EQS Group-Ad-hoc: Belimo Holding AG / Key word(s): Half Year Results Hinwil (Switzerland), EMBARGOED UNTIL August 3, 2020, 07:00 a.m. CET Press Release of the Belimo Group Belimo: Delivering Strong Performance Thanks to High Product Availability In the face of an unprecedented crisis, Belimo managed remarkably well in the first half-year of 2020. The Company was able to maintain superior service levels and high product availability throughout the COVID-19-pandemic. Europe. Belimo registered strong sales in northern European countries in the first quarter, especially in Russia, Poland, and the United Kingdom as well as in Germany. Several factors contributed to this momentum, notably market share gains, as Belimo was able to maintain a stable supply chain throughout the crisis. In the second quarter, however, sales started to decline, primarily in Germany, Italy, France, the United Kingdom, and Spain. After the lockdown measures were eased, demand started recovering throughout Europe in June. Americas. Belimo registered a good first quarter for the US and Canada that outperformed the above-average first quarter of the previous year. Substantial volume in the OEM business from data centers contributed noticeably and continued to do so throughout the pandemic, partly compensating for COVID-19 related losses. Non-residential construction suffered from COVID-19 measures in regard to service and maintenance interventions in existing buildings that were kept to a minimum. It is only in June that construction sites have started to open amid an easing of government measures across most of the region. As a result, sales volumes showed an uptick towards the end of the first half of the year. Asia Pacific. HVAC construction output in the Asia Pacific market region started well in 2020 until the full lockdown over a prolonged Chinese New Year brought the Chinese market to a standstill. In February and March, the Chinese market rapidly focused on essential services such as hospitals, government infrastructure, and transportation projects as well as investments in data centers. Other governments were quick to follow the Chinese example with stimulus packages provided for public infrastructure. In April and May, major Chinese cities and second-tier cities went back to business as usual with the opening of construction sites. Belimo sales in China grew positively from April through June because of demand from healthcare, railway/metro stations, and data centers. In India and Malaysia, the lockdowns persisted. Net Sales by Market Regions
Net Sales by Applications
Outlook. Once measures related to the pandemic start to be eased, Belimo expects the business environment to normalize in the second half of 2020 and market conditions to generally improve. In Europe, Belimo is optimistic that sales will pick up during the summer months as the order backlog remains solid. In the Americas market region, Belimo anticipates pent-up demand for delayed projects to drive volume in the second half of the year. For the Asia Pacific market region, Belimo sees a robust project pipeline and expects further market share gains based on strategic growth initiatives. Overall, revenues in the second half of 2020 are expected to be on par with the previous year, provided that measures to combat the pandemic are further relaxed. Exchange rate fluctuations are likely to weigh on profitability. Despite the economic contraction, Belimo continues to allocate significant resources to its long-term strategic initiatives and related R&D activities.
1) Restatement of non-current employee benefits
End of ad hoc announcement |
Language: | English |
Company: | Belimo Holding AG |
Brunnenbachstrasse 1 | |
8340 Hinwil | |
Switzerland | |
Phone: | +41 43 843 63 80 |
Fax: | +41 43 843 62 41 |
E-mail: | ir@belimo.ch |
Internet: | www.belimo.com |
ISIN: | CH0001503199 |
Listed: | SIX Swiss Exchange |
EQS News ID: | 1107629 |
End of Announcement | EQS Group News Service |
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1107629 03-Aug-2020 CET/CEST