SLR Group publishes results for the second quarter 24/25

• Net sales of EUR 42.1 million in Q2 24/25 under challenging conditions
• Adjusted EBITDA of EUR 8.1 million, adjusted EBITDA margin of 17.8%
• Forecast for financial year 24/25 adjusted: total production and sold tonnage in the range of 95 kilotons, adjusted EBITDA to reach EUR 17 million
• Gradual recovery of order intake along with expected efficiency gains thanks to successfully implemented "Adapt & Grow" program

St. Leon-Rot, February 28, 2025 – SLR Group GmbH, a leading supplier of high-quality ductile cast iron components, today published its final figures for the second quarter and first half of the financial year 24/25.

Sales fell by 28% to EUR 42.1 million in the second quarter of 24/25 compared to the same quarter of the previous year (Q2 23/24: EUR 58.7 million). Revenue for the first half of the year amounted to EUR 87.4 million (H1 23/24: EUR 117.8 million). Sold Tonnages decreased by 29% to 20 kilotons in the second quarter of 24/25 (Q2 23/24: 28 kilotons), resulting in tonnages sold of 42 kilotons in the first half of 24/25 (H1 23/24: 55 kilotons). The subdued market sentiment in the agricultural and construction sectors was also clearly noticeable in the second quarter, resulting in lower sales volumes.

On the earnings side, the SLR Group achieved an adjusted EBITDA of EUR 8.1 million in the second quarter of 24/25, which corresponds to a significant decline of 10% compared to the same quarter of the previous year (Q2 23/24: EUR 9.0 million). Adjusted EBITDA thus amounted to EUR 8.5 million in the first half of 24/25 (H1 23/24: EUR 14.5 million). This resulted in an adjusted EBITDA margin of 17.8% (Q2 23/24: 15.4%).

Gunnar Halden, CFO of the SLR Group, explains: “With the comprehensive 'Adapt & Grow' program, we have set the right course to increase productivity at our foundry sites in the medium and long term as the order situation picks up again, which will also benefit our profitability. Due to the personnel and organizational measures now implemented and the lack of economies of scale in view of the lower order volumes, the program is still far from being fully effective. As a result, we have had to adjust our expectations for the financial year 24/25.”

Against this backdrop, the SLR Group has adjusted its forecast for financial year 24/25 and now expects total production and tons sold to be in the region of 95 kilotons in financial year 24/25. In addition, the SLR Group now expects an adjusted EBITDA of EUR 17 million in financial year 24/25. Previously, the company had anticipated that total production and tons sold would be in the region of 100 kilotons and thus slightly below the figures for financial year 23/24. In addition, the SLR Group expected an adjusted EBITDA of EUR 20 million in financial year 24/25.

Jörg Rumikewitz, CEO of the SLR Group, assesses the development with regard to the current financial year: “Despite the expected poor second quarter, the market drivers in our core segments are fundamentally intact. The mood in both the agricultural and construction sectors is also gradually brightening, confirming our expectation that the trough should be noticeably passed as the year progresses. This is also reflected in sales activities. We are receiving positive signals from our long-standing customer base. We will continue to provide customer-centric incentives with our product and pricing policy in order to accelerate our way out of the trough and look forward to the rest of the financial year with cautious optimism.”

The report for the second quarter 24/25 is now available on the company website at slr-gruppe.de/en/investor-relations.

About SLR Group

SLR Group, headquartered in St. Leon-Rot, Germany, is a leading supplier of high-quality ductile iron components used primarily in large off-highway agricultural, infrastructure and construction equipment. SLR was founded in 1970 and today operates four state-of-the-art, fully invested production facilities in Germany, Hungary and the Czech Republic. The Group sees itself as a full-service provider for its customers, ranging from development and toolmaking to casting and machined components. SLR has a first-class customer base with established single-source relationships in Europe and North America. Its main customers include market-leading OEMs and Tier 1 suppliers. In the financial year 2023/2024, the SLR Group generated net sales of around EUR 238.1 million (pro forma figures for the full year 23/24 of the previously operating SLR Holding GmbH). At the end of last year, the company had 758 employees (HC). SLR Group GmbH has issued a bond in Nordic bond format with a volume of EUR 75 million, which is listed on the Open Market of the Frankfurt Stock Exchange

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