In This Article:
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Revenue: EUR269.0 million in Q3, down from EUR313.4 million last year, with an organic growth of -14.1%.
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EBITDA: EUR20.5 million in Q3, down from EUR30.2 million last year.
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Gross Profit Margin: 39.6% in Q3, slightly down from 39.9% last year.
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Free Cash Flow: EUR36.5 million in the first nine months.
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Equity Ratio: 59.1%, at the upper end of the target range of 30% to 60%.
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Organic Growth: -16.5% for the first nine months.
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Adjusted EBITDA Margin: 9.0% in Q3, down from 9.7% last year.
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CapEx: EUR9 million in the first nine months, EUR2 million below prior year.
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Financial Liabilities: EUR138.7 million, increased due to dividend payment and share buybacks.
Release Date: October 24, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Takkt AG (XTER:TTK) has a solid foundation with an attractive and scalable business model.
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The company markets its products through well-known and respected brands with a combined legacy of over 600 years.
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Takkt AG has a large base of loyal and longstanding customers who appreciate their product and service excellence.
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The company is taking decisive actions to address internal challenges, including adjusting brand strategies and improving operational performance.
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Takkt AG is strengthening its leadership team by adding new talent with deep industry and tech expertise.
Negative Points
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Takkt AG is experiencing declining sales due to weak markets and internal issues, including suboptimal brand strategy changes.
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Process and system migrations were not well executed, resulting in negative performance impacts.
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The company faced challenges with the integration of systems for order intake, sales, and aftersales processes, leading to service quality issues.
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There was a significant decline in sales for the Office Furniture and Displays division, partly due to a flawed marketing approach and supplier issues.
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Takkt AG's profitability is well below its ambition, with a reported EBITDA significantly lower than the previous year.
Q & A Highlights
Q: Can you explain the strategic review process and the role of the interim CEO in making significant strategic decisions? A: Andreas Weiser, Interim CEO, stated that he and the executive leadership team are working closely with the board of directors on the long-term strategy. The interim CEO's mandate includes short, mid, and long-term development for Takkt AG. The process for selecting a permanent CEO is ongoing, and the board is taking it seriously.