Sony Pixel Power calrec Sony

SGL Carbon's business performance after nine months confirms the announced stabilization and investment year

02/11/2023

Due to the better-than-expected sales and earnings development of the business units Graphite Solutions, Process Technology and Composite Solutions, SGL Carbons consolidated sales for the first nine months amounted to 821.7 million (9M 2022: 853.9 million) and were only slightly (3.8%) below the previous years level. As a result, the continued weak business development of the Carbon Fibers unit can almost be compensated at group level. Accordingly, the adjusted EBITDA of the Group also decreased only slightly by 4.5% to 130.0 million (9M 2022: 136.1 million).

Graphite Solutions (GS) is the Groups largest sales driver after nine months in 2023 with a 9.4% increase in sales to 418.4 million (9M 2022: 382.5 million). The rise in sales is based on business with customers from the semiconductor industry and here in particular on the high demand for graphite components for the silicon carbide-based semiconductor business. Overall, sales in the Semiconductor and LED market segment rose by 38.5% to 189.0 million in the first nine months of 2023.

The two business units Process Technology (PT) and Composite Solutions (CS) developed above expectations. With an increase in sales of 24.3%, PT contributed 95.7 million and CS 114.3 million (+3.0%) to the groups sales. CS was able to fully compensate the loss of sales due to the divestment of the business in Gardena (USA). Overall, the sales of the three business units GS, PT and CS increased by 57.9 million in a nine-month comparison. In contrast, sales and result of the Carbon Fibers (CF) business unit declined. Due to the continued insufficient demand from the wind industry, CFs sales decreased by 89.4 million or 33.2% to 179.6 million (9M 2022: 269.0 million). In the previous year, CF still benefited from the profitable automotive business in the first six months before the i3 contract ended as planned in the first half of 2022.

Earnings situation

The sales development is also reflected in SGL Carbons adjusted EBITDA (EBITDApre). Compared to the first nine months of the previous year, adjusted EBITDA was 4.5% lower at 130.0 million (9M 2022: 136.1 million). The development of the adjusted EBITDA of GS, PT and CS had a positive effect, whereas CF burdened the earnings development.

Changes in volume and product mix led to a stronger increase in adjusted EBITDA at GS of 18.5% to 99.5 million (9M 2022: 84.0 million) compared to sales growth (+9.4%). PT also performed positively, with adjusted EBITDA more than doubling to 17.0 million (9M 2022: 7.5 million). CS also made a positive contribution to the Groups adjusted EBITDA with an increase of 1.8 million (+12.2%) to 16.6 million (9M 2022: 14.8 million). On the other hand, the adjusted EBITDA of CF decreased significantly from 42.7 million to 3.2 million after nine months in 2023. Due to the lack of demand from the wind industry, the production capacity utilisation of CF dropped, so that production capacities had to be reduced and idle capacity costs burdened the result.

Taking into account depreciation and amortisation of 43.3 million, adjusted EBIT (EBITpre) after nine months amounted to 86.7 million (9M 2022: 92.2 million). The one-off effects and non-recurring items not included in the adjusted EBIT in the first nine months totalled minus 47.2 million, of which 44.7 million resulted from the impairment in the CF at the end of the first half of the year. EBIT decreased accordingly from 100.0 million to 39.5 million.

Including the slightly weaker financial result of minus 24.7 million (9M 2022: minus 22.7 million) and the income tax of 9.0 million (9M 2022: 7.8 million), the consolidated result for the first nine months 2023 amounts to 5.3 million (9M 2022 70.6 million).

Net financial debt and equity

Based on the re-financing completed in the 2nd and 3rd quarters of 2023, including the issuance of a convertible bond ( 118.7 million), the drawdown of an existing term loan ( 75 million) and the early repayment of the corporate bond (outstanding nominal value 240.0 million), financial debt (nominal) decreased to 316.0 million as at 30 September 2023 (31.12.2022: 398.1 million). Including cash and cash equivalents of 149.4 million, net financial debt also decreased slightly by 2.5% to 166.6 million (31.12.2022: 170.8 million).

