Signs of recovery in the third quarter
In the third quarter of 2020, the Homag Group recorded a significant improvement in order intake (+43%) and an economic recovery compared to the second quarter of 2020. Nevertheless, the nine-month figures are also affected by the corona pandemic.
"Like the rest of the engineering industry, we are still feeling the effects of the corona pandemic," explains CEO Pekka Paasivaara. "However, in the third quarter there was a noticeable recovery in order intake. Whether this positive trend will continue in the long term depends very much on how the pandemic develops worldwide.
In the first nine months of 2020 as a whole, Homag Group's sales revenue decreased by 13 percent to 833 million euros (prior year: 957 million euros) and order intake by 16 percent to 763 million euros (prior year: 907 million euros). As of September 30, 2020, the order backlog stood at 461 million euros (December 31, 2019: 546 million euros). In the first three quarters of 2020, the Homag Group generated operating EBIT of EUR 20.8 million (prior year: EUR 58.5 million). As of September 30, 2020, the Homag Group employed 6,482 people (September 30, 2019: 6,615).
According to Paasivaara, business development in the various market regions varies. "We see a recovery especially in China and in Northern and Eastern Europe. The trend is also positive in other regions, although there we are still below pre-crisis levels".
