Group sales decreased by 0.7% in 2024 and, at EUR 476,034 thousand, remained at the previous year's level (479,337). Consolidated sales revenue remained at the previous year's level in both the core and growth countries as well as the aspirant markets. While Uzin Utz Nederland B.V. and Uzin Utz Polska Sp. z o.o. achieved the strongest growth in absolute figures, the decline in sales at INTR. B.V. was particularly significant within the Group.

The main sources of the Group's earnings can be found in the segment reporting section in the notes to the consolidated financial statements.

Total consolidated foreign sales fell from EUR 312,600 thousand in the previous year to EUR 307,643 thousand. At 64.6%, the foreign share stagnated at the previous year's level (65.2). The aim is continued to realise sales growth in our other core and growth markets in addition to Germany. The proportion of sales not invoiced in euros rose to around 34.1% (33.8). The increase was most strongly influenced by the increase in sales of Uzin Utz Polska Sp. z o. o.

The development of the currencies outside the Euro zone that are relevant for the Group can be seen in the ‘Currency translation’ section of the notes to the consolidated financial statements.

The overall impact of exchange rates on Group sales was 0.3% (-0.4). The Polish zloty had the greatest effect.

Sales prices remained stable in the financial year 2024. They fell by - 0.8% on average. The continued high competitive pressure in the construction industry was one of the reasons for this development. No price increases were implemented. Sales volumes rose slightly by 2.5%, which is mainly due to the increase in sales of dry mortar in the reporting year compared to 2023. However, as these are items that, in contrast to adhesives or primers, for example, have lower sales revenue in €/kg, the positive volume trend only had a minor impact on the overall stagnating sales in 2024.

Due to the batch-oriented production and the usually very short time between ordering and delivery, production is generally carried out for an anonymous market. Deliveries are made from stock, which regularly amounted to around 1.7 months' sales (1.8) across the Group and was therefore slightly lower than in the previous year. Efforts are constantly being made to adjust and further optimize inventories in line with general conditions.

After a reduction of EUR 4,493 thousand in the previous year, inventories of finished goods and work in progress were reduced by a further EUR 1,886 thousand in 2024. The reduction in inventories in 2024 resulted from a further easing in the availability of raw materials and improved logistics processes.

Total operating performance decreased slightly by 0.1% to EUR 474,147 thousand (474,844). This development is attributable both to the lower sales revenue, which remained at the previous year's level, and to the change in inventories described above. Strategic measures led to a slight reduction in the Group's cost of materials ratio from 44.8% to 41.3%. The general improvement in market conditions led to a fall in raw material prices. In addition, we were able to reduce the cost of materials ratio by optimizing the formulations of our products and increasing sales of high-margin products. The centralization of storage capacities at the new plant in Waco, USA, and other optimizations enabled us to reduce internal reallocations. This also had a positive effect on the cost of materials ratio.

The share of personnel costs in total operating performance increased by 0.9 percentage points to 27.2% (26.3%). In absolute figures, personnel costs rose from EUR 125,009 thousand to EUR 128,910 thousand. The disproportionately high increase in personnel costs compared to the number of employees was, among other things, due to collectively agreed salary adjustments and a slight increase in the number of employees. In the commercial area, the number of employees fell slightly compared to the previous year.

Depreciation and amortization rose moderately by 14.6% from EUR EUR 18,732 thousand to EUR 21,460 thousand. This increase is mainly due to the partial write-down of the goodwill of the cash-generating unit Sifloor AG resulting from the annual impairment test as well as depreciation as a result of investments in property, plant and equipment in Waco, USA, which were recognized for the full year for the first time. In addition, depreciation of Pallmann GmbH increased in the 2024 financial year as a result of investments in property, plant and equipment.

Compared to the previous year, other operating expenses increased by around 3.8% to EUR 92,891 thousand (89,468). The increase is mainly due to higher operating and administrative costs. In particular, the costs for maintenance, repairs and servicing increased significantly, partly due to the renovation of the administration building in Daimlerstrasse in Ulm-Donautal. Consulting costs also increased significantly due to various strategic projects.

At EUR 42,815 thousand, earnings before interest and taxes (EBIT) were significantly higher than in the previous year (34,505). Overall, EBIT increased by EUR 8,310 thousand. The increase in earnings is mainly due to targeted measures to optimize costs, particularly through improvements in logistics and the improved cost of materials ratio. The general improvement in market conditions led to a fall in raw material prices. In addition, the cost of materials ratio was reduced by optimizing the recipes of our products and increasing sales of high-margin products.

Details on the net profit for the year and the equity of the individual participations can be found in the section "Group companies" in the notes to the consolidated financial statements.

The development of external sales varied from segment to segment. In absolute terms, the Netherlands segment recorded the sharpest decline. While a slight increase of EUR 2,470 thousand was achieved in the Dutch laying systems segment with revenue of EUR 55,775 thousand in 2024, the wholesale segment decreased by EUR 4,475 thousand compared to 2023. Market conditions for the Wholesale segment remained difficult over the course of the year, with the decline stemming primarily from the low demand for floor coverings.

Within the segment Germany, there were also different trends in the sub-segments. Sales revenue in the area of installation systems and machines and tools remained at the previous year's level, while surface care and finishing recorded a slight increase. In total, sales of EUR 200,173 thousand were generated.

The segment USA also remained stable with sales of EUR 72,755 thousand.

In Western Europe, sales revenue declined in 2024. In percentage terms, this was the sharpest decline at 2.7%, which is mainly due to the decline in revenue at Uzin Utz België nv.

In the Southern/Eastern Europe segment, the strongest growth was achieved both in percentage and absolute terms, based on the increase in turnover of Uzin Utz Polska Sp. z o.o., with a total increase of 8.8%.