Free cash flow after nine months in financial year 2023 amounts to 35.0 million and is significantly higher than the previous years figure ( 22.7 million). This was achieved despite investments of 59.1 million, which far exceeded depreciation and amortisation, and which SGL Carbon primarily used to expand production capacities for graphite components used in the semiconductor industry. Besides internal funding, customer prepayments were used for this investments, of which almost 40 million were collected already in the current financial year and are to be used quickly for further capacity expansion.

Despite the impairment in Carbon Fibers of 44.7 million in H1 2023, shareholders equity increased slightly to 599.1 million as at 30 September 2023 (31.12.2022: 569.3 million). This corresponds to an equity ratio of 42.5% (31.12.2022: 38.5%).

Based on the business performance in the first nine months 2023 and the currently prevalent market environment, SGL Carbon confirms its sales and earnings forecast 2023 and expects adjusted EBITDA to be rather at the lower end of the given range. Following strong sales and earnings growth in the last two years, the company had forecasted Group sales at the previous years level and adjusted EBITDA (EBITDApre) between 160 million and 180 million for the stabilisation and investment year 2023.

Further details on business development and outlook can be found in the Group interim statement on the first nine months of 2023.

Key figures of the third quarter 2023
LINK: https://www.sglcarbon.com/en/newsroom/news/press-report/sgl-carbons-bu...
See more stories from sgl

Most recent headlines

17/02/2025

How BBC Wales returned live to 1985

TVBEurope talks to the team who brought a piece of broadcasting history back to life on BBC Wales last night By Jenny Priestley Published: February 14, 2025 ...

17/02/2025

Film studio tax relief programme gets underway in England

Eligible studios will receive the relief directly from their local authorities, with no need to submit a claim By Matthew Corrigan Published: February 17, 20...

17/02/2025

Empowering progress from within

As DEI initiatives come under pressure in the USA, supporters of Rise, which promotes diversity in the media and entertainment sector, discuss the continuing im...

17/02/2025

EIB Global Lends 125 Million To Finance SES's Medium Earth Orbit Satellites

EIB Global loan will partially fund SES's continued O3b mPOWER medium earth orbit (MEO) fleet expansion enabling additional capacity worldwide. O3b mPOWER s...

15/02/2025

Nielsen's Business Resource Groups celebrate inclusion with BRinG It! Campaign

At Nielsen, Business Resource Groups (BRGs) play a critical role in nurturing a ...

15/02/2025

Innovation to empower creativity: Explore the latest in Lightroom

Innovation to empower creativity: Explore the latest in Lightroom Rob Christensen February 15, 2025 0 Comments Whether you want to remove distracting ...

15/02/2025

Wisycom Expands Into Argentina and Uruguay With EQUAPHON

Wisycom, a worldwide leader in RF technology and provider of wireless solutions, announces a new distribution agreement with EQUAPHON. An Argentinian profession...

15/02/2025

DPA Microphones Adds to Sales and Marketing Teams

DPA Microphones, the leading manufacturer of high-quality microphone solutions, is pleased to welcome Nicholas Nick Mariano and Vincent Vince Divine to the ...

15/02/2025

Tuxera brings media-optimized SMB technology to NAB Show...

Tuxera, a leading provider of quality-assured file systems and networking solutions, will showcase how Tuxera Fusion SMB enables unprecedented performance for m...

15/02/2025

Bitmovin Report Ad Insertion Tops Streaming Challenges a...

Bitmovin's latest Video Developer Report indicates an increasing role of AI, the slow adoption of next-generation codecs, and continuing challenges when it ...

15/02/2025

Oberc Lights Michelin-Star Hotel Guide Promo with DoPchoi...

When Michelin Enterprises set out to promote its prestigious Hotel Guide in the new Sleepless in the Kitchen , campaign, veteran German/Slovenian gaffer Robert...

15/02/2025

Formula E Supercharges Fan Experience with AI-Driven High...

Formula E, the world's first all-electric racing series, revolutionizing motorsport with cutting-edge technology and a commitment to sustainability has sele...

15/02/2025

Agile Content is Now AgileTV

Agile Content, a global leader in TV and video technology solutions, announces its rebranding to AgileTV. The transition to AgileTV stems from a commitment to ...

