31. Mar 2021

WashTec AG: Solid earnings and improved financial position despite pandemic-driven decline in revenue

WashTec AG / Key word(s): Annual Results
WashTec AG: Solid earnings and improved financial position despite pandemic-driven decline in revenue

31.03.2021 / 08:00
The issuer is solely responsible for the content of this announcement.

  • Revenue at €378.7m, prior year €436.5m
  • EBIT at €20.1m, prior year €36.3m; EBIT margin at 5.3%, adjusted EBIT margin at 6.8% 
  • Free cash flow including lease payments at €36.9m, prior year €6.4m
  • Dividend proposal: 2020 €0.99, special dividend €1.31
  • Guidance 2021: stable revenue growth with significant increase in EBIT

Augsburg, March 31, 2021 - Group revenue declined 13.2% to €378.7m as a result of the worldwide economic slowdown driven by the COVID-19 pandemic. The final quarter, with revenue of €109.3m (prior year: €127.3m), was better than expected as installations were able to be finished despite new lockdowns. Due to the decrease in revenue, however, mitigated by strict cost management and implementation of the performance program, EBIT decreased 44.6% to €20.1m (prior year: €36.3m). This includes €5.6m in one-time expenses. Adjusted for these effects, EBIT was €25.6m (adjusted EBIT margin: 6.8%).

Free cash flow including lease payments increased to €36.9m compared to prior year (€6.4m) resulting mainly from the reduction in receivables, reduced investments, and cost control activities. The free cash flow performance indicator also includes increases and decreases in lease liabilities. Free cash flow after lease payments allows a more accurate assessment of the financial position of the group. Free cash flow after lease payments improved to €36.9m (prior year: €6.4m).

Equity increased from €84.5m to €96.2m; the equity ratio improved to 39.4% (prior year: 30.7%).

"2020 was dominated by the outbreak of the global pandemic. Despite major challenges and investment reluctance in particular from key accounts, our Company generated solid earnings. We succeeded in adapting the organization to the changing conditions. At the same time, we used the time to push innovations in order to emerge stronger from the crisis. In the process, we laid the foundation for a new, modern corporate culture" explained Dr. Ralf Koeppe, CEO of WashTec AG.

Annual General Meeting 2021
The Annual General Meeting of WashTec AG will take place on Tuesday, 18 May 2021. The Management Board and Supervisory Board are proposing a dividend of €0.99 for fiscal year 2020. In addition to this dividend, distribution of a special dividend of €1.31 per share is proposed.

Forecast for fiscal year 2021
For the fiscal year 2021 and with the continuing economic crisis, WashTec is aiming for stable revenue performance for the Group, with a significant increase in EBIT. For 2021, we expect a significantly lower cash flow due to the absence of one-off effects. WashTec will continue to work consistently on increasing profitability to return to a double-digit EBIT margin in the medium term.

General risk information
Any outlook is subject to uncertainties that could have a material effect on forecast revenue and earnings performance.

The annual report for fiscal year 2020 and additional information about the company can be found on: www.washtec.de.

About WashTec:
WashTec Group with its registered office in Augsburg, Germany, is the leading provider of innovative car wash solutions worldwide. The company has around 1,800 employees and is represented with subsidiaries in the major markets of Europe, North America and Asia/Pacific. Moreover, WashTec has an extensive network of independent marketing partners through which it is present in around 80 countries worldwide.

Key figures:
€m, IFRS 2020 2019 Change in %
Revenue 378.7 436.5 -13.2
EBIT 20.1 36.3 -44.6
EBIT margin in % 5.3 8.3 -
Adjusted EBIT margin in % 6.8 8.8 -
EBT 18.8 35.7 -47.3
Net income 13.3 22.3 -40.4
Earnings per share 1) (in €) 0.99 1.66 -40.4
Free cash flow (including lease payments) 36.9 6.4 -
ROCE in % 10.5 18.4 -
€m, IFRS 31. Dec. 20 31. Dec. 19 Change abs.
Balance sheet total 244.0 274.9 -30.9
Equity 96.2 84.5 11.7
Equity ratio 39.4% 30.7% 8.7
Net financial debt 19.4 56.4 -37.0
Net operating working capital 2) 80.6 96.2 -15.6
Employees (31.12.) 1,770 1,874 -104

1) Basis: on average 13,382,324 shares
2) Trade receivables + inventories - trade payables - prepayments on orders

WashTec AG
Argonstrasse 7
86153 Augsburg

Tel.: +49 (0)821 - 5584 - 0
Fax: +49 (0)821 - 5584 - 1135

31.03.2021 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
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Language: English
Company: WashTec AG
Argonstraße 7
86153 Augsburg
Phone: +49 (0)821 55 84-0
Fax: +49 (0)821 55 84-1135
E-mail: washtec@washtec.de
Internet: www.washtec.de
ISIN: DE0007507501
WKN: 750750
Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange
EQS News ID: 1179688

End of News DGAP News Service

1179688  31.03.2021