• Group revenue of EUR 89.6 million, 8% higher than in the previous year (EUR 82.7 million)
• Adjusted EBITDA margin of 6.3%; below last year’s strong performance (9.6%), as expected
• Forecast for the 2023 financial year confirmed: group revenue of EUR 340-355 million and adjusted EBITDA margin of 8-9% - upturn expected in second half of the year

Munich, 9 May 2023 – Blue Cap AGְ’s (“Blue Cap”) portfolio companies performed in the first quarter of 2023 as planned. The Management Board can thus confirm the forecasts for the year as a whole.

Despite the slow start to the financial year in the first quarter of 2023, Blue Cap generated consolidated group revenues of EUR 89.6 million (PY: EUR 82.7 million). Meanwhile, the operating result (adjusted⁽¹⁾ EBITDA) stood at EUR 5.7 million (PY: EUR 8.2 million). This corresponds to a margin of 6.3% (PY: 9.6%) of total operating performance. The adjusted EBIT and the corresponding margin fell to EUR 1.8 million (PY: 4.8 million) and 2.0% (PY: 5.7%), respectively. The drop in earnings is due to a decrease in demand and lower sales volumes for several portfolio companies. Blue Cap continues to have a solid accounting and funding structure as of the end of March 2023. The net debt ratio (including lease liabilities) of 2.6 years (31.12.2022: 2.4) was within the target range of less than 3.5 years.

Tobias Hoffmann-Becking, CEO of Blue Cap, comments on the results: "Following an expectedly subdued first quarter, in particular due to a reduction in demand as a result of inventory reduction activities by individual customers, we are already seeing improved order intake at some subsidiaries. At the same time, we have used the past few months to initiate countermeasures, some of which are extensive. Together with the increasing growth momentum expected for the second half of the year, these should have a positive impact on the development of our portfolio.”

Business Services shines, remaining segments show modest demand

As of 31 March 2023, Blue Cap's portfolio includes eight majority holdings, which are allocated to the Plastics, Adhesives & Coatings, Business Services and Others segments, as well as a minority stake.

In the Plastics segment, the anticipated loss of a major customer this year at con-pearl is starting to make its presence felt. H+E was well above the previous year's level in terms of sales and revenue, but still fell short of expectations due to price increases that had not yet been implemented and the electricity price cap that was only applied retrospectively. At Uniplast, the values improved slightly compared to the previous year.

The Adhesives & Coatings segment was confronted with a marked drop in demand in the first quarter. In the case of Neschen, this particularly concerned the industrial applications division. Planatol recorded losses for the wood adhesives and furniture divisions.

The large order backlog and good delivery capabilities led to a significant increase in revenue and earnings at the HY-LINE Group in the Business Services segment. The portfolio company Transline also performed better than in the previous year. The segment, which has been new since 2021, generated just under 50% of EBITDA for the first time in Q1 2023 and a significantly higher proportion of EBIT. This visibly confirms the strategy of portfolio diversification.

In the Others segment, Blue Cap’s smallest holding, nokra, was below last year’s value due to project delays. As for the minority stake in INHECO, a noticeable decline in demand has had a dampening effect on revenue, and, compared to the previous year, increased costs due to investments in expansion have had a similar impact on earnings.

Segment figures at a glance

Note: Rounding differences possible
(*) The Others segment includes nokra, the Group's holding and real estate management companies, and holdings already sold as of the reporting date.

Forecast for 2023 confirmed: stable operating performance expected - high potential for value appreciation until 2025

In view of the efficiency measures initiated early on and the currently expected upturn in activity in the second half of the year, the forecast for 2023 as a whole remains unchanged. Accordingly, the Management Board is anticipating group revenue of between EUR 340-355 million, an adjusted EBITDA margin of between 8-9% and a net debt ratio of less than 3.5 years. Blue Cap foresees substantial growth and earnings potential for all holdings over the medium term and considers an increase of around 50% compared to 2022 in the net asset value per share for the group at 55 euros by the end of 2025 to be achievable.

Important note

To coincide with the publication of the figures, a conference call with the Management Board of Blue Cap AG will take place at 2:00 pm today. You can join the call using this link. The presentation will be available on our website at https://www.blue-cap.de/investor-relations/praesentationen/ after the conference call.

⁽¹⁾ Adjustments: adjusted for extraordinary, out-of-period and other effects from reorganisation measures and one-off effects as well as for effects arising from purchase price allocations

About Blue Cap AG

Blue Cap AG is a capital market-listed investment company founded in 2006 and headquartered in Munich. The company invests in medium-sized companies from the B2B sector and supports them in their entrepreneurial development. The holdings are headquartered in the DACH region, generate sales of between EUR 30 and 80 million and have a sound core business. Blue Cap holds mostly majority stakes in nine companies in the adhesives technology & coating technology, plastics technology, production technology, medical technology and business services sectors. The companies in the Blue Cap Group develop independently and each pursue their own growth strategies. The Group currently employs around 1,400 people in Germany and other European countries. Blue Cap AG is listed on the over-the-counter market (Scale, Frankfurt and m:access, Munich; ISIN: DE000A0JM2M1; stock exchange symbol: B7E). www.blue-cap.de

Contact:

Blue Cap AG
Lisa Marie Schraml
Investor Relations & Corporate Communications
Tel. +49 89 288909-24
[email protected]