EQS-News: STRATEC REPORTS RESULTS FOR 2024 FINANCIAL YEAR

STRATEC REPORTS RESULTS FOR 2024 FINANCIAL YEAR

• Adjusted EBIT margin for 2024 at 13.0% (2023: 11.2%) significantly above the forecast corridor
• Consolidated sales in 2024 -4.9% at constant currency to €257.6 million (2023: € 270.4 million, restated from € 261.9 million)
• Operating cash flow increased by 152.3% to € 48.7 million (2023: € 19.3 million).
• Development pipeline further strengthened by new development cooperations with partners
• Outlook 2025: Consolidated sales expected to increase in a low to medium single-digit percentage range at constant currency with an adjusted EBIT margin of approximately 10.0% to 12.0%
• Dividend proposal for 2024 of € 0.60 per share (2023: € 0.55 per share)

Birkenfeld, May 19, 2025

STRATEC SE, Birkenfeld, Germany, (Frankfurt: SBS; Prime Standard) today announced its financial results and major events for the period from January 1, 2024 to December 31, 2024 with the publication of its 2024 Annual Report.

KEY FIGURES ¹

in € 000s	FY 2024	FY 20232	Change
Sales	257,624	270,414	-4.7 % (cc: -4.9%)
Adj. EBITDA	49,214	44,826	+9.8%
Adj. EBITDA margin (%)	19.1	16.6	+250 bps
Adj. EBIT	33,459	30,388	+10.1%
Adj. EBIT margin (%)	13.0	11.2	+180 bps
Adj. consolidated net income	20,496	19,009	+7.8%
Adj. earnings per share (€)	1.69	1.56	+8.3%
Earnings per share (€)	1.32	1.26	+4.8%

Adj. = adjusted, bps = basis points, cc = at constant-currency

¹ For comparison purposes, adjusted figures for 2024 have been adjusted to exclude amortization from purchase price allocations in the context of acquisitions, as well as for other one-off items (consulting and reorganization expenses in connection with M&A activities and one-off personnel expenses).
²Restated in accordance with IAS 8.

“The STRATEC Group performed well in the 2024 financial year in what remained a challenging market environment and in light of numerous geopolitical uncertainties. With a minimal reduction in consolidated sales, a significant increase in adjusted EBIT, and a positive development in our cash flows, we clearly outperformed many of our market peers. Given the ongoing, yet diminishing, follow-on effects of the COVID-19 pandemic, we are confident that we can return to our growth trajectory in 2025," said Marcus Wolfinger, CEO of STRATEC SE.

BUSINESS PERFORMANCE
STRATEC generated consolidated sales of € 257.6 million in the 2024 financial year (previous year: € 270.4 million). On a constant-currency basis, this corresponds to a reduction of 4.9%. The subdued sales performance was primarily due to the additional laboratory capacities created during the COVID-19 pandemic, which led to muted demand in one market segment. Elevated inventory levels at customers at the beginning of the year additionally held back sales. In this context, sales with Systems fell by 27.8% at constant currency. By contrast, sales with Service Parts and Consumables increased by 14.8% on a constant-currency basis. This dynamic development benefited from the expansion in the installed base of systems in laboratories over recent years, as well as from a recovery in utilization rates. Sales from Development and Services also showed a significant increase of 9.2% at constant currency. The shifts among these three product groups reflect current customer preferences which, due to the present market situation, involved temporarily investing less in new systems and more in the product lifecycle management of already approved products.

CONSOLIDATED SALES BY OPERATING DIVISION

€ 000s	FY 2024	FY 2023	Change	Constant-currency change
Systems	82,671	114,467	-27.8%	-27.8%
Service Parts and Consumables	110,429	96,169	+14.8%	+14.8%
Development and Services	63,228	57,573	+9.8%	+9.2%
Other Activities	1,296	2,205	-41.2%	-41.4%
Consolidated sales	257,624	270,414	-4.7%	-4.9%

Adjusted EBIT for the 2024 financial year increased by 10.1% to € 33.5 million (previous year: € 30.4 million). Consequently, the adjusted EBIT margin rose by 180 basis points to 13.0% compared to 11.2% in the previous year. This positive development was driven by measures initiated in 2023 and continued into 2024 as part of the earnings improvement program, a strong performance in Service Parts and Consumables, and high-margin revenue realizations for development projects, licensing agreements, and services.

Given the increased operating result, adjusted consolidated net income for the 2024 financial year also rose by 7.8% to € 20.5 million compared to € 19.0 million in the previous year. Adjusted earnings per share (diluted) amounted to € 1.69 (2023: € 1.56).

Cash flow generation also showed a very dynamic development in the 2024 financial year, driven by increased profitability and efficiency gains achieved in net working capital positions. As a result, operating cash flow rose from € 19.3 million in the previous year to € 48.7 million.

For comparison purposes, the earnings figures for 2024 have been adjusted to exclude amortization from purchase price allocations in the context of acquisitions, as well as for other one-off items (consulting and reorganization expenses in connection with M&A activities and one-off personnel expenses). A reconciliation of the adjusted figures with those reported in the consolidated statement of comprehensive income can be found in the Annual Report 2024 also published today. Based on a joint analysis with the external auditor appointed for the first time for the 2024 financial year, STRATEC made adjustments in accordance with IAS 8 (Accounting Policies, Changes in Accounting Estimates and Errors) to the accounting method used to recognize development cooperations in the consolidated financial statements. For comparison purposes and to reconcile the figures with the most recent financial guidance for the 2024 financial year (sales to remain stable or decrease slightly at constant currency; adjusted EBIT margin of 10.0% to 12.0%), the earnings figures that would have resulted if the accounting method had not been adjusted can be found in the following table. Overall, the guidance targets were therefore met for sales and significantly exceeded for the adjusted EBIT margin.

