Rieter Closes FY 2024 With A Solid Operating Result

Ad hoc announcement pursuant to Art. 53 LR

Key Highlights:

• Order intake: CHF 725.5 million (+34% YoY)
• Sales: CHF 859.1 million (-39% YoY)
• Order backlog: CHF 530 million (December 31, 2024)
• EBIT: CHF 28.0 million (EBIT margin 3.3%)
• Net profit: CHF 10.4 million
• Free cash flow: CHF 14.1 million
• Proposed dividend: CHF 2.00 per share

Strong Order Intake Amid Lower Sales
Rieter reported a 34% increase in order intake to CHF 725.5 million (2023: CHF 541.8 million), marking the fourth consecutive quarter of year-on-year growth. However, sales declined by 39% to CHF 859.1 million (2023: CHF 1,418.6 million) due to ongoing market challenges. Despite lower sales, Rieter delivered a solid EBIT of CHF 28.0 million (2023: CHF 104.8 million) with an EBIT margin of 3.3% (2023: 7.4%).

Performance by Division

• Machines & Systems: Sales declined by 56% to CHF 424.9 million (2023: CHF 965.0 million).
• Components: Sales dropped by 7% to CHF 247.6 million (2023: CHF 266.2 million).
• After Sales: Sales remained stable at CHF 186.6 million (2023: CHF 187.4 million).

Order Backlog
The order backlog stood at CHF 530 million as of December 31, 2024, compared to CHF 650 million at the end of 2023.

Profitability and Financial Position
EBIT for 2024 was CHF 28.0 million, down from CHF 104.8 million in 2023, resulting in an EBIT margin of 3.3% (2023: 7.4%). Net profit for the year stood at CHF 10.4 million (2023: CHF 74.0 million).

Free cash flow amounted to CHF 14.1 million (2023: CHF 118.7 million). Net debt increased to CHF 230.3 million (2023: CHF 191.2 million), mainly due to new lease liabilities related to the Winterthur Campus. The equity ratio improved to 33.7% (2023: 28.8%), supported by positive currency effects and reduced net working capital.

Dividend Proposal
Based on the positive free cash flow and improved equity ratio, the Board of Directors has proposed a dividend of CHF 2.00 per share for 2024, representing a payout ratio of 85.8%.
 
Sustainability Initiatives
Rieter remains committed to its sustainability strategy, aligned with the Group’s broader goals. In 2024, the company joined the Science Based Targets initiative, pledging to set company-wide emission reduction targets by 2040, consistent with net-zero objectives. The 2024 Annual Report outlines progress in environmental, social, and corporate governance (ESG) initiatives.
 
Outlook for 2025
Rieter expects a challenging first half of 2025 in terms of sales volume, with improvement anticipated in the second half as market conditions recover. Sales for the full year 2025 are expected to remain at the 2024 level, with an anticipated EBIT margin between 0% and 4%.