Feintool International Holding AG

Latest Results (14.08.2024):

Solid Performance

Feintool International Holding AG reported consolidated group sales of CHF 847.7 million for the 2023 fiscal year, marking a slight increase from the previous year’s CHF 833.8 million. The appreciation of the Swiss Franc against major currencies cost the company CHF 39.4 million in sales. The System Parts Europe segment saw a 4.5% rise in sales, reaching CHF 581.5 million, while the System Parts USA segment experienced a 6.3% decline to CHF 179.7 million. Despite challenges, the System Parts Asia segment managed a 0.7% increase in sales, totaling CHF 89.9 million.

Increased EBIT

Feintool International Holding AG achieved an EBIT of CHF 29.9 million for the 2023 financial year, up from CHF 27.3 million in the previous year. This resulted in an increased EBIT margin of 3.5%, compared to 3.3% the previous year. The consolidated profit from continuing operations totaled CHF 17.8 million, slightly up from CHF 17.6 million. The company plans to propose a dividend distribution of CHF 0.34 per share at the Annual General Meeting.

European Business Below Expectations

Feintool International Holding AG faced challenges in Europe during 2023, with the industrial business suffering sales losses due to economic fluctuations. However, the outlook remains positive as the company secured a multi-year contract from a renowned American automobile manufacturer for the supply of rotors and stators for electric main drives. Additionally, Feintool won a significant order from a wind turbine manufacturer and restructured its sales organization in the fineblanking/forming business unit in Europe.

Strong Performance in USA and Asia

Feintool International Holding AG experienced a very good financial year in North America, securing new orders and expanding its site in Nashville to meet increased demand. In Asia, the company’s presence in Japan opened up additional opportunities, and the establishment of "Feintool System Parts India Pvt Ltd" laid the foundation for its first facility in India, expected to start production in 2025. The rollout of e-lamination stamping technology continued successfully in Taicang, China, and the company won a major order for bipolar plates from a fuel cell manufacturer in China.

Robust Financial Position

Feintool International Holding AG maintains a robust financial position with an equity ratio of 60.4% and a net debt-to-EBITDA ratio of 0.3x. The group generated a significantly higher free cash flow of CHF 19.9 million, allowing it to finance investments from its operating cash flow. With a solid balance sheet and low debt levels, Feintool is well-positioned to cover the investment requirements necessary for its ongoing transformation process using its own financial resources.