	Prior to adjustment of accounting method
in € 000s	FY 2024	FY 2023	Change
Sales	257,606	261,911	-1.6% (cc: -1.8%)
Adj. EBITDA	46,423	41,576	+11.7%
Adj. EBITDA margin (%)	18.0	15.9	+210 bp
Adj. EBIT	32,493	27,071	+20.0%
Adj. EBIT margin (%)	12.6	10.3	+230 bp

Adj. = adjusted, bps = basis points, cc = at constant-currency

FINANCIAL GUIDANCE
For the 2025 financial year, STRATEC expects end customer demand to stabilize in those market segments which witnessed substantial disruptions in the wake of the COVID-19 pandemic, a factor which was exacerbated by high volumes of stock on hand at customers. In general, moreover, a trend towards test volumes recovering, and thus to higher capacity utilization rates for systems placed in the market, can be observed at customers. This should have a positive overall impact on demand for Systems and on the Service Parts and Consumables business. In view of these factors, for the 2025 financial year STRATEC expects constant-currency sales growth in a low to medium single-digit percentage range compared with the previous year. Based on preliminary calculations, sales for the first quarter of 2025 are expected at around € 60 million. For the 2025 financial year, an adjusted EBIT margin of approximately 10.0% to 12.0% is forecast (2024: 13.0%). The implicit reduction in the margin is due to the earnings contributions received in the previous year from higher-margin Development and Services. These are expected to turn out lower in the 2025 financial year.

Given that the downstream effects of the pandemic have not yet been fully absorbed and in light of geopolitical conflicts, potential tariffs, and trade barriers, STRATEC expects to see continuing increased volatility in its customers’ order behavior. As a result, the key sales and earnings figures forecast for 2025 are subject to greater uncertainties than usual.

For the 2025 financial year, STRATEC has budgeted investments in property, plant and equipment and in intangible assets corresponding to a total of 8.0% to 10.0% of sales (2024: 7.1%).

PROJECTS AND OTHER DEVELOPMENTS
In the 2024 financial year, STRATEC made significant progress in a variety of development projects. In the second quarter of 2024, the final development milestone for customer products in the field of transfusion diagnostics was reached. Furthermore, the development pipeline was strengthened by signing new cooperation agreements, including a comprehensive partnership in the field of immunodiagnostics aimed at enhancing an existing product with additional functions, rejuvenating it, and substantially extending the product lifecycle. Another focus in the 2024 financial year was on initiatives to strengthen local presence in strategically important markets. This includes the establishment of sales and production units in Asia to optimally capitalize on the numerous growth opportunities in the Asia-Pacific region. In the US, the largest and most significant market for laboratory solutions, STRATEC has opened new distribution channels thanks to the successful integration of Natech Group and intensified group-wide collaboration, thus creating significant potential for cross-selling activities. These positive developments are reflected in successfully completed projects, such as the development and production of a complex consumable in the US for an existing customer of the STRATEC Group.

DEVELOPMENT IN PERSONNEL
Including temporary staff and trainees, STRATEC had a total of 1,450 employees at December 31, 2024 (previous year: 1,522). The slight decrease in the number of employees compared to the previous year is largely due to measures from the earnings improvement program initiated in 2023 and continued into 2024, as well as capacity adjustments.

DIVIDEND PROPOSAL
Given positive medium to long-term growth prospects, the improved earnings in the past financial year, and the company’s continuity-based dividend policy, the Board of Management and Supervisory Board plan to propose an increased dividend of € 0.60 per share for the 2024 financial year to the Annual General Meeting (previous year: € 0.55).

2024 ANNUAL REPORT
The 2024 Annual Report of STRATEC SE has been published on the company’s website at www.stratec.com/financial_reports.

FORTHCOMING DATES
The Quarterly Statement Q1|2025 will be published on May 30, 2025.

CONFERENCE CALL AND AUDIO WEBCAST
To mark the publication of the definitive results for the 2024 financial year, we will be holding a conference call in English at 3.00 p.m. (CET) today, Monday, May 19, 2025.

You will receive the dial-in data (telephone number, password + individual PIN) following brief registration at the following link: www.stratec.com/registration

The conference call will also be available at the same time as an audio webcast at www.stratec.com/audiowebcast20250519 (brief registration required). Please note that no questions can be submitted via the audio webcast. Clicking this link also enables you to follow or download the slide presentation.

ABOUT STRATEC
STRATEC SE (www.stratec.com) designs and manufactures fully automated analyzer systems for its partners in the fields of clinical diagnostics and life sciences. Furthermore, the company offers complex consumables for diagnostic and medical applications. For its analyzer systems and consumables, STRATEC covers the entire value chain – from development to design and production through to quality assurance.

The partners market the systems, software and consumables, in general together with their own reagents, as system solutions to laboratories, blood banks and research institutes around the world. STRATEC develops its products on the basis of patented technologies.

Shares in the company (ISIN: DE000STRA555) are traded in the Prime Standard segment of the Frankfurt Stock Exchange.

FURTHER INFORMATION IS AVAILABLE FROM:
STRATEC SE
Jan Keppeler | Investor Relations, Sustainability & Corporate Communications
Tel: +49 7082 7916-6515
ir@stratec.com
www.stratec.com