15/02/2025

Hiltron to Promote Latest-Generation Satellite Communicat...

Hiltron Communications will promote the latest additions to its range of satellite communication products, systems and supporting services at GovSatCom 2025. Th...

15/02/2025

DoPchoice Debuts Airglow Float - Inflatable Round Topligh...

Following the success of the original Airglow Booklight, DoPchoice debuts a new addition to their inflatable line the Float. This lightweight, inflatable, round...

15/02/2025

Marshall to Debut RCP Plus Controller at 2025 NAB Show

LAS VEGAS Marshall Electronics has announced that it will debut its newest camera controller, the RCP Plus, at the 2025 NAB Show at Booth N2649 between April 5 ...

15/02/2025

Gray Media Names Blake Sebo GM of Stations in Anchorage, Alaska

ATLANTA Gray Media has named Blake Sebo as the next general manager of KTUU and KYES, Gray's NBC and CBS affiliates in Anchorage, Alaska....

15/02/2025

DPA Microphones To Introduce CORE+ Technology at NAB Show

KOKKEDAL, Denmark DPA Microphones will feature its new CORE+ technology for distortion-free microphone sound at the 2025 NAB Show, April 5-9, in Las Vegas....

15/02/2025

QuickLink To Unveil StudioPro-NDI, StudioPro-3 at 2025 NAB Show

SWANSEA, U.K. QuickLink will launch StudioPro-NDI and StudioPro-3, two new models of its QuickLine StudioPro video production platform, at the 2025 NAB Show, Ap...

15/02/2025

Live From 2025 NBA All-Star Game Weekend: After 25 Years, Turner Sports All-In For Final Production

Live From 2025 NBA All-Star Game Weekend: After 25 Years, Turner Sports All-In F...

15/02/2025

NASCAR Driver Cam on Max Embraces Cloud-Based Workflow for 2025 Season

NASCAR Driver Cam on Max Embraces Cloud-Based Workflow for 2025 Season Chris Brown of WBD Sports says Mobii will play key part in delivering signals from the tr...

14/02/2025

Spotify's Partner Program Helps Creators Increase Revenue and Consumption of Video Podcasts

Last month, we officially launched the Spotify Partner Program, a powerful new m...

14/02/2025

Four Ways L3Harris Targeting and Sensor Systems are Defining the Future of Land Missions

The future of electro-optical/infrared (EO/IR) land systems is evolving so that ...

14/02/2025

ISE 2025: 5 Reasons to Join Calrec at ISE

Here are 5 reasons why you should attend ISE 2025 Discover more about Calrec: Learn more about Calrec's legacy of innovation in broadcast audio solutions ...

14/02/2025

World Radio Day: On the same wavelength

World Radio Day: On the same wavelength By Graham Murray, International Sales Manager at Calrec To mark World Radio Day, Calrec's International Sales Ma...

14/02/2025

Tegna Inks Deal for Dallas Wings Broadcasts

DALLAS and TYSONS, Va. Tegna has concluded a broadcast rights agreement that makes Tegna's KFAA in Dallas the exclusive local television partner of the Dall...

14/02/2025

Prime Video Makes Significant Upgrades to Its Apple TV App

Amazon's Prime Video has released a new app for Apple TV that the streamer said delivers an improved streaming experiences with faster scrolling, improved s...

14/02/2025

Telos Alliance To Showcase Quasar V3.2 AoIP Software at NAB Show

CLEVELAND Telos Alliance announced a software update for its Axia Quasar XR and SR line of audio-over-IP (AoIP) mixing consoles and will show the offering at th...

14/02/2025

Puget Systems Returns to HPA Tech Retreat 2025 with New Analysis Tools for Puget Bench for Creators

Puget Systems Returns to HPA Tech Retreat 2025 with New Analysis Tools for Puge...

14/02/2025

Glass Animals: Tour of Earth Uses Blackmagic Live Production Workflow

Glass Animals: Tour of Earth Uses Blackmagic Live Production Workflow Brie Clayton February 14, 2025 0 Comments 80six deploys Blackmagic URSA Broadcas...

