Ringmetall closes 2020 in line with forecast after good final quarter

Ringmetall closes 2020 in line with forecast after good final quarter

- Preliminary Group revenues of around EUR 118 million only marginally down on previous year
- Preliminary EBITDA of around EUR 12 million significantly higher year-on-year
- Stable development expected for 2021 despite pandemic-related uncertainties

Munich, 9 February 2021 - Ringmetall AG (ISIN: DE0006001902), a leading international specialty supplier in the packaging industry, has closed the 2020 financial year in line with its annual forecast following initial preliminary figures. The company also expects a stable business development for 2021 and sees better opportunities for acquisitions again.

Based on the first preliminary figures on business performance, the Ringmetall Group generated consolidated revenues of around EUR 118 million in 2020, down around 2 percent on the previous year (2019: EUR 120.6 million). As already highlighted, sharply declining steel prices were the main reason for the subdued sales performance, which were passed on to customers under price escalation clauses. In addition, exchange rate effects also had a negative impact on the development of sales. Adjusted for these both effects, consolidated revenues would have been above EUR 125 million. Almost unaffected by this, earnings before interest, taxes, depreciation and amortization (EBITDA) increased significantly. According to preliminary figures, they rose to around EUR 12 million (2019: EUR 10.1 million), with the EBITDA margin also returning to double-digit territory.

Compared to the annual forecast, which was concretized in view of the steel price development, final revenues are thus expected to be in the middle of the communicated range of EUR 115 to 120 million, as is EBITDA, in the case of which the range was forecast at EUR 11 to 13 million.

"Even though preliminary figures are always subject to a certain degree of uncertainty, it is already apparent that we can be very satisfied with the business development in these difficult times for all of us," Christoph Petri, Spokesperson of the Management Board of Ringmetall AG, sums up. "For 2021, we are cautiously optimistic and hope that the world can sustainably overcome COVID-19."

The outlook for the 2021 financial year is deliberately measured conservatively against the background of the developments in connection with COVID-19, which continue to be impossible to assess. Accordingly, the Management Board currently assumes sales of between EUR 115 and 125 million and EBITDA of between EUR 11 and 13 million. With regard to planned acquisitions, the Management Board expects to be able to bring ongoing talks regarding at least one transaction to a successful conclusion in 2021.

As usual, this outlook is based on an unchanged steel price and unchanged exchange rates of the euro to the US dollar, the Turkish lira and the British pound compared with year-end 2020. It also does not include effects from acquisitions planned for 2021, including transaction costs.

The company plans to publish the final figures for the 2020 financial year and the 2020 annual report on 30 April 2021. Further information on Ringmetall AG and its affiliated subsidiaries is available at www.ringmetall.de.

Contact:
Ingo Middelmenne
Investor Relations
Ringmetall AG
Phone: +49 (0 )89 45 220 98 12
Mobile: +49 (0 )174 90 911 90
Email: middelmenne@ringmetall.de

About the Ringmetall Group
Ringmetall is a leading international specialist supplier in the packaging industry. The Industrial Packaging business unit offers high-security closure systems and inliners for industrial drums for the chemical, petrochemical, pharmaceutical and food processing industries. The Industrial Handling Business Unit develops application-optimized vehicle attachments for handling and transporting packaging units. In addition to the Group headquarters in Munich, Ringmetall is represented by worldwide production and sales subsidiaries in Germany, Great Britain, Spain, Italy, Turkey, the Netherlands as well as China and the USA. Worldwide, Ringmetall generates sales of around EUR 120 million per year.