GEA Group AG

Latest Results (20.12.2024):

Order Intake Growth

In the third quarter of 2024, GEA Group AG reported a significant increase in order intake, with a 6.6 percent organic growth compared to the prior-year quarter. The reported order intake rose by 4.3 percent, reaching EUR 1,301 million, up from EUR 1,247 million in Q3 2023. This growth was driven by strong base business and notable orders in the EUR 5-15 million range, including a major order for EUR 58.6 million in the Liquid & Powder Technologies division.

Revenue and Service Expansion

GEA Group AG's revenue for Q3 2024 remained stable at EUR 1,350 million, nearly matching the previous year's figure of EUR 1,351 million. Despite negative currency translation effects, organic revenue grew by 1.4 percent. The company saw an expansion in its service business across all divisions, with the service revenue share increasing to 39.2 percent, up from 36.2 percent in Q3 2023, reflecting its above-average profitability.

EBITDA and Profitability

EBITDA before restructuring expenses for GEA Group AG increased by 4.9 percent to EUR 217.1 million in Q3 2024, compared to EUR 207.0 million in the same quarter of the previous year. The EBITDA margin also improved significantly, rising to 16.1 percent from 15.3 percent. However, the profit for the period decreased by 7.3 percent to EUR 112.0 million, influenced by a EUR 3.3 million after-tax loss from discontinued operations.

Net Working Capital and Liquidity

GEA Group AG maintained its net working capital within the target range, at 9.3 percent of revenue as of September 30, 2024, compared to 8.3 percent in the previous year. Net liquidity decreased to EUR 65.9 million, primarily due to cash outflows from the share buyback program. The company's return on capital employed (ROCE) remained high at 32.3 percent, although slightly down from 33.9 percent in Q3 2023.

Future Outlook and Strategic Goals

At the Capital Markets Day on October 2, 2024, GEA Group AG presented its Mission 30 strategy, setting new medium-term targets for 2030. The company aims for organic revenue growth of over 5 percent annually and an EBITDA margin between 17 and 19 percent. GEA has already achieved its Mission 26 financial targets ahead of schedule, demonstrating its commitment to continued profitable growth and increasing the share of sustainable solutions by 2030.