Jungheinrich Raises Forecast for 2020 Despite Corona

Jungheinrich AG has published its figures for the first half of 2020 and raises its forecast for the year 2020. The business development as of September 30, 2020, was very satisfactory against the backdrop of the ongoing pandemic.

(Hamburg) – In the first half of 2020, Jungheinrich had already performed well despite the strained market environment due to the global COVID-19 pandemic. Customer demand has gradually picked up over the past few weeks. Therefore, Jungheinrich expects higher revenues for the remainder of 2020 than initially planned. The management board assumes that the efficiency improvement and cost reduction measures initiated early and implemented consistently will continue to have a positive impact on the results.

EBIT Margin Significantly Higher Than Expected

The management board therefore expects a new order intake for the entire year 2020 to be between €3.5 billion and €3.7 billion (previous forecast: €3.4 billion to €3.6 billion). The group revenue is also expected to be within a range of €3.5 billion to €3.7 billion (previous forecast: €3.4 billion to €3.6 billion). The earnings before financial results and income taxes (EBIT) should be between €180 million and €230 million for 2020 (previous forecast: €130 million to €180 million). The EBIT margin is expected to be between 5.1 percent and 6.2 percent (previous forecast: 3.8 percent to 5.0 percent). The earnings before taxes (EBT) is expected to reach between €155 million and €205 million (previous forecast: €105 million to €155 million). The EBT margin should be between 4.4 percent and 5.5 percent (previous forecast: 3.1 percent to 4.3 percent).

Net Assets Instead of Net Debt

Furthermore, it is expected that Jungheinrich will report no net debt at the end of the financial year, but rather a net asset of significantly over €50 million (previous forecast: net debt significantly below €50 million). The ROCE for the financial year 2020 is expected to be between 10 percent and 14 percent (previous forecast: between 8 percent and 12 percent).Compared to the previous expectations, Jungheinrich anticipates a slight improvement in its market share in Europe compared to the financial year 2019 (2019: 20.2 percent).

Forecast Based on Development Without Lockdown

This forecast is based on the assumption that there will not be extensive further lockdowns or factory closures due to the COVID-19 pandemic until the end of the year, and that the supply chains necessary to maintain production remain largely intact. The lower forecast limit already takes into account certain current negative developments on the customer and supplier side due to the pandemic.The business development of the Jungheinrich Group as of September 30, 2020, was very satisfactory against the backdrop of the ongoing pandemic. The order intake was €2,732 million (previous year: €3,014 million), and the group revenue after nine months was €2,723 million (previous year: €2,972 million).EBIT reached €150.2 million (previous year: €197.3 million). EBT amounted to €133.8 million (previous year: €183.3 million). Accordingly, the EBIT margin was 5.5 percent (previous year: 6.6 percent) and the EBT margin was 4.9 percent (previous year: 6.2 percent).The quarterly report of Jungheinrich AG as of September 30, 2020, will be published on November 10, 2020.

About Jungheinrich

Founded in 1953, Jungheinrich is one of the world’s leading solution providers for intralogistics. With a comprehensive portfolio of industrial trucks, automated systems, and services, Jungheinrich offers its customers tailored solutions for the challenges of Industry 4.0. The group, headquartered in Hamburg, operates in 40 countries with its own direct sales companies and in around 80 other countries through partner companies. Jungheinrich employs 18,000 people worldwide and achieved a group revenue of €4.07 billion in 2019. Jungheinrich shares are listed on the SDAX.www.jungheinrich.comPhoto: © Jungheinrich AG