Mikron Group again significantly improves sales and profitability

At CHF 248.7 million, the Mikron Group's order intake for the first half of 2023 is 11.4% higher than the corresponding figure for the first half of 2022 (CHF 223.3 million). While the Automation business segment increased order intake by 39.9%, the Machining Solutions business segment (Mikron Machining and Mikron Tool divisions) reported an expected decline of 26.0% compared with the first half of 2022, which included large long-term orders.  

The Automation division was again able to take advantage of the continuing high demand from the pharmaceutical and medtech sectors. The Mikron Group's net sales rose from CHF 145.9 million in the first half of 2022 to CHF 178.3 million in the first half of 2023 (+22.2%). With a 55% share of net sales, Europe (including Switzerland) remained the Mikron Group’s principal sales market in the first half of 2023. Mikron increased net sales in Europe by 38.9% compared with the first half of 2022, and in North America (share of net sales: 30%) by 32.0%. In Asia/Pacific (share of net sales: 14%), net sales decreased by 25.0%.

At CHF 337.7 million, the Mikron Group's order backlog at the end of June 2023 was 24.8% higher than the figure at the end of 2022. Capacity utilization in all three divisions was high during the whole first half of 2023.

Profitability

Compared with 2022, Mikron increased its half-year EBIT from CHF 11.4 million to CHF 16.9 million. The Group thus achieved an EBIT margin of 9.5% for the first half of 2023 (7.8% for the first half of 2022). Profit came to CHF 13.9 million, which is 32.4% higher than the 2022 half-year result (CHF 10.5 million). This half year’s profit includes a one-time positive effect of CHF 2.1 million, resulting from the sale of a non-operating property in Nidau (Switzerland). The operating profitability for the first six months of 2023 is in line with the prior-year figure.

Cash flow

Cash flow from operating activities (including changes in net working capital) amounted to CHF 30.1 million in the first half of 2023 (first half of 2022: CHF 10.3 million). Cash flow from investing activities amounted to CHF 20.9 million, resulting in free cash flow of CHF 51.0 million.

Outlook

It remains difficult to make a forecast for the second half of the year due to the unpredictable development of the world economy, the inflation trend, and the war in Ukraine. For the full year 2023, Mikron expects profitability (excluding the one-off effect of CHF 2.1 million from the sale of the property in Nidau) to remain at a similar level to 2022.

Key Figures for the Mikron Group in the first half year 2023

1.1.–30.6.23

1.1.–30.6.22

+/-

CHF million 1)

Order intake 2)

248.7

223.3

11.4%

- Machining Solutions

71.5

96.6

-26.0%

- Automation

177.2

126.7

39.9%

Net sales

178.3

145.9

22.2%

- Machining Solutions

72.3

62.0

16.6%

- Automation

106.0

83.9

26.3%

EBIT 2)

16.9

11.4

48.2%

Profit

13.9

10.5

32.4%

Operating cash flow

30.1

10.3

192.2%

Order backlog 2) 3)

337.7

255.7

32.1%

- Machining Solutions

101.0

95.4

5.9%

- Automation

236.7

160.3

47.7%

Number of employees 2) 3)

1,473

1,367

7.8%

- Machining Solutions

553

539

2.6%

- Automation

895

805

11.2%

30.6.23

31.12.22

+/-

Balance sheet total

391.2

345.9

13.1%

Equity ratio 2)

49.1%

53.8%

-4.7%

1) Except number of employees and equity ratio

2) Alternative performance measures, see Mikron Semiannual Report 2023, pages 16 to 18

3) End of period

Publication of semiannual results for 2023

The semiannual results will be published at the same time as this ad hoc announcement in the form of the 2023 Semiannual Report: www.mikron.com/financial-reports

Brief profile of the Mikron Group

The Mikron Group develops, produces and markets highly precise, productive and adaptable automation solutions, machining systems and cutting tools. Rooted in the Swiss culture of innovation, Mikron is a global partner to companies in the pharmaceutical, medtech, consumer goods, automotive, and general engineering industries. The Mikron Group enables its customers to increase quality and industrial productivity. The Group has over 100 years of experience, state-of-the-art technologies, and a global service. The two business segments Mikron Automation and Mikron Machining Solutions are based in Switzerland (Boudry and Agno). Additional production sites are located in the USA, Germany, Singapore, China and Lithuania. Mikron Holding AG shares are traded on SIX Swiss Exchange (MIKN). The Mikron Group employs a total workforce of around 1,500.

Download ad hoc announcement pursuant to Art. 53 LR:

www.mikron.com/news