GEA Group Reports Mixed First Quarter Results for 2024

GEA Group AG has reported its financial outcomes for the first quarter of 2024 with disparate results, showcasing a moderate growth in EBITDA despite a decrease in order intake and revenue. The company confirmed its outlook for the fiscal year, indicating stable expectations moving forward.

Order intake saw a decrease of 13.6 percent to EUR 1,365 million, attributed to strong results in the previous year and negative currency impacts. Organic decrease was marked at 9.7 percent. Revenue slightly dropped by 2.3 percent to EUR 1,241 million. However, adjusting for currency and portfolio effects, there was a 2.7 percent organic growth. EBITDA before restructuring rose by 5.1 percent to EUR 180.5 million, pushing the margin up by 1.0 percentage point to 14.5 percent.

The company noted that the service segment expanded to encompass 38 percent of revenue, marking a new record. Despite challenging market conditions, CEO Stefan Klebert expressed satisfaction with the company’s robust business model and the quarter’s results.

GEA’s upcoming plans include the continuation of its share buyback program, with a second tranche expected to start in June 2024. Meanwhile, shareholders have overwhelmingly approved the Climate Transition Plan 2040, setting a sustainable path forward for the company.