Business
HGears AG Group: Economic weakness and destocking again impact revenues and earnings – already initiated countermeasures are proving successful.
HGears AG Group: Economic weakness and destocking again impact revenues and earnings – already initiated countermeasures are proving
About this update from Hgears Ag
[{"type":"text","content":"\n\n\nEQS-News: hGears AG\n\n\n / Key word(s): Annual Report\n\n\n\n\n\nhGears AG Group: Economic weakness and destocking again impact revenues and earnings – already initiated countermeasures are proving successful. \n\n\n\n\n\n\n26.03.2025 / 07:30 CET/CEST\n\n\n\nThe issuer is solely responsible for the content of this announcement. hGears AG Group: Economic weakness and destocking again impact revenues and earnings – already initiated countermeasures are proving successfulHIGHLIGHTS FOR THE FULL YEAR 2024Group revenues of EUR 95.7 million 14.9 % lower than in the previous year\n Annual revenues of e-Tools only marginally lower thanks to stabilization in 2H24, [e]‑Mobility and e-Bike record declines in revenues\n Adjusted gross profit of EUR 43.6 million due to low volumes and resulting inefficiencies, margin 45.5 %\n Adjusted EBITDA reached EUR 0.5 million, adjusted EBITDA margin 0.5 %\n Stable balance sheet; equity ratio of 49.4 %, cash and cash equivalents of EUR 17.1 million\n Schramberg, 26 March 2025 - hGears AG generated consolidated revenue of EUR 95.7 million and adjusted EBITDA of EUR 0.5 million for the full year 2024. Revenue of e‑Tools developed positively in the second half of the year and therefore declined only slightly over the full year. By contrast, revenue from [e]-Mobility and e-Bike in particular was weaker on an annualized basis, although there was a sequential recovery in the final quarter.\n\nThe economic and geopolitical environment is dampening consumer sentiment, while both the structural problems in the automotive industry and the ongoing destocking of e-bikes are having a negative impact on hGears. The bright spot is the e-Tools business area, which continued to stabilize and only saw a slight decline in revenues of 2.0 % to EUR 32.5 million in 2024 thanks to a good performance in the second half of the year. The structural crisis in the automotive industry was reflected in the [e]-Mobility business area with a decline in sales of 11.0 % to EUR 44.2 million, while it once again proved to be comparatively resilient due to its focus on premium and luxury vehicles. The e-Bike business area recorded a year-on-year decline in sales of 36.1 % to EUR 18.5 million, as destocking across all revenues channels in the bicycle industry continues to progress much more slowly than expected.\n\nAdjuste...