According to preliminary figures, Schweizer Electronic closed the first half of 2020 with declines in sales and earnings. The company attributes the developments to the consequences of the COVID-19 pandemic. There were also special effects, which impacted restructuring costs of 1.1 million euros. Before interest and taxes, Schweizer Electronic reports a half-year operating loss of EUR 9.5 million after a loss of EUR 2.3 million in the same period of the previous year. Sales fell from EUR 60.2 million to EUR 45.4 million. EBITDA deteriorated by EUR 6.6 million and was negative at EUR 5.6 million.
“Production started in the new plant in China in April. From this, we expect significantly positive impulses from 2021 onwards. Nevertheless, the plant is not yet making a positive contribution to the consolidated result during the ramp-up phase, ”said the company on the further prospects. For 2020, Schweizer Electronic anticipates a drop in sales to between EUR 87 million and EUR 93 million and an EBITDA loss of between EUR 7 million and EUR 11 million. The declines are thus more pronounced than previously forecast.
“The management plans to expand the cost-saving measures in material and personnel costs at the Schramberg location, which were introduced extensively in 2019. This primarily involves further staff reduction, adjustment of investment planning and other measures in the material and material cost area, ”says the company.
At a glance – chart and news: Schweizer Electronic