WashTec AG Reports 7.8% EBIT Growth Despite Decline in Revenue

WashTec AG has announced a notable performance for the first half of 2024, reporting a 7.8% increase in EBIT to €16.6 million despite a 6.8% drop in revenue to €220.2 million compared to the same period last year. The company also saw a rise in EBIT margin to 7.6% from 6.5%.

The second quarter reflected these trends, with EBIT climbing to €11.5 million from €9.9 million, and an EBIT margin of 9.7%, up from 7.8%. However, revenue for the quarter fell to €119.4 million, a 6.1% decrease attributed to weak key account business in North America.

WashTec's free cash flow saw a significant improvement, reaching €20.1 million in the first half of the year, up from €6.5 million in the previous year, due to reduced capital expenditure and tax refunds. Despite a better market demand in the second quarter, overall orders received were lower because of a weak first quarter.

The company has reaffirmed its guidance for the full fiscal year 2024, anticipating revenue similar to the prior year and a mid-single-digit percentage increase in EBIT.