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R&S Group Holding AG / Key word(s): Profit Hike
R&S Group increases guidance for 2024 and beyond
17-May-2024 / 06:30 CET/CEST
Release of an ad hoc announcement pursuant to Art. 53 LR
The issuer is solely responsible for the content of this announcement.
Ad hoc announcement pursuant to Art. 53 LR
R&S Group increases guidance for 2024 and beyond
. Revenue growth above 12%, higher than the previous guidance range
. Full-year 2024 EBIT margin of around 20%, up from 16-18%
. Free cash flow margin guidance raised to mid-teens double-digit as percent of net sales
from mid to high-single digit
. Mid-term outlook also increased accordingly above the previous guidance
Sissach/BL, Switzerland, 17 May 2024 - R&S Group Holding AG (SIX: RSGN) revised its guidance for the full-year 2024
(FY2024) that was published on 24 January 2024 and now expects net sales to grow above 12%, elevated from the upper end
of the previous guidance range of 9-12%, and an increased EBIT margin of around 20% (previous guidance 16-18%). Thanks
to strong cash conversion, the free cash flow margin guidance is also raised to mid-teens double-digit as percent of
net sales.
The strong order backlog per end of April of over CHF 200 million and a book-to-bill ratio of 1.3x reflect a favorable
medium-term outlook. The higher expected net sales growth, economies of scale and the measures implemented to protect
the gross margin and improve operational performance are showing a much higher impact on margin expansion than
initially anticipated.
Dynamics in the transformer markets in Central and Eastern Europe, where R&S Group maintains high market shares in its
focus markets, as well as in new target markets such as the Nordics, the Baltics and Germany remain favorable. As such,
the Executive Committee expects good volume growth for 2024 and beyond. In the mid-term, R&S Group aims for net sales
growth of around 12% per annum (previously around 10%), an EBIT margin of around 20% (before mid-teens) and a free cash
flow margin in the mid-teens double-digit as percent of net sales, up from around 10% previously.
The good start into the year confirms that R&S Group is well on track to achieve the newly updated guidance.
More detailed information on the performance in the first half year of 2024 will be provided on 24 July 2024 on
occasion of the publication of the trading update.

Calendar 2024

28 May        Annual General Meeting 
24 July       Trading update 
11 September  2024 half-year results 
31 October    Capital Markets Day 

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Contacts

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Investor Relations                Media 
Doris Rudischhauser               Nicolas Weidmann 
Phone: +41 79 410 81 88           Phone: +41 79 372 29 81 
Email: investors@the-rsgroup.com  Email: media@the-rsgroup.com 

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About R&S Group

R&S Group Holding AG ("R&S Group", the "company") is headquartered in Sissach/BL, Switzerland. With six manufacturing facilities in Switzerland, Italy, Poland and the Middle East, R&S Group serves its domestic and various European export markets with small and medium power and distribution transformers in the utility, infrastructure and industrial sectors. The company has been successfully positioned to benefit from the accelerating demand for energy production and distribution, driven by the global trend towards decarbonization. R&S Group has been listed on SIX Swiss Exchange on 13 December 2023 under the ticker symbol RSGN following its successful business combination with VT5 Acquisition AG, a previously Swiss-listed Special Purpose Acquisition Company (SPAC).

Further information about the R&S Group can be found at www.the-rsgroup.com. Disclaimer

This communication expressly or implicitly contains certain forward-looking statements concerning R&S Group Holding AG and its business. Such statements involve certain known and unknown risks, uncertainties and other factors, which could cause the actual results, financial condition, performance or achievements of R&S Group Holding AG to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. R&S Group Holding AG is providing this communication as of this date and does not undertake to update any forward-looking statements contained herein as a result of new information, future events or otherwise. Additional features: File: R&S Group increases guidance for 2024 and beyond

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End of Inside Information

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Language:     English 
Company:      R&S Group Holding AG 

Churerstrasse 25
8808 Pfäffikon SZ
Switzerland

E-mail:       investors@the-rsgroup.com 
Internet:     www.the-rsgroup.com 
ISIN:         CH1107979838, CH1108008082 
Listed:       SIX Swiss Exchange 
EQS News ID:  1905319 

End of Announcement EQS News Service
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1905319 17-May-2024 CET/CEST

Image link: https://eqs-cockpit.com/cgi-bin/fncls.ssp?fn=show_t_gif&application_id=1905319&application_name=news

END) Dow Jones Newswires

May 17, 2024 00:30 ET (04:30 GMT)