Press information
RENK Aktiengesellschaft
Order intake far higher than in previous year,
Sales revenue higher than previous year,
Operating profit up significantly on previous year
RENK Group
In € million | 2020 | 2019 |
H1 | H1 | |
Order intake | 387 | 238 |
Sales revenue | 246 | 215 |
Order backlog1) | 958 | 821 |
Headcount (no.)1) | 2,573 | 2,569 |
Operating profit | 19 | 4 |
Operating return on sales (%) | 7.9 | 1.6 |
1) As of June 30, 2020, as against December 31, 2019.
Order intake far higher than in previous year
The RENK Group generated an order intake of € 387 million in the first six months of 2020 (previous year: € 238 million). Growth was driven by Special Gear Units and Vehicle Transmissions. Slide Bearings maintained its 2019 level, whereas Standard Gear Units declined slightly year over year.
Sales revenue higher than previous year
At € 246 million, RENK's sales revenue in the first half of 2020 was € 31 million higher than the previous year figure of € 215 million. Special Gear Units, in particular, saw its sales revenue recover considerably against the previous year, with Vehicle Transmissions also reporting an increase in sales revenue.
Order backlog
As of June 30, 2020, RENK had an order backlog of € 958 million (December 31, 2019: € 821 million).
Operating profit up significantly on previous year
At € 19 million, operating profit for the first half of 2020 was far better than in the comparative period in 2019 (€ 4 million). The Vehicle Transmissions and Slide Bearings businesses achieved gains. The negative impact that Special Gear Units had on profit in the previous year declined considerably in the first half of 2020. As expected, profit in the Standard Gear Units business remained below that of the previous year. RENK therefore generated an operating return on sales of 7.9% in the 2020 reporting period (previous year: 1.6%).
Increased headcount
The RENK Group employed 2,573 people as of June 30, 2020, after 2,569 as of December 31, 2019. This includes 63 subcontracted employees (December 31, 2019: 68).
Augsburg,
August 4, 2020
No. 6/2020
RENK Aktiengesellschaft
Gögginger Str. 73
86159 Augsburg, Germany
In case of questions:
press@renk.biz
www.renk-ag.com
RENK AG is an internationally renowned manufacturer of high-quality special gear units for tracked vehicles, industrial applications and shipbuilding, and of drive technology and test system components.
The company is a world leader in automatic transmissions for heavy tracked vehicles, gear systems for navy ships and horizontal slide bearings.
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Press information no. 6
RENK Aktiengesellschaft
Research and development
At € 7 million, spending on internally financed research and development projects was stable year over year in the first six months of 2020 (€ 7 million).
Capital expenditures
RENK invested a total of € 16 million in intangible assets and property, plant and equipment in the period until June 30, 2020 (previous year: € 13 million). Capital expenditure again focused on the Augsburg site.
Outlook
While the COVID-19 pandemic did not take such a severe toll on RENK in the first half of the year as it did on many other companies, the consequences will nonetheless negatively affect key performance indicators for 2020. Provided that the situation does not continue to deteriorate in the second half of the year and in fact improves somewhat (e.g. because more travel is able to resume), management anticipates the following for 2020 as a whole: as expected at the start of the year, the order intake should be far higher than in the previous year. Sales revenue, by contrast, will remain more or less on par with the previous year on account of the current restrictions. In light of this, operating profit/loss and the operating return on sales will remain slightly below the previous year figures.
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Press information no. 6
RENK Aktiengesellschaft
RENK Group - At a glance
In € million | 2020 | 2019 | Change |
H1 | H1 | (%) | |
Order intake | 387 | 238 | +62.5 |
Sales revenue | 246 | 215 | +14.6 |
Order backlog1) | 958 | 821 | +16.7 |
Headcount1) | 2,573 | 2,569 | +0.2 |
In € million | 2020 | 2019 | Change |
H1 | H1 | in € million | |
Operating profit | 19 | 4 | +15 |
Profit before taxes | 19 | 4 | +15 |
Profit after tax | 13 | 3 | +10 |
Earnings per share in € | 1.95 | 0.39 | - |
Operating return on sales in % | 7.9 | 1.6 | - |
Capital expenditures2) | 16 | 13 | +3 |
Depreciation and amortization on non- | 12 | 10 | +2 |
current assets | |||
Internally financed R&D expenditures | 7 | 7 | - |
Cash flows from operating activities | 44 | -4 | +48 |
Cash flows from investing activities | -16 | -55 | +39 |
Net cash flow | 28 | -59 | +87 |
Net liquidity1) | 110 | 96 | +14 |
Total equity1) | 476 | 484 | -8 |
- As of June 30, 2020, as against December 31, 2019
- For property, plant and equipment and intangible assets
RENK Aktiengesellschaft
The Executive Board
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Renk AG published this content on 03 August 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 04 August 2020 08:42:28 UTC