INDUS Group generates sales of EUR 402.4 million and adjusted EBITA of EUR 24.9 million in Q1 2025

INDUS Group generates sales of EUR 402.4 million and adjusted EBITA of EUR 24.9 million in Q1 2025

• Solid order intake driven in particular by the Engineering segment
• Three add-on acquisitions: HBS, KETTLER and ELECTRO TRADING
• Earnings per share at EUR 0.63
• Sales forecast of between EUR 1.70 billion and EUR 1.85 billion, adjusted EBITA margin of between 7.5% and 9%

Bergisch Gladbach, 14 May 2025 – The portfolio companies of INDUS Group generated sales of EUR 402.4 million in the first three months of 2025 (previous year: EUR 410.1 million). Adjusted EBITA, which is calculated from EBIT by eliminating amortization and impairment losses on intangible assets from purchase price allocations, amounted to EUR 24.9 million (previous year: EUR 31.5 million). The adjusted EBITA margin was 6.2% (previous year: 7.7%).

Infrastructure: Rising sales and positive outlook

Sales in the Infrastructure segment rose to EUR 136.4 million (previous year: EUR 131.9 million). Adjusted EBITA amounted to EUR 10.0 million (previous year: EUR 12.8 million). Higher personnel costs and intense competition in the still weak market environment had an impact on earnings. INDUS expects market demand and productivity to improve over the course of the year. INDUS now expects a moderate increase in segment sales for the current financial year. INDUS further strengthened the Infrastructure segment in the first quarter by acquiring KETTLER, a manufacturer of components and spindle extensions for pipe systems, and the Swedish distributor ELECTRO TRADING.

Engineering: Noticeable investment restraint in Q1, significant increase in order intake

Sales in the Engineering segment, which is strong in exports, reached EUR 123.2 million (previous year: EUR 129.4 million). Adjusted EBITA stood at EUR 6.4 million (previous year: EUR 10.2 million). This subdued performance reflects the anticipated general reluctance to invest as a result of the international trade conflicts. With a solid order backlog and a partial recovery in demand, INDUS expects a gradual improvement throughout the year, with a very strong fourth quarter. Order intake rose by 19.5% in the first quarter, confirming a long-term positive trend. At the beginning of the year, INDUS acquired the stud welding specialist HBS for the Engineering segment.

Material Solutions: Adjusted EBITA up on previous year despite slight decline in sales

Sales in the Materials Solutions segment amounted to EUR 142.5 million. In the previous year, segment sales (EUR 148.6 million) still included the sales of the INDUS portfolio company IMECO. Adjusted EBITA increased slightly to EUR 12.7 million (previous year: EUR 12.4 million). Order intake rose, in particular at the metal processing companies. However, several companies in this segment had to lower their expectations for the following quarters due to US tariff policy. In addition, Chinese export controls on tungsten compounds pose a supply risk for a portfolio company that manufactures carbide tools. Due to these effects, INDUS now anticipates a moderate drop in sales and a significant decline in adjusted EBITA for the year overall.

Dr. Johannes Schmidt, Chairman of INDUS Group’s Board of Management: “The disruptive US tariff policy and international trade conflicts have significantly heightened the overall market uncertainty. In the first quarter, our portfolio companies adapted flexibly to these challenges. The rising order intake, especially in the Engineering segment, and the positive sales trend in the Infrastructure segment are notable highlights.”

Earnings per share at EUR 0.63

Earnings after taxes came in at EUR 16.1 million (previous year: EUR 10.3 million). This includes non-periodic tax income of over EUR 8 million. Earnings per share stood at EUR 0.63 (previous year: EUR 0.38).

Equity ratio rises slightly to 38.8%

Free cash flow amounted to EUR -23.6 million in the first quarter. In the previous year, free cash flow was EUR 6.1 million, as the typical seasonal increase in working capital was lower in the same period of the previous year. Free cash flow of over EUR 90 million is still expected for the year as a whole. The equity ratio rose slightly to 38.8% as of 31 March 2025 (31 December 2024: 38.7%), even though the share buyback program completed on 4 March 2025 reduced equity by EUR 3 million in the quarter under review.

Forecast for the financial year 2025

As already communicated on 7 May 2025, INDUS anticipates Group sales of EUR 1.70 billion to EUR 1.85 billion for the current financial year. The Board of Management expects adjusted EBITA of EUR 130 million to EUR 165 million. The forecast for the adjusted EBITA margin is 7.5% to 9%.

Click here for the full interim report of INDUS Holding AG.

 

About INDUS
At INDUS, we have been generating sustained growth from a diversified portfolio of Mittelstand companies since 1989. We focus on acquiring family-owned businesses with special engineering capabilities and grow them internationally. To expand their business, we ensure that our managers act like true entrepreneurs. They can count on our reliable perspective as a long-term investor. Rooted in the German-speaking Mittelstand, INDUS today fully owns and successfully leads more than 40 companies with activities around the world. Listed on the Frankfurt Stock Exchange (SDAX) since 1995, we have established a unique bridge between the SME sector and the capital market. For more information, visit www.indus.eu.

Note:
This press release contains forward-looking statements. These statements are based on the current views, expectations and assumptions of the management of INDUS Holding AG and comprise known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. INDUS Holding AG assumes no obligation to update forward-looking statements.

Contact:
Nina Wolf & Dafne Sanac
Public Relations & Investor Relations

INDUS Holding AG
Kölner Straße 32
51429 Bergisch Gladbach
Germany

Tel +49 (0) 022 04 / 40 00-73
Tel +49 (0) 022 04 / 40 00-32
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