3U HOLDING AG
3U HOLDING AG brings the financial year 2023 to a successful close

3U HOLDING AG brings the financial year 2023 to a successful close

• Preliminary figures show: revenue growth at 4% in the financial year 2023; EBITDA margin at 10%; Group result at the upper end of guidance
• Two of the three operating segments report higher revenue and improved profitability
• Management proposes dividend distribution of EUR 0.05
• Outlook for 2024: further growth in a challenging market environment

Marburg, 11 March 2024 – 3U HOLDING AG (ISIN DE0005167902; identifier: UUU) has today submitted the preliminary results for the financial year 2023 and the outlook for the company in 2024. Accordingly, and as forecast, 3U raised consolidated revenue, and earnings before interest, taxes, depreciation and amortisation (EBITDA) for the Group in 2023 was in line with expectations which were last adjusted in November. The company anticipates further profitable growth in the current financial year. At the same time, 3U continues to rigorously implement the measures deemed necessary under its MISSION 2026 for enhancing competitiveness in the SHAC segment’s e-commerce business and for expanding its power generating capacities in the Renewable Energies segment.

On a provisional basis, 3U HOLDING AG raised revenue by 4.0% to EUR 52.4 million in the financial year 2023 (previous year: EUR 50.3 million). The Group had previously targeted a range of between EUR 52 million and EUR 56 million. EBITDA came in at EUR 5.2 million (previous year: EUR 8.5 million). In terms of this metric, the Group lies within its predicted range of EUR 4.5 million to EUR 6.0 million, thereby slightly exceeding analysts’ expectations (consensus: EUR 5.0 million). The Group’s EBITDA margin amounted to 10.0%, following on from 16.8% in the year-earlier reporting period.

Uwe Knoke, Management Board member responsible for Strategy and Business Development, concludes that he is generally satisfied with the results achieved in a difficult economic environment: “The current figures are evidence that our business model also works in tough economic conditions. Thanks to the Group’s diversified positioning, we were able to largely compensate for the negative influences from the economy in the individual sectors. We can therefore be satisfied overall with what we have achieved. Our preliminary figures reveal that we have reached all our adjusted targets for 2023. This provides a sound basis for the years ahead in which we will naturally be striving to improve on the results.”

Higher electricity yield boosts profit in the Renewable Energies segment

The ITC segment (Information and Telecommunications Technology) and Renewable Energies segment have been successful in delivering revenue growth in the double-digit percentage range, while also achieving a significant improvement in earnings. Against the backdrop of weak e-commerce prevailing in Germany as a whole and a massive slump in construction activity, the SHAC (Sanitary, Heating and Air Conditioning Technology) segment sustained a significant decline in revenue.

The ITC segment lifted its revenue by more than 26% to EUR 15.3 million in 2023 (previous year: EUR 12.1 million). The strongest performance was delivered by Managed Services on the back of acquisitions. As a result of the profitable product mix, segment EBITDA also increased by more than 24% to EUR 3.9 million (previous year: EUR 3.1 million). The Renewable Energies segment generated a higher electricity yield in 2023 than in the previous year due to the good meteorological conditions. According to preliminary calculations, revenue advanced from EUR 7.2 million to EUR 8.1 million. Segment EBITDA increased significantly, from EUR 3.4 million to EUR 5.8 million, reflecting growth of a good 72%. Business in the SHAC segment was unable to disengage from the overall economic environment in 2023. Although the segment outperformed the industry environment in the reporting period, it nevertheless reported lower revenue and earnings. Revenue came in at EUR 29.6 million in the period under review, down 6% (previous year: EUR 31.5 million). Segment EBITDA stood at EUR –1.2 million (previous year: EUR 0.1 million).

The unaudited preliminary earnings after taxes from continuing operations amounts to EUR 2.6 million for the 3U Group in 2023 (previous year: EUR 3.2 million), and is therefore gratifyingly at the upper end of the forecast corridor last adjusted in November 2023. This corresponds to earnings per share of EUR 0.07 (previous year: EUR 0.09). On this basis, the Management Board and the Supervisory Board proposed to distribute dividend of EUR 0.05 per share to the shareholders. Pending approval by the Annual General Meeting on 28 May 2024, this corresponds to a payout ratio of more than 70%.

Confidence for significant revenue growth in 2024

Despite generally subdued macroeconomic expectations for the individual segments, the Management Board estimates organic revenue growth in the financial year 2024 in a range of approximately 9% to 16% to between EUR 58.0 million and EUR 62.0 million

Along with a sustained positive development in the ITC segment’s business, a broader product range, flanked by stepping up sales and marketing measures in the SHAC e-commerce business, are measures aimed at contributing to the organic growth targeted. In addition, 3U will be promoting inorganic growth through successful company acquisitions to secure its plans to boost earnings in the coming years.

As far as the Renewable Energies segment is concerned, 3U is opting for extensive investments to expand its own power generating capacities. Owing to the necessary upfront investments in 3U’s future competitiveness, and in conjunction with repowering measures commencing at the Langendorf location, the EBITDA margin is anticipated in a range of approximately 7% to 8% in 2024.

“As part of our MISSION 2026 strategy programme, we have defined clear value potential within the Group and specified targets for each of the three segments. The year 2024 will mark a milestone on this journey. By making the necessary investments in the future, we will be ensuring – dependent on realising the necessary acquisitions – that the dynamic uptrend in our development anticipated for the financial years 2025 and 2026 will be realised,” CFO Christoph Hellrung states.

The final results for 2023 will be published, as scheduled, on 28 March 2024.

A webcast on 3U HOLDING AG’s 2023 annual financial statements together with CFO Christoph Hellrung and Uwe Knoke, Board member responsible for Strategy and Business Development, will be held on 28 March 2024 at 10:00 CET.

Please register here here to participate in the webcast.

Contact:

Thomas Fritsche
Investor Relations
3U HOLDING AG
Tel.: +49 (0)6421 999 – 1200
email: IR@3U.net

About 3U:

3U HOLDING AG (www.3U.net), based in Marburg, Germany, was founded in 1997. As the operating management and investment holding company, it heads up the 3U Group. With a view to increasing the value for the shareholders, employees, customers, suppliers and all stakeholders, the company acquires, operates and sells companies in the three segments of ITC (Information and Telecommunications Technology), Renewable Energies and SHAC (Sanitary, Heating and Air Conditioning Technology). The 3U Group operates successfully and profitably with its business models in mega trends in all three segments and is striving to attain market leadership in particular with its e-commerce business model. 3U HOLDING AG shares are traded on XETRA, Tradegate and on German regional stock exchanges (ISIN: DE0005167902; identifier: UUU).