GRAMMER AG reports on current developments

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DGAP-Ad-hoc: GRAMMER Aktiengesellschaft / Key word(s): Dividend/Profit Warning
GRAMMER AG reports on current developments

28 June 2022 / 10:40 CET/CEST
Disclosure of inside information acc. in Article 17 MAR of Regulation (EU) No 596/2014, transmitted by DGAP – a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

Publication of inside information pursuant to Article 17 of Regulation (EU) No 596/2014
GRAMMER AG (WKN 589540, ISIN DE0005895403)

GRAMMER AG reports on current developments:

– The early extension of the syndicated loan leads to the suspension of the dividend until 2025

– Evolution of profits in the second quarter of 2022 significantly lower than the level of the previous year

Ursensollen, June 28, 2022 – Due to the difficult economic environment, GRAMMER AG has today prematurely extended Tranche C of the syndicated loan agreement for 235 million euros concluded in August 2020 until February 10, 2025. In addition to the main banks of GRAMMER , KfW Bankengruppe is also involved in this tranche as a lender. Therefore, the existing dividend suspension, which is part of KfW’s program conditions, will also continue until February 10, 2025.

Furthermore, based on preliminary figures, GRAMMER AG’s earnings performance in the second quarter of 2022 remained significantly below the level of the previous year. As a result, earnings before interest and tax (EBIT) (Q2 2021: €5.2 million) and operating EBIT (Q2 2021: €11.4 million) are expected to be in the range of -10 at -15 million euros. The Group’s preliminary revenue for the current quarter of around 505 million euros is significantly higher than the level of the previous year (Q2 2021: 468.8 million euros) and therefore largely in line with plan.

The main reasons for the decline in profits are the significantly higher costs of materials, logistics and energy, the temporary and new corona lockdowns in China and the persistent bottlenecks in the supply markets.

Despite a weaker first half than expected, the Management Board is maintaining the forecasts for the full year published in the Annual Report for the time being. However, the risks related to the war in Ukraine, the significant rise in energy and material prices, as well as possible new corona lockdowns in China – but also in other countries – could intensify. for the revenues and profits of the GRAMMER group and have a negative impact on the forecasts. In addition, the full year forecast is highly dependent on the extent to which GRAMMER can agree to pass on inflation-related cost increases to its customers.

The interim report for the first half of 2022 will be published on August 11, 2022.

The Executive Council
GRAMMER AG

Contact:
GRAMMER Aktiengesellschaft
Tanja Bucherl
Such. : +49(0)9621 66 2113
[email protected]

June 28, 2022 CET/CEST DGAP distribution services include regulatory announcements, financial/corporate news and press releases.
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