SÜSS MicroTec (SMHN) Q2 2024 earnings summary

Executive summary

• Achieved strong growth in H1 2024, with sales up 45.6% year-over-year to €192.8 million and EBIT margin rising to 15.6% from 8.7%.

• Net profit surged to €80.8 million, boosted by the sale of the MicroOptics business and improved earnings from continuing operations.

• Order book reached €450 million as of June 30, 2024, up 18% year-over-year, supporting continued growth.

• Workforce expanded by 18.6% since June 2023, mainly in production and R&D.

• Raised full-year 2024 guidance for sales, gross profit margin, and EBIT margin following robust first-half performance.

Financial highlights

• H1 2024 sales rose 45.6% to €192.8 million; gross profit increased 63.1% to €76.8 million, with a gross margin of 39.8%.

• EBIT more than doubled to €30.1 million; EBIT margin reached 15.6%, up 6.9 percentage points year-over-year.

• Net profit was €80.8 million, including €58.3–58.8 million extraordinary income from the MicroOptics sale; EPS from continuing operations more than doubled.

• Free cash flow from continuing operations was €22.6 million, up 443.1% year-over-year.

• Cash and cash equivalents increased by €87.7 million to €125.8 million; equity ratio improved to 56%.

Outlook and guidance

• 2024 sales guidance raised to €380–410 million (previously €340–370 million), gross profit margin expected at 38–40%, and EBIT margin at 14–16%.

• Management confident in maintaining positive momentum into H2 2024, with high order book visibility through mid-2025.

• 2025 targets remain unchanged, with updated guidance expected by March 2025.