Blue Cap AG publishes half-year report and confirms forecast for the full year

• Half-year revenue of EUR 129.2 million in line with expectations and slightly below the previous year's level (previous year: EUR 145.4 million)
• Adjusted EBITDA margin of 8.4% above previous year (7.9%)
• Slight increase in net asset value (NAV) to around EUR 26 per share
• Annual forecast confirmed with consolidated revenue of EUR 270-290 million and an adjusted EBITDA margin of 8.5-9.5%

Munich, August 22. 2024 – Blue Cap AG („Blue Cap“) today confirms its preliminary figures published on July 24 with its half-year report. Accordingly, the Group generated consolidated revenue of EUR 129.2 million in the first half of the year, slightly below the previous year's level (previous year: EUR 145.4 million). At EUR 11.1 million, adjusted⁽¹⁾ EBITDA was almost at the previous year's level (previous year: EUR 11.5 million). This corresponds to a margin above the previous year of 8.4% (previous year: 7.9%) of adjusted total operating performance. The strong business performance of con-pearl and improvements at Neschen provided positive support. The decline in revenue compared to the previous year is mainly due to the weaker business at HY-LINE after the record year 2023, as expected.

Slight improvement in net asset value - balance sheet and financing structure remain solid

The Group's NAV⁽²⁾ as at June 30, 2024 was EUR 115.3 million or around EUR 26 per share, slightly above the figure as at December 31, 2023 (EUR 112.3 million or EUR 25 per share).

The increase compared to the year-end figure is mainly due to an earnings-related increase in the NAV of con-pearl in the Plastics segment. The Adhesives & Coatings segment also recorded a slight increase due to the improved profitability of Neschen. This was offset by a decline in the Business Services segment due to lower earnings contributions from HY-LINE and Transline.

Blue Cap continues to have a solid balance sheet and financing structure. The net leverage ratio (including lease liabilities) amounted to 2.6 years (31.12.2023: 2.7). It remains within the target corridor of less than 3.5 years. Net financial debt increased slightly to EUR 59.9 million (31.12.2023: EUR 59.0 million).

Very different development in the portfolio

As of June 30, 2024, Blue Cap's portfolio includes seven majority shareholdings, which are allocated to the Plastics, Adhesives & Coatings, Business Services and Others segments, as well as one minority shareholding. In a persistently difficult environment, Blue Cap's portfolio is experiencing a very varied development of the individual investments.

The Plastics segment benefited from a positive margin trend and a stable order intake at con-pearl, especially in the US. H+E showed a stable development in line with expectations and held its own in an automotive market that continued to be characterized by strong volatility.

There was a significant improvement in the Adhesives & Coatings segment. This is primarily due to a good result from Neschen. The completed fitness program and the focus on the Industrial Applications business segment were the main performance drivers here. Planatol's development was weaker than in the same period of the previous year, which is attributable to a persistently difficult market environment combined with increasing price pressure.

With regard to the Business Services segment, the restraint in the respective markets continues to be noticeable. As expected, HY-LINE fell short of the previous year's strong result in the first half of the year. Transline also felt the effects of customer restraint and therefore fell short of the previous year's revenue and earnings.

In the Others segment, Blue Cap's smallest investment, nokra, was down on the previous year due to project postponements. At the minority interest Inheco, the transformation measures completed in the first half of 2024 are proving successful and are reflected in stable EBITDA development.

Segment key figures at a glance

Note: Rounding differences are possible

(*) The Others segment includes the Nokra

Forecast for 2024 confirmed

Dr. Henning von Kottwitz, CEO, comments: “Overall, our portfolio companies performed solidly and as expected in a persistently challenging environment. We are particularly pleased with the increase in demand from the USA at con-pearl. The good performance at Neschen is the result of the restructuring carried out last year and is excellent proof of our transformation expertise. At HY-LINE, which had to record a sharp slump as expected, we are currently focusing on cost discipline, working capital management and acquiring new customers." The Management Board confirms its forecast for the year as a whole. Accordingly, group revenue for the continuing operations is expected to amount to EUR 270-290 million and the adjusted EBITDA margin to 8.5-9.5%.

The half-year report can be downloaded from the Investor Relations section of the website https://www.blue-cap.de/en/. Direct link: https://www.blue-cap.de/investor-relations/berichtswelt/

¹⁾ Adjustments: Adjusted for extraordinary, out-of-period and other effects from reorganization measures and one-off effects

 ⁽²⁾ The net debt included in the Group's NAV as at June 30, 2024 was adjusted for the dividend of EUR 2.9 million paid out in June 2024.

About Blue Cap AG

Blue Cap AG is a Munich-based investment company founded in 2006 and listed on the capital market. The company acquires medium-sized companies from the B2B sector in special situations and supports them in their entrepreneurial development with the aim of selling them profitably at a later date. The acquired companies are headquartered in the DACH region, generate sales of between EUR 20 and 200 million and have a sustainably stable core business. Blue Cap mostly holds majority stakes in eight companies from the Adhesives & Coating Technology, Plastics Technology, Production Technology, Life Sciences and Business Services sectors. The Group currently employs around 1,200 people in Germany and other European countries. Blue Cap AG is listed on the open market (Scale, Frankfurt and m:access, Munich; ISIN: DE000A0JM2M1; ticker symbol: B7E). www.blue-cap.de

Contact:

Blue Cap AG
Annika Küppers
Corporate Affairs
Phone +49 89 288909-0
ir@blue-cap.de