HORNBACH Holding AG & Co. KGaA: HORNBACH Group sales and earnings stabilized in Q2 – more pronounced macro challenges impair further recovery and induce forecast adjustment

HORNBACH Group sales and earnings stabilized in Q2 – more pronounced macro challenges impair further recovery and induce forecast adjustment

Bornheim (Palatinate), September 15, 2023

Based on unaudited preliminary results, sales and earnings development of HORNBACH Holding AG & Co KGaA (ISIN DE0006083405) has stabilized in Q2 2023/24 (June 1, 2023 to August 31, 2023) as expected, with net sales increasing by 1.1% and adjusted EBIT declining by 13.4% in line with FY 2023/24 guidance given on May 16, 2023. However, due to the deterioration of the macroeconomic environment, management is cautious on further recovery in the second half of the year and thus revises the forecast for the financial year 2023/24.

According to unaudited preliminary figures, net sales in the first half-year 2023/24 are almost on previous year’s level at EUR 3,441.3 million (-0.6%) despite a challenging spring season and H1 2023/24 adjusted EBIT came in at EUR 221.3 million (-20.2%). However, we are cautious on further recovery in the second half of the financial year due to the deterioration in the macroeconomic outlook for Germany and the EU, with higher than expected inflation and rising interest rates as well as ongoing weakness of consumer sentiment. We therefore expect FY 2023/24 net sales to be at or slightly below the previous year’s level (before: around the previous year’s level). Adjusted EBIT is now expected to decline by -10% to -25% below the number of EUR 290.1 million in FY 2022/23 (before:  -5% to -15%).

The unaudited preliminary figures for Q2 and H1 2023/24 are shown in the following table:

The final financial results for Q2/H1 2023/24 will be published on September 27, 2023. An investor and analyst call will be hosted that day.

Explanations and reconciliations of the key financial figures used can be found on our website: https://www.hornbach-holding.de/en/investor-relations/reports-presentations/alternative-key-performance-indicators