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EQS-News: Vitesco Technologies Group AG / Key word(s): Quarterly / Interim Statement/Quarter Results
Vitesco Technologies starts with solid quarterly results into fiscal year 2024
2024-05-08 / 07:00 CET/CEST
The issuer is solely responsible for the content of this announcement.
Vitesco Technologies starts with solid quarterly results into fiscal year 2024
. Quarterly sales of around EUR1.99 billion (Q1 2023: EUR2.31 billion)
. Adjusted EBIT: EUR33.0 million (Q1 2023: EUR30.8 million) with an adjusted EBIT margin of 1.7 percent (Q1
2023: 1.4 percent)
. Order intake of EUR708 million, of which around 40 percent in the electrification business
. Vitesco Technologies confirms outlook for fiscal year 2024

Regensburg, May 8, 2024. Vitesco Technologies, a leading international provider of modern drive technologies and
electrification solutions for sustainable mobility, published its first quarter 2024 results today.
"Given the persistently challenging market environment, Vitesco Technologies' first quarter was solid," says CEO
Andreas Wolf. "In particular, the planned decline in non-core technologies resulted in lower sales at the beginning of
the year."

Transformation progress: non-core business declines as planned
Group sales in the first quarter came in at EUR1.99 billion (Q1 2023: EUR2.31 billion), which equates to a year-on-year
decline of 13.9 percent. Adjusted for changes in the scope of consolidation and exchange-rate effects, sales were
7.5 percent lower.
The core business contributed EUR1.57 billion (Q1 2023: EUR1.60 billion) to total sales, whereas the non-core business
generated sales of EUR423.0 million (Q1 2023: EUR713.1 million). The decline in sales at the start of the year was mainly
attributable to the planned reduction in Contract Manufacturing for Continental.
Adjusted EBIT was at EUR33.0 million (Q1 2023: EUR30.8 million), which equates to an adjusted EBIT margin of 1.7 percent
(Q1 2023: 1.4 percent). Consolidated net income for the period amounted to EUR22.7 million (Q1 2023: -EUR50.7 million) and
earnings per share to EUR0.57 (Q1 2023: -EUR1.27).
Free cash flow stood at -EUR90.6 million (Q1 2023: -EUR41.1 million). The main reasons for this are the planned settlements
of advance payment by Continental and the mutual decline in Contract Manufacturing combined with the contractually
agreed adjustment of payment terms.
Capital expenditures [1] on property, plant, equipment, and software amounted to EUR84.4 million (Q1 2023:
EUR98.0 million). The ratio of capital expenditures to sales was therefore 4.2 percent (Q1 2023: 4.2 percent).
Vitesco Technologies had a solid balance sheet as of March 31, 2024 with an equity ratio of 37.8 percent (March 31,
2023: 39.1 percent).
"All in all, we can be satisfied with the first quarter of 2024. We are confident that we will achieve our targets for
the year based on our cost discipline and operational improvements," says CFO Sabine Nitzsche.
In the first quarter of 2024, Vitesco Technologies' order intake came in at EUR708 million, with electrification
components accounting for EUR282 million.
Andreas Wolf: "We are active in project acquisition in all major regions and across our entire portfolio. I can
therefore confidently say that our order intake in the electrification business this year will reach the level of
2023."

The business activities of the two divisions
The Powertrain Solutions division generated sales of EUR1.27 billion in the first quarter of 2024 (Q1 2023:
EUR1.61 billion). In the same period, the division's adjusted EBIT rose to EUR113.8 million (Q1 2023: EUR109.2 million),
which equates to an improved adjusted EBIT margin of 8.9 percent (Q1 2023: 7.3 percent).
The planned reduction in Contract Manufacturing for Continental as well as discontinued activities, particularly in the
non-core business, contributed to the division's decline in sales but improvement in earnings.
Sales generated by the Electrification Solutions division increased year on year to EUR732.2 million in the first
quarter of 2024 (Q1 2023: EUR716.8 million). This equates to sales growth of 2.1 percent.
With ramp-up costs for electrification products remaining at a high level, the division's adjusted EBIT came in at
-EUR71.7 million (Q1 2023: -EUR71.6 million), which corresponds to an adjusted EBIT margin of -9.8 percent (Q1 2023:
-10.0 percent).

Outlook: second quarter and full-year 2024
Vitesco Technologies expects the market environment to remain challenging in the second quarter of 2024. Despite
expected improvements in the electromobility market, there is still the potential of geopolitical uncertainty to cause
shifts in demand and disruption in supply chains.
The market outlook and the Group's full year forecast for 2024 are unchanged compared with the expectations published
at the 2024 annual press conference. As with the outlook in relation to global vehicle production, all assumptions
continue to entail a high level of uncertainty.

EUR million                                                                                              2024        2023 
Sales                                                                                               1,991.9     2,314.2 
Cost of sales                                                                                     (1,707.7)   (1,997.7) 
Gross margin                                                                                          284.2       316.5 
Research and development costs                                                                      (222.5)     (236.5) 
Distribution and logistics costs                                                                     (29.1)      (32.7) 
General and administrative costs                                                                     (72.6)      (62.7) 
Other income                                                                                          102.6        82.3 
Other expenses                                                                                       (47.6)      (92.4) 
Income from equity-accounted investees                                                                  0.4         0.2 
EBIT                                                                                                   15.4      (25.3) 
Interest income                                                                                        11.3         7.8 
Interest expense                                                                                     (17.1)      (12.4) 
Effects from currency translation                                                                       1.2         9.0 

Effects from changes in the fair value of derivative financial instruments, and other valuation

effects                                                                                                 2.3       (8.4) 
Results                                                                                               (2.3)       (4.0) 
Result before income tax                                                                               13.1      (29.3) 
Income tax expense                                                                                      9.6      (21.4) 
Net income                                                                                             22.7      (50.7) 

Basic earnings per share in EUR                                                                          0.57      (1.27) 
Diluted earnings per share in EUR                                                                        0.57      (1.27) 

===
Vitesco Technologies is a leading international developer and manufacturer of state-of-the-art powertrain technologies for sustainable mobility. With smart system solutions and components for electric, hybrid and internal combustion drivetrains, Vitesco Technologies makes mobility clean, efficient, and affordable. The product range includes electrified drivetrain systems, electronic control units, sensors and actuators, and exhaust-gas aftertreatment solutions. In 2023, Vitesco Technologies recorded sales of EUR9.23 billion and employs around 35,500 people at around 50 locations worldwide. Vitesco Technologies is headquartered in Regensburg, Germany.

Contact for investors

Heiko Eber

Head of Investor Relations

Tel: +49 941 2031-72348

heiko.eber@vitesco.com Contact for journalists

Simone Geldhäuser

Head of Media Relations

Tel: +49 941 2031 61302

simone.geldhaeuser@vitesco.com

Press portal

https://www.vitesco-technologies.com/en-us/press-events/press

Social media

www.vitesco-technologies.com

www.linkedin.com/company/vitesco-technologies

www.facebook.com/VitescoTechnologies

www.instagram.com/vitesco_technologies

www.youtube.com/channel/Vitesco Technologies

www.vitesco-technologies.com/en/WeChat

^[1] Excluding right-of-use assets under IFRS 16.

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2024-05-08 CET/CEST Dissemination of a Corporate News, transmitted by EQS News - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The EQS Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.eqs-news.com

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