Corporate Website

9M 2023 Financial Highlights

Home | Financial Highlights

Solid margins thanks to flexible cost structure, despite persistent decline in market demand

”We continue to face into a highly challenging market, both in terms of the cooking and the motors divisions, with a sharp downturn emerging from Q2 as a result of the uncertain regulatory environment which shall dictate the timing and manner of the energy transition, in addition to a general residential market slowdown. In this environment our task is to defend margins to generate the resources to continue investing in our future and we have succeeded thanks to a flexible industrial structure and obsessive cost control”. Giulio Cocci, Chief Executive Officer of Elica, stated "Ours is a long-term project: we do not expect the market to recover over the coming months, although we are creating the conditions for future growth, both in terms of extending our product range and of expanding on our high potential markets such as North America, in which - in partnership with ILVE - we have just launched the “Boots on Ground” project, with our first direct distributor having opened, and are working on a similar project in Canada”.
 
9M 2023 Financial Highlights
360,2 M€
Consolidated Revenue
The general economic uncertainty is heavily impacting the demand. Despite a more challenging quarter than predicted and a significant and sharper-than-expected drop in motors division volumes, the various markets report performances in line with general demand levels, allowing the Group to maintain its market share.
19,4 M€
Adjusted EBIT
Despite weak industry dynamics and declining volumes, the operating margin benefited from the optimisations made in recent years, including the greater flexibility made possible by the new production footprint. The contribution, while positive, of falling commodity prices still remains marginal.
10,6 M€
Adjusted Group Net Profit
Euro 10.6 million, compared to Euro 15.9 million in 9M 2022. Minorities profit was Euro 1.1 million, in line with the same period in 2022.
Performance
By Business Area
The Cooking division, which accounts for 77% of total revenue, reports a contraction of -14.6% (-13.7% at constant scope and exchange rates)

Own brand sales continue to improve in a market featuring persistently weak demand, outperforming the benchmark index. The OEM destocking phase continues with significant double-digit contraction. Despite the weak market momentum, the focus on expanding the product range in the OWN BRANDS area highlights the solidity of the long-term strategy. The production of new induction hobs and aspiration hobs confirms the excellent strategic position of the Group.

The Motors division, which accounts for 23% of total revenue, reconfirms the market downturn for the ventilation and heating areas.

The third quarter, which was particularly weak, saw a -30.8% contraction. The destocking measures put in place by the customers and a change in the regulatory framework significantly contributed. Despite the current general economic environment and the reduced short-term visibility, the motors division - and in particular the heat pump segment continues to be a point of strength in the Group's long-term strategy.

Analysts Presentation 9M 2023 Results click. 
Our results
Period
Key indicators
Period
Key indicators
Period
Key indicators
LOADING...
LOADING...
Download Documents
9M 2023 Results