SLM Solutions Group AG announces guidance for financial year 2020
Disclosure of an inside information acc. to Article 17 MAR of the Regulation (EU) No 596/2014
Luebeck, August 12, 2020 - Today, the Management Board of SLM Solutions Group AG ("SLM Solutions" or the "Company"), a leading provider of metal-based additive manufacturing technology, set its guidance for the 2020 financial year.
As announced on 26 March 2020, the visibility, in particular as it relates to the timing of orders, had been drastically reduced at that time due to the dramatic global economic slowdown as a result of COVID-19. For this reason, the Management Board was unable to provide a full year guidance in March 2020.
After a phase of considerable slowdown during the second quarter, SLM Solutions recorded an uptake of customer activities towards the end of the first half of 2020. So far, this trend solidified in the third quarter, providing the Company better fundamentals to assess the order-intake and therefore financial performance for the remainder of the year. Overall, the Company experienced a quicker rebound of activity in its Asian and US markets compared to its European market, albeit at lower levels than before the crisis. For the second half of 2020, the Management Board expects customer activities to increase overall and, as a result, business to pick up further.
On this basis, the Company forecasts its revenue to increase by at least 20% for total year 2020 compared to the previous year (Group revenue 2019: EUR 49.0 million). Furthermore, SLM Solutions expects Earnings before interest, taxes, depreciation and amortisation (EBITDA) to improve to a level between EUR -13 million and EUR -18 million (Group EBITDA 2019: EUR -26.0 million).
This forecast is based on the assumption that there will be no significant deterioration of the COVID-19 pandemic with extensive lockdown measures in the Company's key sales markets during the remainder of 2020.
In the first half of 2020, SLM Solutions recorded an 90% year-on-year revenue increase to EUR 31.2 million (H1 2019: EUR 16.4 million) and an EBITDA improvement of EUR 12.9 million to EUR -6.0 million (H1 2019: EUR -18.9 million) providing further evidence of the ongoing turnaround of the Company.
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About the company:
SLM Solutions Group AG from Lübeck is a leading supplier of metal-based additive production technology. The company's shares are traded on the Prime Standard of the Frankfurt Stock Exchange. The company focuses on the development, assembly and sale of machines and integrated system solutions in the field of Selective Laser Melting. SLM Solutions currently employs more than 400 people in Germany, France, Italy, the USA, Singapore, Russia, India and China. The products are used worldwide by customers in the aerospace industry, the energy sector, healthcare and the automotive sector.