thyssenkrupp nucera recorded strong sales growth and slightly better-than-expected earnings in Q4 and FY 2023/24; project execution well on track
TRADING STATEMENT: thyssenkrupp nucera recorded strong sales growth and slightly better-than-expected earnings in Q4 and FY 2023/24; project execution well on track
Q4 2023/24: Strong performance in the last quarter with positive order intake momentum, strongly growing alkaline water electrolysis (AWE) sales and resilient profitability
- Growing order intake driven by Chlor-Alkali (CA) service business; AWE order intake on prior year’s level
- Strong year-on-year sales growth due to AWE business; AWE sales doubled in Q4 and thereby reached a new all-time high, reflecting significant progress of projects under execution; CA sales roughly on par with previous year
- EBIT below prior year, but slightly better than expected; EBIT decline due to planned ramp-up costs and lower gross margin in line with higher AWE sales share, partly offset by strong margins in CA business and cost containment
FY 2023/24:
- Order intake slightly above prior year’s level, largely driven by the AWE project with Stegra (H2 Green Steel) in Sweden; CA order intake fell from the previous year’s record high, which was supported by the large OxyChem project in the US
- Group sales guidance of 820mn € to 900mn € reached as well as AWE sales target of 500mn € to 550mn €; both sales figures came in roughly in the middle of the range
- Strong sales increase mostly driven by the dynamic sales growth in the AWE business following ongoing execution of projects, especially in Saudi Arabia and Sweden
- CA sales slightly above prior year’s level
- EBIT slightly better than originally expected (guidance: negative EBIT figure in mid double-digit mn € range)
- Significant year-on-year EBIT decline mainly due to the planned organizational ramp-up and AWE capacity build-up, higher R&D expenditures as well as the increased share of AWE sales, which is currently still accompanied by lower gross margins
- Successful CA business delivered healthy profit margins and thereby supported the expansion towards green hydrogen
All statements reported herein are preliminary and unaudited. Full financial disclosure for Q4/FY 2023/24 will be published as planned on 17 December 2024 at 07:00 am CET.
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thyssenkrupp nucera recorded strong sales growth and slightly better-than-expected earnings in Q4 and FY 2023/24; project execution well on track, source
