Koenig & Bauer has released its financial results for the first half of 2024, reporting mixed outcomes across segments amid challenging market conditions. The company confirmed that it expects to achieve its full-year earnings target at the lower end of the forecasted range of €25–40 million, with revenue anticipated to reach approximately €1.3 billion.
Order Backlog Boosted by drupa Trade Fair
Order intake increased by 16% to €641.5 million, driven in part by the drupa trade fair, resulting in a record-breaking half-year order backlog of €1.02 billion. Koenig & Bauer noted that drupa demonstrated a gradual recovery in customer investment sentiment and affirmed the company’s strategic direction.
Financial Performance and Impact of One-Off Expenses
Revenue for the first half stood at €532 million, down 10.8% compared to the previous year due to weak order activity in late 2023. The Sheetfed segment posted a 17.5% decline in revenue, though order intake improved to €350.8 million. The Digital & Webfed segment recorded a 7.4% rise in revenue, despite subdued demand in the corrugated board market. The Special segment saw significant growth in orders, up 62.8% to €251.3 million.
However, non-operating expenses tied to drupa weighed on earnings, contributing to a negative operating EBIT of €-23.9 million. CFO Dr. Stephen Kimmich commented, “We are following a clear plan to navigate the difficult market phase and strengthen profitability.”
“Spotlight” Programme for Cost Optimisation
The company highlighted the “Spotlight” programme, aimed at cost improvements and restructuring in non-profitable areas, with targeted special effects of €30–45 million. CEO Dr. Andreas Pleßke explained, “Spotlight combines cost optimisation, process improvements, and investments in future technologies to address current challenges and ensure long-term competitiveness.”
Outlook for 2024
Koenig & Bauer reaffirmed its revenue target of €1.3 billion for 2024 and remains optimistic about the second half of the year, despite persistent market difficulties. The company also announced a prototype partnership with Volkswagen subsidiary PowerCo, underscoring efforts to diversify into new markets and technologies.