DEUTZ AG: DEUTZ raises 2021 forecast

DEUTZ is raising its forecast for a second time in 2021, due to continued strong demand in all of the main application segments and a significantly improved earnings performance.

The company now anticipates unit sales of 155,000 to 170,000 DEUTZ engines^[1] (previously: 140,000 to 155,000), which should result in an increase in revenue to between €1.6 billion and €1.7 billion (previously: €1.5 billion to €1.6 billion). The forecast for service revenue is unchanged at around €400 million of the total revenue figure. The EBIT margin before exceptional items is predicted to be in a range of 2.0 percent to 3.0 percent (previously: 1.0 percent to 2.0 percent). This raised forecast is based on the assumption that the ongoing difficulties with the supply of components will not worsen significantly in the coming months.

As a result of the improved operating performance, free cash flow is expected to break-even (previously: negative figure in the low double-digit millions of euros).

Further information on business performance will be provided on November 10, 2021 when the quarterly statement for the first to third quarter of 2021 is published.

^[1] Excluding electric boat drives from DEUTZ subsidiary Torqeedo.

Contact:
Christian Ludwig
SVP Communications & Investor Relations
Tel. +49 (0) 221 822-36 00
Fax: +49 (0) 221 822-15 36 00
E-Mail: christian.ludwig@deutz.com

Forward-looking statements
This ad hoc disclosure may contain certain forward-looking statements based on current assumptions and forecasts made by the DEUTZ management team. Various known and unknown risks, uncertainties, and other factors may lead to material differences between the actual results, the financial position, or the performance of the DEUTZ Group and the estimates and assessments set out here. These factors include those that DEUTZ has described in published reports, which are available at www.deutz.com. The Company does not undertake to update these forward-looking statements or to change them to reflect future events or developments.