Half-year report 2024 published

Kölleda, 29 August - Funkwerk AG, one of the leading technology providers of professional communication, information and security systems as well as technical services, developed in line with planning in the first half of 2024. The Group sales increased to EUR 76.5 million from January to June (previous year: EUR 62.1 million). This represents an increase of 23.2 % compared to the same period in the previous year, although the scope of consolidation has increased compared to the first half of 2023: Firstly, Elektrotechnik und Elektronik Oltmann GmbH, which was acquired by Funkwerk AG at the end of December 2023, has been included in the consolidated financial statements since 1 March 2024. The company specialises in LED display devices for regional rail transport and local public transport. Secondly, the Polish company Radionika Sp.z o.o. has been part of the consolidated group since 1 June 2023 and is therefore only included pro rata temporis in the previous year's figures.

The significant increase in Incoming orders, which rose from EUR 72.6 million to EUR 112.4 million in the first half of 2024, was mainly due to several large multi-year framework agreements, particularly in the Train Radio division. Various service contracts for passenger information systems and the area of safety solutions also contributed to the growth. The Order backlog in the Funkwerk Group increased from € 163.5 million to € 211.3 million compared to the reporting date.

The operating result (EBIT) in the Funkwerk Group of € 6.7 million in the first six months of 2024 remained below the previous year's figure of € 7.4 million, as expected, as time-limited, high-margin special projects in the Train Radio business unit, which had contributed significantly to the increase in earnings in recent years, expired and expenses were incurred for the transformation of Funkwerk's Security Solutions business unit, which is currently being aligned as a holistic system integrator for complex systems in all security technology divisions.

The Workforce of the Funkwerk Group increased to 759 employees (including trainees) as at 30 June 2024, compared to 688 on the previous year's reporting date and 695 at the end of 2023.

The good performance of the Net assets and financial positionThe equity ratio improved to a very solid 58.0 % (31/12/2023: 57.8 %). Cash and cash equivalents decreased slightly from EUR 40.7 million at the end of 2023 to EUR 39.1 million as at the reporting date. Cash flow from operating activities totalled EUR +3.2 million in the first six months of 2024 after an outflow of EUR 4.9 million in the same period of the previous year.

In the Full year 2024 the Executive Board of Funkwerk AG anticipates consolidated sales in the range of €168 million to €175 million and a positive operating result of between €20 million and €23 million. Stable demand and the realisation of planned projects as well as the associated processing of the order backlog are expected in all four divisions. The liquidity situation across all companies of the Funkwerk Group should remain very stable.