Nabaltec AG achieves record revenues in Financial Year 2022 according to preliminary data

• Revenues of EUR 218.8 million in 2022 according to preliminary data (2021: EUR 187.0 million)
• Preliminary operating profit (EBIT) at EUR 29.2 million (2021: EUR 24.6 million)
• Outlook for 2023: revenue growth in a range from 3% to 5%; EBIT margin in a range from 8% to 10%

Schwandorf, 7 March 2023 – According to preliminary data, Nabaltec AG was able to generate revenues of EUR 218.8 million in 2022, compared to EUR 187.0 million in the previous year (up 17.0%). According to preliminary figures, the operating profit (EBIT) was EUR 29.2 million – after EUR 24.6 million in 2021, which means another record year for Nabaltec AG. As in the previous year, the EBIT margin was 13.1%. The revenue forecast, adjusted in the course of the year with growth in the range from 15% to 17% (previously 12% to 14%), was met at the upper end of the range. The EBIT margin forecast, which was raised in the fall of 2022, was also fully met (forecast: 12% to 13%).

"We were able to achieve an excellent result in a challenging environment and are very satisfied with the development. However, it remains to be said that we had to make massive adjustments in the past financial year in order to meaningfully counteract external factors – such as increased raw material and energy prices as well as higher logistics costs," reports Johannes Heckmann, the CEO of Nabaltec AG. "We succeeded in doing so, on the one hand, through long-term and forward-looking contract design, but also through the concrete price increases we implemented. As a result, we succeeded in increasing revenues in both product segments despite somewhat declining sales volumes."

In the "Functional Fillers" product segment, Nabaltec generated revenues of EUR 148.0 million in Financial Year 2022, up from EUR 130.6 million in the previous year (up 13.3%), according to preliminary data. The good revenue development is solely due to the price development. Volumes were down 5.7% overall in 2022 due to the uncertainties on the markets and because of a consistent reduction in inventories at the end of the year on the part of many customers.

In the "Specialty Alumina" product segment, revenues in 2022 were EUR 70.9 million according to preliminary data, up from EUR 56.4 million in the previous year (up 25.7%). In addition to price increases, the growth was also generated by increases in sales volumes of high value-added products. Overall, however, sales volumes in the product segment were down year-on-year.

The fourth quarter of 2022 ended with a slight decline in revenues compared with the strong third quarter. At the end of the year, customers reduced inventories, which led to lower sales volumes in the fourth quarter. Demand at the start of 2023 is also restrained and characterized by short-termism, with a further increase in price levels. Overall, Nabaltec expects stable demand in most product ranges for the current financial year. Due to the economic and industry-related environment, as well as the price increases realized at the beginning of the year, Nabaltec expects revenue growth in a range from 3% to 5% for 2023. On the earnings side, Nabaltec expects an EBIT margin in a range from 8% to 10%. The forecast is based on the assumption that the economy and the industries relevant to Nabaltec will develop in a stable manner, despite the war that continues to prevail in Ukraine.

About Nabaltec AG:

Nabaltec AG, with registered office in Schwandorf, a chemicals business which has received multiple awards for innovativeness, manufactures, develops and distributes highly specialized products based on aluminum hydroxide and aluminum oxide on an industrial scale through its two product segments, "Functional Fillers" and "Specialty Alumina." The company's product range includes eco-friendly flame retardant fillers and functional additives for the plastics industry. Flame retardant fillers are used e.g. in cables in tunnels, airports, high-rise buildings and electronic devices, while additives have applications in catalysis and in electric vehicles. Nabaltec also produces specialty oxides for use in technical ceramics, the refractory and polishing industries. Nabaltec maintains production sites in Germany and the US and plans to continue to develop its market position by expanding capacity, further optimizing processes and quality and making strategic extensions to its product range. On the strength of its specialty products, the company strives to attain the market leadership in each segment.

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