EQS-Adhoc: LPKF lowers its turnover and profit forecasts for the whole of 2024 | 09.12.24

LPKF lowers revenue and profit forecasts for full year 2024
One-off announcement – Garbsen, December 9, 2024

LPKF Laser & Electronics SE continues to experience weaknesses in the European automotive market in particular, with customers’ continued reluctance to make new investments or postpone deliveries.

Based on the latest information received from several customers in all business segments other than solar, it is now very likely that approximately €5-7 million worth of equipment ordered or to be ordered but shipped in December will now be transferred to January. and February 2025.

On this basis, LPKF is reducing its forecast for the financial year 2024. LPKF now expects consolidated sales of between 118 and 123 million euros (previously: 125 to 130 million euros). Given the likely loss of contribution margins resulting from the shortfall, the company now expects to break even on an adjusted EBIT margin basis (previous forecast: 3.5 – 6.5%) .

As previously reported, LPKF has identified specific areas where the company can improve efficiency and significantly reduce costs. Concrete measures to reduce operating costs and increase efficiency across the entire Group are now being implemented with high priority. LPKF expects this to result in total annualized savings of approximately €5-7 million. The company is working diligently on additional cost optimizations to further increase these savings and significantly improve its EBIT margin in 2025.

Despite adverse short-term market volatility affecting its core business, LPKF’s medium-term growth momentum remains unwavering.

Momentum in the LIDE (Laser Induced Deep Etching) business remains strong, with LPKF still planning to double its sales in 2024 in this area compared to the previous year. Through its patented LIDE glass processing method, LPKF offers the key technology to improve microchip performance and enable new display applications. This paradigm shift in the semiconductor industry has led to a continued strong increase in demand for LPKF’s unique LIDE systems. LPKF is convinced that this will also result in first series production orders in the near future.

The shares of LPKF Laser & Electronics SE are traded on the Prime Standard of the German Stock Exchange (ETR: LPK, ISIN: 0006450000).

Explanation of key figures
EBIT: Profit before interest and taxes
EBIT margin: Profit before interest and taxes / turnover x 100
Adjusted EBIT: Adjusted EBIT is EBIT adjusted for restructuring costs and severance costs as well as changes in long-term incentive (LTI) resulting from fluctuations in the performance factor or share price. LPKF expects these costs to amount to 0.5% to 1.5% of revenue in fiscal 2024. Adjusted EBIT is expected to enable a comparison of operating profitability by eliminating items exceptional, including between periods.

Contact:
Bettina Schäfer, Senior Director of Investor Relations and Corporate Communications
[email protected]