14/02/2025

Paramount, Youtube TV Avoid Channel Blackout, Will Continue Negotiations

A dispute between Paramount and Youtube TV that would have pulled CBS stations and Paramount's cable channels from the streaming service has been temporaril...

14/02/2025

Stop-motion triumph

Colourist Deidre (Dee) McClelland details how she helped shape the distinct look and feel of whimsical Oscar-nominated stop-motion film, Memoir of a Snail By C...

14/02/2025

BitFire appoints Jim Akimchuk as CEO

BitFire said it intends to introduce forward-looking services that simplify the launch of live production workflows, and enhance real-time collaboration By Jen...

14/02/2025

Arena TV liquidators dismiss banks' defence as unsustainable'

The claim by the liquidators is the latest twist in the ongoing saga of the companys collapse at the end of 2021 By Matthew Corrigan Published: February 14, ...

14/02/2025

YouTube TV Likely To Drop Paramount Channels Today

A carriage dispute between YouTube TV and Paramount could come to a head today (Feb. 13), with the virtual pay TV provider threatening to pull all of the progra...

14/02/2025

LG Opens Its First Virtual Production Studio

ENGLEWOOD CLIFFS, N.J. LG Electronics USA has opened a new in-house, state-of-the-art virtual production studio at its 360,000-square-foot North American headqu...

14/02/2025

CIMM, TVB Release Local TV and Video Innovation Showcase

NEW YORK In a bid to help local broadcasters find new ways of monetizing their content, the Coalition for Innovative Media Measurement (CIMM) and TVB have relea...

14/02/2025

U.S. Senators Blast Weaponization of FCC' Against Broadcasters

WASHINGTON Three Democratic U.S. Senators have sent a stern letter blasting FCC Chair Brendan Carr for the weaponization of the agency for attacking broadcast...

14/02/2025

The Apple TV App Comes to Android

Years after launching the streaming service Apple TV+ in November of 2019, Apple has finally released a version of its steaming app for Android devices....

14/02/2025

Red Adds Nikon Z Mount To V-RAPTOR [X], KOMODO-X Camera Systems

FOOTHILL RANCH, Calif. Red Digital Cinema will make its V-RAPTOR [X] and KOMODO-X camera systems available with Nikon's premier Z Mount, providing filmmaker...

14/02/2025

Fox Sports Revs Up for Daytona 500 With New NASCAR Deal, Some New Tech

DAYTONA, Fla. The Fox Sports production of this year's Daytona 500 will see the addition of a few new tech elements and the continued unfolding of the broad...

14/02/2025

Watch Bryson Battles Blind Audition on The Voice Get a Four-Chair Turn

Watch Bryson Battles Blind Audition on The Voice Get a Four-Chair Turn Michael Bubl said the Boston Conservatory at Berklee musical theater senior might have...

14/02/2025

2025 Daytona 500: FOX Sports Looks To Ride Super Bowl LIX Momentum Into NASCAR Season

2025 Daytona 500: FOX Sports Looks To Ride Super Bowl LIX Momentum Into NASCAR S...

14/02/2025

VEON's Kyivstar and the Come Back Alive Foundation Raise USD 2.6 Million for Demining in Ukraine

14 Feb 2025 VEON's Kyivstar and the Come Back Alive Foundation Raise USD 2....

14/02/2025

Max Renews THE PITT, Starring Noah Wyle, For A Second Season

Max Renews THE PITT, Starring Noah Wyle, For A Second Season Max Warner Bros. Television Group The Pitt New Episodes Of The Medical Drama From John...

14/02/2025

110 Years of Love in Every Frame: A Technicolor Celebration of Romance

This year, Technicolor proudly celebrates 110 years of shaping the magic of cinema pioneering color, visual effects, and innovation that bring unforgettable l...

14/02/2025

NBA All-Star: More Games, More Teams, More Music, More Sound From the Court

NBA All-Star: More Games, More Teams, More Music, More Sound From the Court Turner Sports' team will deploy familiar tech to capture all the audio By Dan D...

14/02/2025

LIV Golf Continues To Innovate With Drones, Data-Driven Graphics, and All-Access Features in Year 4

LIV Golf Continues To Innovate With Drones, Data-Driven Graphics, and All-Access...