Despite the continuing effects of the Corona pandemic, the edding Group was able to achieve a pleasing increase in sales revenues of 23.2% to EUR 70.1 million in the first half of 2021. These are even slightly above those of the first half of 2019 (EUR 69.7 million). While the business segment Visual Communication has not yet been able to recover from the effects of the pandemic, the increase was even more substantial in the business segment Writing and Marking. Group EBIT rose accordingly to EUR 4.4 million (previous year EUR 1.5 million).
As the largest part of the Group EBIT, EUR 3.1 million, was solely achieved in the month of June, partly due to record monthly sales, and as we do not currently see any general trend in this for the second half of the year, we are sticking to our overall forecast for the year 2021 of Group sales revenue of EUR 133.0 to 148.0 million and Group EBIT of EUR 5.0 to 9.0 million.
However, the sales revenue and EBIT guidance for the individual segments will be adjusted. For the business segment Writing and Marking we expect moderately higher sales revenues and a higher segment EBIT, while we have reduced the guidance for the Visual Communication and Technological Solutions segments. In the industry-oriented Technological Solutions segment, too, marketing and sales activities are still being slowed down by the pandemic. For further details, please refer to the half-year financial report to be published on 31 August 2021.
About edding AG
The company was founded in 1960 and generated consolidated sales of EUR 125.7 million in 2020 with an average of 679 employees. Under the edding and Legamaster brands, the edding Group develops products and services that help people in their private and professional lives to express themselves and achieve their goals. edding has over six decades of expertise in the development, production and international distribution of products that bring colour adequately to surfaces for creative and work-related purposes. The range extends from markers to sprays, nail polish and tattoo inks. edding's professional solutions for business customers support digitalisation, enable new forms of collaboration and increase the communication capabilities of people and organisations. As an international brand, edding is a daily part of many people's lives and is always aware of its responsibility to act fairly and sustainably.
Explanation of EBIT as an alternative performance indicator
EBIT is the abbreviation for “earnings before interest and taxes”. Total output less cost of materials, personnel expenses and depreciation and amortisation (including rights of use within the meaning of IFRS 16), plus other operating income and less other operating expenses. EBIT is the most important key figure for profitability management in the edding Group. No adjustment has been made for any extraordinary income or expenses.
Ahrensburg, August 30th 2021
The Management Board