 10.1% in the first nine months of the year (9M 2021: 10.7%).
Cash flow from operating activities remained unchanged year-on-year at EUR +31.3 million in the first nine months of 2022 despite a significant increase in working capital (9M 2022: EUR +31.3 million). Free cash flow (cash flow from operating activities less payments for the acquisition of property, plant and equipment and intangible assets) amounted to EUR +10.1 million (9M 2021: EUR +19.2 million) due to an increase in investments in property, plant and equipment and intangible assets by EUR 9.1 million to EUR 21.2 million (9M 2021: EUR 12.1 million).
Outlook for the full year 2022 raised
Based on the strong business performance during the first nine months of the year, JOST is raising its sales and earnings forecast for the current fiscal year.
JOST expects consolidated sales in fiscal year 2022 to increase by a low double-digit percentage range compared to the previous year and anticipates exceeding the sales mark of EUR 1.2 billion for the first time (previous outlook: sales growth in mid single-digit percentage range | sales 2021: EUR 1.0 billion).
Due to the price increases implemented during 2022 to pass on rising costs to customers, sales are expected to grow at a faster pace than adjusted EBIT. JOST forecasts that in fiscal year 2022 adjusted EBIT will increase by a high single-digit percentage range compared to the previous year (previous forecast: increase in mid single-digit percentage range | adjusted EBIT 2021: EUR 104.8 million).
Net working capital as a percentage of sales is expected to be below the 20% mark, but it is likely to increase compared to the previous year (2021: 18.0%).
This forecast was compiled under the assumption that the Russia-Ukraine war will not spread beyond the region. It also assumes that no prolonged plant closures of important JOST customers or suppliers will occur during the remaining months of the year. It does not take into account the consequences of a possible energy shortage for customers and suppliers and JOST’s production sites, as these cannot currently be reliably quantified.
The final financial figures will be published as scheduled with the Interim Report for the third quarter of 2022 on November 14, 2022. The virtual conference for investors and analysts will also take place on November 14, 2022, at 11:00 a.m. CET.
A definition of the alternative performance measures used can be found on page 37 of the Annual Group Report 2021.
JOST Werke AG
|Company:||JOST Werke AG|
|Phone:||+49 6102 2950|
|Fax:||+49 (0)6102 295-298|
|Listed:||Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Munich, Stuttgart, Tradegate Exchange|
|EQS News ID:||1478943|
|End of Announcement||EQS News Service|